Realtor.com Cost Sharing with Real Estate Agents

[geoagency]

Have any PC agents tried to co-op/ split the cost of realtor.com leads with real estate agents. It would lower their marketing cost and you would be their preferred agent. Any thoughts on if this would be a good strategy?

 

[pburb]

i love it. never thought of it. i'm going to look into it now. thanks

 

[cgreene]

Don't you have to be careful with RESPA law here? It seems a bit of a gray area.

 

[agentinsouth]

Don't you have to be careful with RESPA law here? It seems a bit of a gray area.

That is where my mind went.

 

[pburrows]

I'm an Insurance Agent/Broker
where do you believe I or the realtor would be in violation of RESPA due to me co-op paying for their advertisement?

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http: // files.consumerfinance.gov/f/201503_cfpb_regulation-x-real-estate-settlement-procedures-act.pdf

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please read and let me know where you think I or the realtor might be in violation

 

[cgreene]

As long as money does not touch their hands I think you good.

 

[insurance1822]

Oh god who's really whining RESPA here? I mean really? Go find some underwriting forums & talk about how to police things further.

This sounds like a decent approach to starting a relationship. RESPA laws are move towards realtor/mortgage/title and P&C guys are small peas in that pod.

 

[cgreene]

Yes but I know one that is being prosecuted for this right now.

 

[FL P&C Broker]

Yes but I know one that is being prosecuted for this right now.

Prosecuted for what exactly? Can you reference the case?

 

[cgreene]

Looks like loss of license and 10,000 fine. One State Farm lithonia, ga and an allstate agent in Odenville, Al. They still trying to settle without jail time. They were paying agents and loan officers for leads.

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I do a cobranding program with realtors but payment goes directly through a company. This was done at the realtors request because of RESPA. I might cover 70 percent to share a flyer but everything shows separate.