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Old 04-04-2009, 04:19 PM
 
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My husband and I are offering our friends, family and neighbors $300 for the first person to find a buyer for our home in NC to be paid upon closing. I am starting to hear that referrals paid to anyone except a RE agent are illegal. Is that true? I can see there being limits what gets paid by RE agents but on the homeowners themselves? TIA for any info...
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Old 04-04-2009, 04:47 PM
 
Location: Salem, OR
13,194 posts, read 29,419,173 times
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In Oregon you can't pay anyone who isn't licensed a fee in order to conduct "real estate activity." Finding a buyer for your home would be construed as real estate activity.

They could get a civil fine for conducting real estate activity without a license.
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Old 04-04-2009, 04:53 PM
 
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OK thank you.. kind of makes more sense now.
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Old 04-05-2009, 03:40 PM
 
Location: Fayetteville, NC
1,490 posts, read 4,753,963 times
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That is the case in NC. Licenses can't pay any unlicensed person and an unlicensed person cannot conduct certain activites.

See Activities Requiring a License [G.S. 93A-2]

Last edited by faabala; 04-05-2009 at 03:49 PM..
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Old 04-05-2009, 08:48 PM
 
Location: Columbia, SC
8,329 posts, read 16,338,096 times
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Quote:
Originally Posted by faabala View Post
That is the case in NC. Licenses can't pay any unlicensed person and an unlicensed person cannot conduct certain activites.

See Activities Requiring a License [G.S. 93A-2]
Right, so if this is FSBO then they may be able to. Good question, I'm not sure, check with the local LLR.
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Old 04-06-2009, 06:01 AM
 
Location: DFW - Coppell / Las Colinas
26,545 posts, read 31,028,448 times
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How about a coupon to a really nice restaurant, concert or nice hotel room for a Saturday night?

If your doing this for a close friend or family I believe you'd be OK. Go with the military motto - Don't ask, Don't tell.
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Old 04-06-2009, 06:16 AM
 
19,385 posts, read 18,519,913 times
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Quote:
Originally Posted by Rakin View Post
How about a coupon to a really nice restaurant, concert or nice hotel room for a Saturday night?

If your doing this for a close friend or family I believe you'd be OK. Go with the military motto - Don't ask, Don't tell.
You mean that you're going to give a gift to the wonderful person who was kind enough to help you sell your home. This isn't an employer/employee situation.
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Old 05-06-2010, 04:37 AM
 
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Totally illegal in FL. And they have now made selling real estate without a license a felony. Don't even offer a gift.
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Old 05-07-2010, 09:43 AM
 
Location: Barrington
36,911 posts, read 28,034,464 times
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Quote:
Originally Posted by elitelady1 View Post
Totally illegal in FL. And they have now made selling real estate without a license a felony. Don't even offer a gift.
One can still sell by owner, no referral fee or gifting allowed.
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Old 05-10-2010, 10:49 AM
 
Location: Boise, ID
7,788 posts, read 20,561,036 times
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I'm actually not sure about this. A licensed person cannot share their commission with an unlicensed person in most cases (although in Idaho we can share with either the buyer or seller). I think we are all agreed on that. But in this case, it is the unlicensed seller who is wanting to pay the bird dog fee. Does that make any difference in NC? I don't know. All the Idaho laws I can find refer only to "licensed persons" not sharing with an "unlicensed person". I can't find anything that says an unlicensed seller cannot pay a bird dog fee.

You still have the "practicing real estate without a license" issue, but if all the person does is mention to a buddy at the bar "Joe has a great house he's trying to sell that might be what you are looking for, you should go talk to him", that probably doesn't violate anything. However, if you get people other than the seller doing things like advertising, then you have a big problem.

Note: I am not an agent, or a lender, or an attorney. You would be best served by looking up your local law or consulting a local attorney.
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