FAQ About Questions on New Home Rebates
Most home buyers use a real estate professional when building a new home. The builder has set aside these real estate commissions to be paid on every new home. The sales agents within the builder's office, work for the builder and may not have your best interest in mind. A real estate professional can ask the right questions and represent you, the buyer!
Yes you can, but you should register with us prior to traveling to any communities you would like to visit. Some communities require the real estate agent to accompany you in person in order for us to represent you to be eligible for the home rebate. We can contact the builders for you and find out what the requirements are to represent you. If you visit a builder without us, be sure to inform them that you are currently working with a realtor and share the contact information to them.
Rebates are typically payments taken from the real estate broker's commission to his or her client at closing. These rebates that must be approved by the lender can be applied to a credit towards closing costs and/or prepaids. If there is any rebate amount left over, this money can possibly be used in a reduction to the price of the home, Interest Rate Buy-Down, principal curtailment etc, or options from the builder and lender.
Any home sold by a builder including quick move ins, inventory homes, and even built from the ground up. Any home you can can from a builder which normally pays 3% or higher commission to buyers broker. That's how we can make this happen for you. All parties involved must be notified and requires lender approval.
No. There are no minimum requirements as long as 3% or higher commission is paid to the broker at the least. In the case that a lessor commission amount is paid, the difference will be shared in the same manner. Just remember this rebate will have no cost to you and overall, will keep more money in your pocket.
On a 2.5% commission, you would receive a rebate of 1.5% and we are paid 1%. If the builder is only paying 2%, then you would receive a 1% rebate and we would be paid the remaining 1%.
Simple math. For example, we are typically paid 3% of the purchase price. All parties involved must be notified and requires lender approval. Our rebate is for new homes is 2% so if your new home purchase was $300,000, then your rebate would be $6,000.
There's no catch! Our program rewards people for doing exactly what they are doing....starting their home search on the internet. Most realtors do not offer this, instead preferring to keep their entire commission regardless of how much time they have to invest in a client. We see this rebate as a way of giving back to those buyers who assist us in shouldering the time consuming task of locating the right home for them.
Our program is geared toward the "do it yourself" segment of the market who takes on a very active role in the initial search. They just want an agent to assist with the negotiation and/or unlock the 3% builder commission so they can get a 2% rebate.
Builders offer a 3% realtor commission that is built into the price of the home. This is a marketing expense the builder simply pockets if you choose to purchase without representation. Since the builder pays all our fee to represent you as a buyer, NONE of our services will cost you a penny. However, if your offer is not accepted or we are otherwise unsuccessful in assisting you in your new home purchase, you owe us nothing.
Because we want to do volume transactions, we are able to operate with reduced costs and still be profitable. This is very different than most agents that spend their time and money with listings that don't sell and buyers that don't buy. Our up-front approach usually attracts the most serious buyers. Because we only work with ready, able and willing clients, we can eliminate the taxi driving and other unnecessary (but time consuming) tasks which make the home sale process more efficient to all parties.
Unfortunately if you are already under contract with another real estate agent, you are not eligible for our program. This service is not meant to solicit buyers already working with a buyer agent. However, once your current contract is terminated or expires, we would be happy to assist you.
A builder usually wants to know at the first meeting if you have a real estate agent representing you. If you have already visited a builder, they are not legally bound to compensate a real estate agent, since you are already a potential client. A builder may or may not allow you to have an agent after you have made contact with them.
Yes, rebates to home buyers are 100% legal in every state state EXCEPT Alaska, Kansas, Louisiana, Mississippi, Missouri, Oklahoma, Oregon and Tennessee. The harsh reality is that rebates are not very popular among the general population of real estate agents. Most agents make their living by keeping all of their commission, which is typically 3% of the sales price on a home. If an agent tells you that rebating is not legal, they are ignorant of the law, or simply they make more money by convincing you otherwise. Please check with your state's Real Estate Commission to see if changes have been made to the states mentioned.
Brokers and agents across the county are eyeing this trend nervously. Rebates are basically gifts that the buyer can use to reduce their out of pocket expenses: however the buyer's gain is often seen as a loss to the agent. Most agents earn their sole living based on the commission received from the real estate transaction. Often times, the agent has to split their commission check with their sponsoring broker.
We see a great opportunity in helping others that are actually capable of doing a great deal of the initial research and legwork. Our business model is based on volume transactions, and we don't need to make 3% on each deal to be successful.
We offer 2% cash back rebate for any to be built construction home. Many buyers find it easy to shop for new construction homes on their own without the assistance of an agent. In that scenario, our goal is simply to make sure you are aware of ALL your options. Once you locate a home you would like to purchase, we're here to help negotiate the absolute lower price plus rebate you 2% back.