How to Fill Out the NC Real Estate Referral Agreement (Form 730)

The NC Form 730 referral agreement is a one-page NC REALTORS standard form that two brokerages sign when one firm refers a buyer or seller to the other for a share of the eventual commission. The current version is dated July 2026 and is available only to NC REALTORS members through the association’s forms library or integrated platforms like Dotloop and zipForms. Filling it out takes a few minutes. Getting the compensation terms and end date right is what keeps the agreement from unraveling at closing.

Confirm Both Firms Are Licensed

Before you draft anything, verify that both brokerages hold active North Carolina real estate licenses on the NCREC online lookup tool. N.C. Gen. Stat. § 93A-1 makes it unlawful for an unlicensed person or entity to perform brokerage activity, and collecting a referral fee counts.¹ The form itself carries a built-in representation that each firm is licensed as of the signing date.²

Compensation has to flow firm-to-firm, not firm-to-agent. NCREC Rule 58A .0120(b) bars an affiliated broker from receiving a commission or referral fee from anyone other than their current Broker-in-Charge or the BIC who supervised them during the transaction.³ A provisional broker who takes a check directly can face discipline up to license revocation under N.C. Gen. Stat. § 93A-6(a)(5).⁴

Fill in the Firm and Agent Blocks

The top of the form has mirrored blocks for the referring firm (sending the lead) and the receiving firm (taking the client). For each side, enter:

The firm’s legal name as registered with NCREC, not a DBA or team name.
The firm’s license number, not the individual agent’s.
The individual agent’s name and license number on each side.
The office address, phone, fax, and email on file with NCREC.

Check license numbers against the NCREC database before signing. A typo does not void the agreement, but it creates problems if anyone later questions whether the right entities were parties to the contract.²

Identify the Prospect Specifically

Below the firm blocks, enter the prospect’s full name and contact details. Be specific. If you are referring a married couple, list both names. A vague description invites arguments later over whether a particular closing was actually the referred transaction.

Set the Compensation

The compensation section has separate blanks for two scenarios. Write “N/A” in whichever does not apply:

Listing-side referral: a percentage of the monetary compensation the receiving firm earns as the listing agent when the prospect’s property sells.
Buyer-side referral: a percentage of the monetary compensation the receiving firm earns as the buyer’s agent when the prospect purchases a property.

An “Other” blank handles flat fees or non-standard arrangements. No rule fixes the percentage, but 20–30% of the receiving firm’s gross commission is the common range in North Carolina.⁵ “Monetary compensation” is defined broadly on the form to include commissions, bonuses, and any other consideration of more than nominal value, so the referring firm’s share is calculated on the full amount rather than just the base commission.²

Choose an End Date That Fits the Lead

The form has an End Date field, and the referral fee is earned only if the prospect enters into a contract to buy or sell on or before that date. If nothing happens by then, the agreement expires and the receiving firm owes nothing.² Most parties set the window at six to twelve months. A shorter period protects the referring firm from having a lead sit idle; a longer period gives the receiving firm room with a client who is not in a rush. If the prospect is still active when the end date approaches, sign a new Form 730 with updated dates rather than letting the original run open-ended.

Signatures and Execution

The signature block on the 2026 version calls for an “Authorized Representative” of each firm — typically a managing broker, firm owner, or Broker-in-Charge. A line labeled “Optional: Managing Agent or BIC Signature” sits beneath each representative’s signature.² Because all referral compensation ultimately has to flow through the BIC under NCREC rules, many firms require the BIC’s signature as internal policy even though the form marks it optional.³ Check with your BIC before you send the form out.

The agreement takes effect on the date of the last signature. North Carolina recognizes electronic signatures for real estate transactions under the state’s Uniform Electronic Transactions Act, N.C.G.S. § 66-311, as long as both parties have agreed to conduct business electronically.⁶ DocuSign and Dotloop both satisfy that requirement and create a timestamped audit trail. Send the fully executed copy to both firms by secure email so each side has a complete record.

After You Sign: Records, Taxes, and Boundaries

Keep the Signed Agreement on File

Both firms have to retain the signed referral agreement. Under NCREC Rule 58A .0108, brokers keep records of all transactions, including brokerage cooperation agreements, for three years after all funds have been disbursed or three years after the transaction concludes, whichever is later.⁷ If the referral expires without a transaction, the three-year clock runs from the end date on the form. The Commission can inspect without prior notice, so keep the file somewhere you can actually find it.

Issue a 1099 if the Fee Hits the Threshold

The firm paying the referral fee handles the tax reporting. Beginning in 2026, the IRS requires a Form 1099-NEC for nonemployee compensation of $2,000 or more paid during the calendar year, up from the previous $600 threshold, with inflation adjustments starting in 2027.⁸ Most residential referral fees clear that threshold, so the receiving firm should plan to issue a 1099-NEC to the referring firm by January 31 of the following year. The referring firm reports the income on its tax return whether or not a 1099 arrives.

Keep the Arrangement Brokerage-to-Brokerage

When the referred prospect is buying with a federally related mortgage, RESPA Section 8 generally prohibits kickbacks for referrals of settlement services. The statute carves out an explicit exemption for cooperative brokerage and referral arrangements between real estate agents and brokers.⁹ A standard broker-to-broker Form 730 fits inside that exemption. It does not cover arrangements that pull in a mortgage broker, title company, or other settlement service provider; those can be treated as illegal kickbacks under different RESPA rules.¹⁰ Keep Form 730 limited to brokerage compensation.

Disclosure to the Client

As of late 2025, there is no legal or NAR Code of Ethics requirement to disclose the referral fee to the referred client. A proposal to amend Article 7 to require disclosure failed to clear the required two-thirds majority at the NAR Delegate Body.¹¹ Individual brokerages can still impose their own disclosure policies, so check yours before assuming silence is the default.

1
North Carolina General Assembly. North Carolina General Statute 93A-1 – License Required of Real Estate Brokers
2
NC REALTORS. NC REALTORS Standard Form 730 Referral Agreement
3
North Carolina Administrative Code. 21 NCAC 58A .0120 – Prohibited Acts
4
North Carolina General Assembly. North Carolina General Statute 93A-6 – Disciplinary Action
5
NC REALTORS. The Importance of Putting Your Referral Agreements in Writing
6
North Carolina Real Estate Commission Bulletins. Tech Corner: Electronic Signatures
7
Cornell Law Institute. 21 NC Admin Code 58A .0108 – Retention of Records
8
Internal Revenue Service. Publication 1099 (2026) – General Instructions for Certain Information Returns
9
Office of the Law Revision Counsel. 12 USC 2607 – Prohibition Against Kickbacks and Unearned Fees
10
Consumer Financial Protection Bureau. 12 CFR 1024.14 – Prohibition Against Kickbacks and Unearned Fees
11
Pennsylvania Association of Realtors. Update on NAR Referral Fee Proposal