Brokerages That Provide Leads in DFW: What to Ask Before You Join

What provides leads can mean

• Leads the brokerage creates from ads or online platforms.
• Leads from partner or relocation relationships.
• Referrals passed between agents inside the brokerage.
• Leads that come from the brokerage's own website and name.
• Lead programs agents pay to join.

From the field

Our longest-tenured agent started four years ago and stayed. They closed 10 or more deals in their first year and 20 or more every year since. Names are withheld.

This is one agent's result, not a promise or a typical outcome. Your results will depend on your effort, market and performance.

How leads get paid for

Brokerages cover the cost in different ways. None of these is wrong on its face. The risk is not knowing which one you are signing.

• A monthly or upfront fee for lead access.
• A referral fee taken from the commission when a lead closes.
• A lower split in return for leads.
• No separate charge, with the cost built into a split or a transaction fee.

Ten questions to ask

• Where exactly do the leads come from? Ask for the sources by name.
• How are leads assigned: shared, rotated, or based on performance?
• What do I owe when a lead closes? Ask for it in writing.
• What do I owe when a lead does not close?
• How fast do you expect me to respond, and how is it measured?
• What makes me lose leads?
• How many agents share each area?
• Which CRM do we use, and who owns the lead data?
• Can I talk to two agents who got leads here in the last year?
• What happens to leads in progress if I leave?

A simple scorecard

Score each brokerage from 1 to 5 on these, using only what they gave you in writing.

• Total cost when a lead closes.
• Cost when a lead does not close.
• How clear the sources are.
• How fair the assignment rules are.
• How easy it is to leave.

Red flags

• They will not name the sources.
• They present an estimate as a guarantee without clear written terms.
• They charge upfront with no clear terms.
• Nobody can say how many agents share an area.
• They push you to decide fast.

A scorecard you can print

Score two or three brokerages side by side with the printable brokerage scorecard.

A due-diligence table

Use this table in your interview. Ask each question out loud, then ask for the evidence in writing. A brokerage that is proud of its program will not mind. This table is an original checklist from The Bauer Group.

How lead assignment methods work

Brokerages use a few common methods. None is automatically fair or unfair. The method decides who gets what, so ask which one applies and whether it can change.

• Round robin. Leads rotate through a list of agents in order. Ask: how are agents who skip or miss a lead handled, and does the order reset?
• Performance-based. Agents who respond fast, convert more, or follow the rules receive more. Ask: which measures count, over what period, and how a new agent with no history is treated.
• Area-based. Leads go to agents assigned to a zip code or neighborhood. Ask: how areas are chosen, how many agents share one, and whether you can switch.
• Purchased. The agent pays for a lead, a subscription or an exclusive area. Ask: whether the purchase is refundable, who owns the contact, and what happens if a lead is invalid.
• Hybrid. Many programs mix methods. Ask for the rules for each stream.

RESPA Section 8 and Texas referral fee rules

Lead programs often run on referral relationships, so two sets of rules matter. This is a description of the rules with citations, not legal advice.

Federal law first. RESPA Section 8 and the CFPB's Regulation X (12 CFR 1024.14) say no person shall give or accept any fee, kickback or other thing of value under an agreement or understanding that settlement business involving a federally related mortgage loan will be referred. The CFPB says such an agreement can be oral or can be shown by practice, pattern or course of conduct. Regulation X also says a split of a charge is not allowed unless services were actually performed. 'Thing of value' is broad and includes commissions, fees and discounts.

There is an exception. Regulation X permits payments under cooperative brokerage and referral arrangements between real estate agents and brokers. The CFPB page says this covers fee divisions among real estate brokers acting in a brokerage capacity, not arrangements between brokers and mortgage brokers. Normal promotional and educational activities are also permitted if they are not conditioned on referrals. The CFPB's FAQ says there is no exception based only on the value of a gift or promotion.

What this means for a lead program: a program that is only about connecting an agent with a buyer or seller is a different question from one where a lender or title company pays the brokerage or agents in exchange for sending them business. Ask how the program is structured and who reviews it.

Texas rules next. TREC's FAQ says a license holder may not pay an unlicensed person valuable consideration for referring a potential buyer or lessee, citing Rule 535.20(a), and that a license holder can be disciplined for paying any part of a commission to anyone other than a licensed broker, citing Occupations Code Section 1101.652(b)(11). A merchandise gift worth $50 or less is not treated as valuable consideration, but cash and bank-issued gift cards are.

Referral fees between agents go through brokers. TREC says a sales agent may not accept compensation from anyone other than the broker they were associated with when it was earned, and may not pay a commission except through the sponsoring broker. The rule text adds that compensation paid to a sponsored agent must be paid through or with the written consent of the sponsoring broker.

Put your questions in the interview: who pays the program's costs, who gets paid when a lead closes, and whether any lender, title company or other settlement provider is involved.

How to evaluate a program after 90 days

Run this worksheet with your own numbers. It is an original framework from The Bauer Group. Fill it in on day 90. Do not use someone else's numbers or a brokerage's average. Read the lead tracking basics first so your data is clean.

Reading your 90-day result

Ninety days is early for closings in most markets, so weigh the early measures. Keep the program if reach rate is healthy, appointments are coming and the pipeline covers your cost. Change something if reach rate is low and the cause is your response time. See answer rate. Leave if the written terms differ from what you were told, or if you cannot get answers to the questions above. Use the brokerage scorecard to compare with another option.

Check before you rely on this

This guide reflects the sources named below, read in early October 2026. Fees, rules, forms and market numbers change, and some details here may already be out of date.

Confirm anything that affects your money, your license or a contract with the source itself, such as TREC, the National Association of Realtors, your local association or your sponsoring broker. If something looks different from what you find, trust the source and let us know. This guide is general information for licensed agents and people becoming agents. It is not legal, tax or financial advice.

How The Bauer Group fits

The Bauer Group is a Frisco, Texas brokerage. Opportunities come from several lead generation platforms and resources, and how much an agent receives depends on performance. You pay nothing up front, and there are no desk or monthly fees. When a deal closes, a written split and a 2% resource fee on each transaction apply. Nothing is guaranteed, and terms are shared in writing before you decide.