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$500 Apartment Referral Fee (how do I cash in?)...

by 1fisherman
9 replies
I was driving around today and drove past two apartment complexes that were offering a referral fee for finding qualified tenants. One was offering $300 per referral and the other was offering $500 per.

I talked with one complex and they require the referred person to provide my name and address and they will mail a check. They are ok with referrals coming from the internet.

Does anyone have any experience with marketing an apartment complex?

I would like to hear ideas on how to help them get new tenants.

Or is it even worth the trouble?

Gregg
#$500 #apartment #cash #fee #referral
  • Profile picture of the author Aaron Doud
    Ask a lawyer as you may need a realtor license to do something like that in bulk. Search the forum as this has come up previously and we had a few who had done it in real life including one who got in trouble.
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    Aaron Doud - Sales & Success
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    • Profile picture of the author 1fisherman
      Good advice. I will check into it.

      Thanks Aaron.
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  • Profile picture of the author shane_k
    Well where I live you do not need a Realtor License for this, as you are just helping to generate leads and not selling or buying, which is different.

    But find a Real Estate Lawyer in your area and give them a call.
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    • Profile picture of the author 1fisherman
      Well, I checked with the State and they do in fact require a Real Estate license to do apartment referrals.

      At least I found out before I got into trouble.

      Thanks again Aaron and Shane
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  • Profile picture of the author Jon Martin
    If you do choose to go ahead with that:

    1. Collect some photos of the buildings
    2. See if you can post some craigslist/classified postings on behalf of the apartment complex.
    3. Get back to interested prospects or refer their info directly to the complex.

    I'd see if I could work out a referral program more personal, whereas you don't have to worry so much about the lead not giving your information and you getting jipped.

    Too many things can go wrong here. If you get your bases covered it could be profitable, though. Again - only worth it if you can work directly with the complex and not bank on the lead "remembering" to mention you as a referral.
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    "Be the hero of your own movie."
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    • Profile picture of the author 1fisherman
      Honestly, I am mulling over the thought of getting my Real Estate license. It will cost about $350 (about the cost of 20 WSOs ). But, it will open up a niche for me.
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  • Profile picture of the author sbishop
    I managed apartments for a couple of years. One do the major national websites for apartment referrals does not charge you to list only per leased unit. The referral fee is around $500

    They adversize to the apt hunter and offer a $150 bonus if the rent from one of the places listed. They get the $500 from the apts and send $150 to the new renter

    I looked into referring in TX and I need a realtor license too
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    • Profile picture of the author 1fisherman
      So... they offer an incentive to the prospective renter?

      Nice idea. That could work.

      Thanks.
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      • Profile picture of the author John Dales
        But what if you apply this idea instead to car dealerships since you do not need the equivalent of a real estate broker's license when selling cars...You approach a car dealership..Negotiate a deal with them that you will get leads for them in exchange for commission..And then when you receive your commission you send maybe 25% of that to the car buyer as a Rebate.
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