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enchmark Realty, a Tennessee‑based brokerage, has rolled out a new policy to boost transparency around referral fees. The rule requires every agent to disclose in writing any referral fee, incentive payment or other financial benefit that will be paid to or received from any party involved in a transaction. The disclosure must be made through an updated affiliate business disclosure form, completed as soon as a referral agreement is formed or known, and no later than the moment a client signs representation or transaction documents. Agents must then upload the signed form into the transaction file.

    The policy covers all types of referral arrangements—agent‑to‑agent, relocation networks, lead‑generation platforms, broker‑to‑broker referrals, and marketing or advertising networks that compensate agents or third‑party service providers. Clients are informed of who pays the fee, who receives it, the amount or calculation method, and that the fee will not increase their costs or diminish the quality of service.

    Agents may not withhold, delay, minimize or obscure the fee, nor engage in any referral arrangement that cannot be fully disclosed. Failure to comply triggers disciplinary action, up to termination of affiliation with Benchmark Realty.

    The announcement follows eXp Realty’s introduction of enhanced disclosure standards and a new section in its seller and buyer agreements that clarifies referral fees. It comes shortly after the National Association of Realtors’ delegate body overturned a board vote that would have required Realtors to obtain client consent whenever they receive money, rebates or profit from referrals. Benchmark Realty notes that while the national and most state and local associations have not adopted mandatory transparency policies, the brokerage believes its clients deserve complete clarity about how real estate professionals are compensated.