New Home Buyer Rebate (FAQ’s)
- What is a home rebate (new or resale) and how does it work?
- Is the rebate amount Rebate Properties offers negotiable?
- What areas does your company offer its services in?
- Can I buy a second home or an investment property?
- How and when will I receive my rebate?
- Do I have to sign an agreement to work with Rebate Properties?
- Is there a minimum sales price to receive the rebate?
- I’m already working with a buyer’s agent, but I want to work with Rebate Properties?
- I already visited a community and started working with the builders salesperson. Can I still receive the rebate?
- Can we visit new home communities on our own without a Rebate Properties agent?
- Is this a government program?
- Are foreclosures and/or short sale properties eligible for the rebate?
- Is it legal to receive a rebate from a real estate agent?
- Are there any fees or costs charged by the agent to receive the rebate?
Q: What is a home rebate (new or resale) and how does it work?
A: A home rebate is money gifted back to the client (be it buyer or seller), which is deducted from the real estate agent’s traditional commission.
Our clients receive home rebates either at closing, as cash back (credit) towards qualified expenses for our smart buyers or by slashing traditional sales expenses for our savvy sellers, which saves our clients tons of their hard-earned money!
Furthermore, a home rebate allows us the privilege of putting money back into the buyer’s (or seller’s) pocket, allowing our clients the opportunity to save thousands of their hard-earned dollars! At Rebate Properties, we truly believe “Sharing is Caring!”
Our generous new home buyer rebate program applies to all metro Houston or Atlanta new homes, condos or townhouses, listed for sale with any real estate agent or new home builder, throughout the States of Texas or Georgia.
Q: Is the rebate amount Rebate Properties offers negotiable?
A: Rebate Properties offers one of the highest and most generous rebate programs in either Texas or Georgia. For that reason, plus the excellent communication and service that we provide our clients, our rebate offers are non-negotiable. We urge potential clients to call other agents before contacting us. However, if you can find another organization that pays more, along with providing our level of unparallelled service and experience, then we strongly encourage you to work with them.
Q: In which geographical areas does your organization offer its services?
A: Depending on the level of service our clients require of us, we can pay a rebate on any home for sale throughout the States of Texas or Georgia. If a potential client is located outside of metro Houston, metro Atlanta, or relocating from another state or country, feel free to call us to discuss toll-free at 1-877-RBATES-1 or 1-877-722-8371.
Q: Can I buy a second home or an investment property?
A: Yes, the rebate is offered on any new home for sale in either Texas or Georgia where a 3% commission is offered to a buyer’s agent.
Q: How and when will I receive my rebate?
A: Your Houston or Atlanta Home Rebate will be a credit at closing. However, in Georgia, new home buyers can actually receive cash or a gift at closing, as principal to a transaction. Guidance on rebates in Georgia can be found here. In Texas, rebates are used towards a buyers closing costs, prepaid items, or other allowable expenses, per the buyer’s lender.
As per the Real Estate Settlement Procedures Act (RESPA) guidance, rebates should be disclosed to all parties on the HUD-1 closing document in lines 204-209 (the left-hand column under the heading “Amounts Paid by or on Behalf of Borrower”). In Texas, a credit at closing is as good as cash because it directly reduces the amount of money you have to bring and/or borrow to fund your closing.
There are many unavoidable closing costs and prepayments for buyers that your rebate can be used to cover. Some of these expenses could include: title insurance, loan origination fees, prepaid hazard insurance, prepaid property taxes, reimbursements of HOA annual fees prepaid by the seller for the remainder of the year, etc. These buyer’s closing costs generally add up to about 2.5% of the purchase price, so your rebate will be just enough to cover most of these!
Q: Do I have to sign an agreement to work with Rebate Properties?
A: Yes. Buyer’s Representation agreements are required. This provides protection to all parties by spelling out the terms of the rebate and the agency relationship in the transaction. This is required by law and must be returned to our organization in order to provide clients a rebate. If a client decides that they do not wish to work with Rebate Properties for any reason, they can simply sign a cancellation form. There are no hidden charges, fees or arguments.
Q: Is there a minimum sales price to receive the rebate?
A: Yes. We do require a minimum sale price of $200,000 with at least a 3% commission paid to offer a rebate. If the asking price is less than $200,000, we can discuss making an arrangement beneficial to our client and organization.
Q: I’m already working with a buyer’s agent, but I want to work with Rebate Properties?
A: If you’re already working with an agent and you signed a Buyer’s Representation Agreement, Rebate Properties cannot provide representation or a rebate. However, if you can provide Rebate Properties with documentation showing that the agreement was cancelled, then we can then potentially represent you.
Q: I already visited a community and started working with the builder’s salesperson. Can I still receive the rebate?
A: Maybe, depending on how far along in the sales process you are and whether the builder required Rebate Properties to register you on your first visit. To ensure that you receive a new home buyer rebate, provide the client registration form to each new home builder during your initial visit. You will need to contact the salesperson and tell them you would prefer to have a buyer’s agent represent you. Call us toll-free to discuss your situation at 1-877-722-8371 or 1-877-RBATES-1.
Q: Can we visit new home communities on our own without a Rebate Properties agent?
A: Yes, but you’ll need to register with each new home builder by providing a client registration form first. You can also contact us to provide our company and agent information during your visit with a builder.
Q: Is this a government program?
A: No. The rebate is provided by Rebate Properties and is deducted from the commission paid by the new home builder to our organization. Any one is eligible to receive a Houston or Atlanta new home rebate provided they comply with the terms and conditions set forth by the brokerage agreement and state law.
Q: Are foreclosures and/or short sale properties eligible for the rebate?
A: Yes, but at a reduced commission. Because of the tremendous amount of work and difficulty involved with these types of properties, contact us to discuss.
Q: Is it legal to receive a rebate from a real estate agent?
A: Yes! In fact, it’s illegal not to allow rebates. That’s called “price fixing” and falls under the “anti-trust” provisions of federal law. State Real Estate Commissions around the country have been receiving a lot of scrutiny from the Federal Trade Commission (FTC) and the Department of Justice (DOJ) because of their policies restricting rebates in real estate. Take a look at the DOJ’s stance on rebates to home buyers here.
Q: Are there any fees or costs charged by the agent to receive the rebate?
A: There are absolutely no fees charged.
Any other questions, contact us.