Episode 345: Do Lenders Pay Realtors for Referrals?

[@SunStarMetroRealty]

Unless its a business purpose loan.. Right??

[@auctionman707]

Whats confusing is the fact that real estate agents can also be LOs. So….if a real estate agent wants to get a referral from a lender couldnt he run the refferal through his mortgage broker instead of his real estate broker and have it be legal? It would be seen as a mortgage broker to mortgage broker referral. 🤔

[@dustinowen1191]

Personally and professionally I am not a fan of the dual role; for many reasons. Until recently, HUD did not allow for dual role. There is scuttlebutt out there that HUD's recent ruling will be overturned. To your point, the dual agent a way to skirt the system. There are other ways to skirt the system as well and to work angles. Some of these ways are on the up and up and some are SUPER grey. Side note, many banks and lenders will not allow their LO's to be active agents. Professional opinion: Paying anyone for a referral is not a good look and overall not in the consumer's best interest. Compensating a professional for work performed is a different story. (i.e. Dual role agent.)

[@Niko-1004]

lol that's what they tell ppl. We all know what's going on