So here's the situation. I obtained my real estate license and became a Realtor in February. My father-in-law, also a realtor and my supervisor (his father bening the broker), referred a prospect over to me that was ready to buy property (Texas). We agreed on going 50/50 on commission since he got the client and was too busy with property management and I was, well, new and have no pipeline. My client had a $110k cash budget and was ready to finance if we found a property he really liked capping at a $200k budget. We find a place listed for $142k and negotiate down to $127.5k so he's forced to finance, and bam, we're in escrow. Okay no big deal, my FIL and I will split the 3% commission and we'll all be happy.
Here's where things get interesting. I convince my now client that since he's financing, we can find a rental property since he has cash on hand just sitting there collecting interest for a bank rather than letting it make money for himself. He's completely on board and I show him a property he REALLY likes. FIL says "Hey, we're going 50/50 on that too. Don't get greedy now."
That's as conservative and objective as I can tell the story. My questions to you, r/RealEstate, are…. 1. What's the typical split among realtors under the same broker? 2. Am I being greedy by objecting to splitting commission 50/50 for the second purchase? 3. What would you do? 4. Not a question but, he's my father-in-law and I'd like to keep getting referrals until I build a pipeline.
Additionally, my client wants to contract me to manage his rentals. Am I going to get stuck doing all the work only to split commission and work for pennies?? ( I say pennies because I own a business and do real estate part time)
Thanks for your feedback
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