The following information is for licensed Real Estate Brokers and or Agents that are interested in presenting a property that is listed with Knipe Land Company (as it pertains to all brokerages under the Knipe Land umbrella) to a prospective Buyer. Or are interested in referring a Prospective Buyer to be represented by an agent or broker licensed with Knipe Land Company.
We offer the written policies here in with respect to compensating a Cooperating Broker for both those situations:
Commission Split
The terms on which a commission are split will be based on the terms of brokerage agreement for the specific property. Details of the amount will be provided on a Cooperative Broker Agreement created by Knipe Land and signed by all designated brokers involved. Fully engaging in the transaction process involving the prospective buyer is a requirement in order to be paid a commission.
Also, a Cooperating Broker who is not duly licensed in the state where the property is located or who is unwilling or unable to fully engage in the transaction process with the prospective buyer will not be eligible to be paid a commission. They could however, be eligible to receive a referral fee.
Referral Fee
By registering a prospective Buyer with Knipe Land Company, you may be eligible for a referral fee if you comply with the guidelines and procedures set forth herein. Our standard referral fee is 20% of the buyer’s side of a commission (i.e., the split of the commission, if any, that would have been paid to the selling broker if the selling broker was not Knipe Land). If such commission is received within one year from date of registration. The percentage adjusts to 10% for commissions received after one year. After two years the referral would be considered expired and no referral would be paid.
Circumstances may vary and we reserve the right to modify these policies as necessary to reflect a specific situation.
To be eligible to receive a commission or a referral upon the closing of a sale to a Prospective Buyer, Knipe Land Company requires adherence to the guidelines and procedures that follow.
Guidelines and Procedures
- In presenting the listed property to a prospective Buyer, please use the Knipe Land Company brochure in it’s entirety and without alteration.
- Direct or indirect contact with the property owner is not permitted. Any contact with the owner of a property or their employees, agents or family members should be communicated through our office. This also applies to the prospective Buyer and any infraction of this by the Prospective Buyer shall be applied to the Cooperative Broker.
- When at all possible, a Knipe Land Company Broker or Associate should be present at all showings, inspections, etc and during all contacts with the owner or his employees, agents, or family members. Is it your responsibility to provide us with sufficient advance notice of such appointments, so that a Knipe Land Associate can make arrangements to be present.
- If you choose to involve and compensate additional brokers, they will be paid from your share of any commission or referral due.
- An eligible prospective Buyer must not be one who has contacted Knipe Land Company about representation or who has had prior direct contact with Knipe Land Company concerning any specific property prior to completion of the registration process. Unless you have a written compensation or representation agreement with the prospective Buyer.
- Certain states do not allow out-of-state brokers to come into that state, to inspect the property or to be involved in negotiations related to the sale of property in that state. If such laws are violated, it may be unlawful to pay any compensation. Knipe Land Company will not violate state law, therefore no commission or referral will be paid.
- Knipe Land Company shall not be required to pay any compensation with respect to a commission that has not been actually received by Knipe Land Company or that is in dispute in any way. No Cooperating Party shall be entitled to receive both a commission split and a referral fee on a single transaction.
- No compensation shall be paid with respect to a prospective Buyer who has not been registered with Knipe Land Company. No registration shall be considered complete until you have completed the following form, signed the same and sent a copy to Knipe Land Company and until the form has been accepted in writing by the principal broker of Knipe Land Company.
Knipe Land Company reserves the right to withhold compensation if any of the guidelines and / or procedures are not satisfied.
Download the Broker CoOp Agreement.