By Justin Stoddart

Introduction

In the world of real estate, one of the most common frustrations among agents is the one-way street of referrals when working with contractors. Agents are constantly sending work to contractors, yet rarely see those referrals come back their way.

But what if contractors became proactive referral partners—offering not just top-notch home remodeling services but also referring business to the real estate agents who connect them with clients in the first place?

In this episode of the Think Bigger Real Estate Podcast, my co-host Stephanie Peck and I sat down with Laurel Winkel, a highly regarded kitchen and bath remodeling expert, to explore what it takes to turn contractors into true business partners for real estate agents.

The Power of a Two-Way Street

Most contractors assume their job is done once they provide great service to a homeowner. They believe that if they take good care of a referral, that’s enough to satisfy their end of the partnership. But Laurel argues that the real power comes when contractors see themselves as more than just service providers—when they build genuine relationships with their clients and actively look for ways to return the favor to their real estate agent partners.

Many homeowners considering a remodel are also evaluating whether they should sell their home or stay and renovate. Contractors who take the time to ask the right questions—like how long the homeowner plans to stay in the home—can uncover potential real estate transactions and provide warm leads to their trusted agent partners.

How Contractors Can Identify Real Estate Opportunities

During a remodel consultation, contractors naturally have in-depth conversations with homeowners about their future plans. By asking strategic questions, they can uncover:

✅ Are they remodeling to increase their home’s value before selling? This is the perfect time to connect them with a real estate agent who can help them maximize their return.

✅ Are they upgrading their home, but still unsatisfied with the space? A contractor can introduce the idea of selling and moving into a home that better fits their needs.

✅ Are they making modifications for aging in place? If the home still isn’t ideal long-term, an agent can help them explore downsizing or finding a more suitable property.

Bridging the Gap: How Real Estate Agents Can Add Value to Contractors

A successful contractor-agent relationship isn’t just about real estate agents receiving referrals—it’s also about adding value to the contractor’s business. Here’s how agents can stand out:

• Providing Home Value Insights: Many homeowners hesitate on renovations because they aren’t sure whether the investment will pay off when they sell. Agents can provide real market data to help contractors educate clients about ROI.
• Helping Contractors Stay Top-of-Mind: Agents have a network of homeowners who frequently need kitchen and bath remodels, home upgrades, and repairs before selling. By actively promoting their contractor partners, agents can keep business flowing both ways.
• Partnering on Listing Prep: Outdated kitchens and bathrooms are major buyer turn-offs. Agents who proactively bring in a contractor to offer estimates and renderings can help sellers market their home more effectively—leading to faster sales.

The Key Takeaway: It’s About Relationships, Not Transactions

Laurel and Stephanie both agreed: The best agent-contractor partnerships aren’t about simply exchanging business cards. They’re about deep relationships, built on trust and a shared goal of serving clients at the highest level.

Agents looking for referral-worthy contractors should seek out professionals who:

• Take time to truly understand their clients’ long-term needs
• Maintain ongoing relationships with past clients, staying in touch even after a remodel is complete
• Are willing to collaborate on home sales by providing remodel cost estimates and design ideas for potential buyers

And for contractors? The most valuable referral sources will be agents who:

• Actively send business their way and promote their services
• Provide market insights that help contractors guide clients through the remodel vs. move decision
• Treat them as strategic business partners, not just another service provider

Building a Win-Win Partnership

This conversation proves that real estate agents and contractors have an incredible opportunity to collaborate in ways that benefit both their businesses. By thinking beyond one-sided referrals and instead focusing on mutual value, agents and contractors can create a powerful partnership that leads to more clients, more deals, and more satisfied homeowners.

Want to take your real estate network to the next level? Start building deeper relationships with contractors who understand the value of a true partnership—and watch your business grow as a result.

At ProInsight, we’re here to empower you to reach new heights. Let’s think bigger together.