Out of State Referral Question for Agents/Brokers

1 Reply

Hi - I'm a relatively new Broker and have a question that might be dumb, but that's what these forums are for. I have a listing agreement with a customer who owns farmland in the state I am licensed. He also owns farmland in another state. There is an opportunity to sell part of the farmland in the state I am not licensed in. I have a good relationship with a broker in the receiving state and we are going to be signing a NAR Referral Contract form.

My questions are: 

1.) It's my understanding that in Indiana, I can sign this form on behalf of my managing broker. How do I verify this?  And how do I find out if the receiving state requires the signature of the managing broker just for my own edification?  

2.) When signing the listing agreement for the specific parcel of land we are working together on, do I still sign the listing agreement or does it technically need to be signed in by the receiving broker since it is in their state of licensure and not mine?

Thank you for any guidance in advance!

@Craig Blough

So what State are you in?  Washington or Oregon where they call both levels of licensure "brokers?"

Yeah, you really should just talk to your Broker of Record (are they called Principal Brokers?).  Thats what he or she is there for.  Also, you have own State specific laws and whatever/however your broker wants to see it done.

So, you are basically doing a referral. You are referring your client to an agent/broker in Indiana. So, you two should just be signing a form saying that you are referring so and so client to the agent/broker in Indiana for a particular referral commission. That's it. You don't take part in the listing of the property in Indiana. You aren't licensed in Indiana.

For anything more specific, you really need to or should be talking to your Managing Broker, especially as a newly licensed agent.

Good luck.

P.S.  Honestly, if you need to turn to a public forum instead of having the conversation with your broker, perhaps you should find a new/different Broker to work for since its obviously not working out.