User:Tjohio007

[[\sponsored listing] A sponsored listing is a real estate home for sale, listed by a professional realtor, but the seller is not paying all or part of the real estate commission because the commission is being paid for by someone else. In most cases a title company or a mortgage company has created a fund to compensate the real estate agent so that the real estate professional does not have to charge a fee to the homeowner. In the hopes that the homeowner will then use the "sponsor" for their necessary services when the time comes that the home sells.

An example of this would be that a title company, known as an affiliated business, to the real estate agent, pays all or some of that real estate agents salary or compensation. Once a real estate agent knows that compensation is coming from a sponsor they can then reduce or even eliminate the commission charged to the homeowner. Since the homeowner is saving money by not paying the commission they are likely to use the real estate agent who is sponsored. In return, when the home sells, the real estate agent will recommend that title company to the homeowner in the future when the home is about to sell and the seller needs a title company.

This is new in 2019 and was started in Cleveland, Ohio but the legality of the practice has not been legally challenged. Can a title or mortgage company or insurance agency, which are industries that have strict rebate limitations, simply pay a professionals salary and that professional then offers his services to homeowners?.

Most real estate brokerages in the United States have in house mortgage and title services which they own and recommend but as part owners they are allowed to share in profits as long as this profit sharing is offered equally to everyone.The question of law is if a title company or service can pay into a fund to compensate real estate professionals as if in an advertising fund and those professionals then recommend the title services to the homeowner.