The real estate rebate is something your realtor will give you as incentive to work with them. You agree to work with a particular real estate agent and they agree to give you a percentage of their commission. If you think this might be chump change, consider the following and see why you should be asking your realtor about the rebate before signing any contracts.
The bottom line, real estate rebates are good for consumers;
1. The real estate rebate is something between you and your realtor, and something that you need to inquire about because most realtors are not yet on board. This is in fact a percentage of the realtor’s paycheck, and they work extremely hard for every dollar they earn. The realtors however will agree to give you the cut if you agree to sign a contract to utilize their services.
2. Let us assume for the sake of this article that you are buying a house between $250,000 – $300,000. The real estate rebate you could receive simply for asking is around $2,500 or more. Can you imagine being handed a check for that amount at the closing of your home?
3. There really is no extra effort made on your part other than asking the realtor for the real estate rebate. You do not have to fill out forms or submit any documents, once you ask you agree with your realtor and the deal is done. There really is no reason you shouldn’t be asking, it is like tossing money away. Just be sure you ask before you sign the contract.
4. When most people walk out of closing, they are penniless until their next paycheck because of all the costs involved with the closing. Buying points, lawyer fees, and more, can run in the thousands in some cases. Now you get you nice big check, and you can use it a number of ways. Pay off the moving company, buy a few weeks of food, pay utility deposits, or just have the property landscaped. That money can really come in handy when home buyers need it the most.
5. Most realtors who offer the real estate rebates are working their tails off to make up the money. This means you have not only a generous agent, you have a motivated agent to get you in the house you want in the shortest time possible.