Thinking about buying a home? Here’s a way to get cash back that could be worth thousands of dollars.

Home buyers with internet access are able to take a more active role in researching and viewing homes for sale. The result can be a time saving process for the buyer and the real estate agent.

Because time is considered to be money, home buyers are able to convert their online efforts into cash. Access to real estate listings online that were once available only to agents, provides home buyers the option to negotiate a commission split with their real estate agent.

Many agents that represent home buyers are open to sharing their sales commission in order to save time and effort on a transaction. Before a buyer makes an offer to buy a home, an agreement can be made with a real estate agent to represent them in exchange for a share of the agent’s commission, which is paid by the home seller at the close of the transaction.

How much of a rebate a buyer can get depends on two variables: the share of the commission, which is negotiable with the agent; and the final sales price of the home.

For Example: 3% of the sales price is a common commission rate that a home seller offers to a home buyer’s agent. If the sales price of a home is $300,000, and the buyer negotiates a 50% share of a 3% commission, that would amount to a rebate to the buyer worth $4,500.

A rebate can be paid at closing of the transaction, or the money can be applied to the buyer’s costs, providing there are no restrictions from the mortgage lender, or state laws that regulate real estate transactions. There are a few states that do not allow buyers to receive cash rebates.

It’s possible to get a cash rebate on the purchase of an existing home, or in some cases, a new home. Some builders offer commissions to real estate agents who bring buyers in to buy a home. Builders usually require the buyer’s agent to be with them when initially visiting the models, and when signing paperwork.

Buyers who will take the time to research and view homes on their own have the opportunity to save thousands of dollars, which otherwise would be paid to an agent for holding their hand while finding a home.

Related Posts