What is a referral in the context of real estate?

In the context of real estate, a referral is a recommendation of a person for service to another. This typically involves an individual, such as a real estate agent, suggesting a trusted colleague to a client or another agent who may need assistance in a specific area, for example, when buying or selling property. Referrals are fundamental in real estate as they help build professional networks and establish trust among clients and agents.

Building a solid referral network can enhance an agent's business by bringing in new clients based on positive experiences and credibility. This practice underscores the importance of relationships and reputations in the industry, thus playing a significant role in generating leads and fostering collaborations. Referrals can also involve both residential and commercial transactions, showcasing the versatility of this concept within the real estate field.