If a Remax franchisee refers residential property transactions, are they prohibited from receiving referral fees?

According to Remax's 2025 Franchise Disclosure Document, a franchisee is not prohibited from receiving referral fees for residential property transactions that they refer. The FDD specifies that franchisees must refer all residential property transactions to a RE/MAX residential real estate office, as outlined in Subsection 8.H. of the Franchise Agreement. Importantly, the document explicitly states that nothing within the agreement should be interpreted as preventing the franchisee from earning referral fees on these referred residential properties. This allowance enables franchisees to benefit financially from leveraging the RE/MAX network for residential transactions, even if their primary focus is on commercial real estate.

This provision creates an opportunity for Remax franchisees to generate additional income by connecting clients with the appropriate residential real estate experts within the Remax system. By adhering to the referral requirement and directing residential transactions to other Remax offices, franchisees can ensure that clients receive specialized service while also securing a referral fee. This dual benefit encourages franchisees to actively participate in the Remax referral network, strengthening the overall brand and service offerings.

It is important to note that while Remax permits franchisees to receive referral fees, the specific terms and conditions governing these fees are likely detailed elsewhere in the Franchise Agreement or related documents. Franchisees should carefully review these materials to understand the exact procedures for processing referrals, the applicable fee structures, and any potential limitations or requirements. Understanding these details is crucial for maximizing the benefits of the referral system and ensuring compliance with Remax's policies.