Cash Back Rebate Home Buying Program Chesterfield County VA

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Real Estate Broker/Owner with Equity First Realty VA BKR# 0225058489

Cash Back Real Estate Agent Chesterfield County VA - Cash Back Buyers Agent Chesterfield County VA

I’ll let this article from the US Dept. of Justice website speak for itself:  

Rebates Make Buying a Home Less Expensive

House made of $100 bills: Link to Rebate Calculator

In purchases where buyer’s brokers are offered half of a 5% commission, they may compete on price by refunding a portion of their commission to the homebuyer. A 1% rebate on the median-priced home would save the homebuyer $1,843.

Consumers can save thousands of dollars in commissions Table icon

Calculate how much you can save Calculator icon

Certain States Ban Rebates

In most states brokers compete on price for consumers’ business. However, ten states have enacted laws that forbid brokers from offering refunds, denying consumers the benefits of price competition and driving prices higher than they would be in a more competitive market.

States that ban brokers from offering rebates U.S. map icon

Department of Justice efforts to lift rebate bans


How do rebates work?

Some real estate brokers offer consumers cash refunds or non-cash incentives to encourage them to use that broker’s services. Rebates are typically cash payments from the real estate broker to his or her client after closing. Incentives may include gift certificates, closing-cost payments, or free ancillary services such as home inspections or moving services.

Learn more: Full-Service Discount Brokers

How do rebates benefit consumers?

Rebates can save consumers several thousand dollars in a single transaction. For example, if a broker offers to refund one-third of its commission to the homebuyer, the average buyer of a $300,000 home could save $2,500 to $3,000 (based on the 2.5% to 3% commission rates typically earned by the buyer’s broker).

Flowchart: Buyer purchases home for $300,000

Incentives, such as gift certificates for a home inspection, merchandise at a nearby hardware store, or moving services, give consumers monetary benefits from the transaction that they otherwise would not have obtained.

Offering rebates and incentives is one way that real estate brokers can compete for consumers’ business, leading to lower prices to consumers.

Do refunds and incentives pose any risk to consumers?

Some have argued that refunds and incentives can tempt consumers into closing on real estate transactions against their best interests. The Antitrust Division has found no evidence that refunds and incentives harm consumers. On the contrary, they can dramatically lower the price that consumers pay for brokerage services.

Do real estate brokers support rebate bans?

Some brokers support rebate bans as a means of reducing price competition. For example, when the Kentucky Real Estate Commission surveyed brokers about lifting that state’s rebate ban, here is what some of them said:

“If we give rebates and inducements, it would get out of control and all clients would be wanting something. The present law keeps it under control.”

“This would turn into a bidding war, lessen our profits and cheapen our ‘so-called’ profession.”

“If inducements were allowed, they could lead to competitive behavior, which would make us look unprofessional in the eyes of the public.”

“I think this would just take money right out of our pocket.”

Which states currently ban rebates and/or inducements?

Ten states currently have laws that ban rebates. Nine states have a full ban on broker rebates: AlabamaAlaskaKansasLouisianaMississippiMissouriOklahomaOregon, and Tennessee. In addition, Iowa prohibits rebates when the consumers use the services of two or more real estate brokers during a transaction.

http://www.justice.gov/atr/public/real_estate/rebates.html

Cash Back Rebates For Buyers

Earn a 1% rebate on the sales price of the home you purchase with Equity First Realty Cash Back Rebate Program. 1.5% is what we offer for new construction

By actively participating in the search for your home, you save us time and money, and we pass the savings on to you.

When a property is listed for sale, the seller typically pays a 3% commission to the buyer's real estate agent. Most real estate agents then keep all of the commission for themselves. When you use Equity First Realty as your exclusive buyer's agent and purchase a home, we don't keep all of the commission - we give you up to a 1% cash rebate on your home purchase and 1.5% for new construction.

By having Equity First Realty Realtor as your agent you are assured of great negotiating skills to get you the best price on your home, attention to detail to ensure your transaction is completed and handled correctly, plus up to a 1% cash rebate and 1.5% for new construction.

Virginia Home Buyer Rebate

Finding your Richmond, VA. dream home has never been easier, use our links to get started.

The Marcus Rice Team, Equity First Realty

The Marcus Rice Team specializes in Richmond, Va, Henrico County, Chesterfield County, Powhatan County, Hanover County, Petersburg, Colonial Heights, and Fort Lee Homes and Real Estate for sale. We are tech savvy realtors with over 17 years experience. Please join us on our Social Networking Network to stay up to date on Richmond Virginia real estate news and more...

The Marcus Rice Team can be reached at 804-247-8187 or mriceteam@msn.com  

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The Marcus Rice Team 
Equity First Realty 
4860 Cox Road, Suite 200 
Glen Allen, VA 23060

Call The Marcus Rice Team at 804-935-8519 Office or 804-247-8187 Cell
Equity First Realty Broker Site: www.Equity1stRealty.com 
Marcus Rice Team Site: www.RichmondVaHome.com
Equity First Realty Information Site: www.EquityFirstRealty.info
Email: mriceteam@msn.com

 

The Marcus Rice Team - Exit Elite Realty

Posted by

Marcus E. Rice - Principal Broker, CDPE

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Rainmaker
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Alan Kirkpatrick
Austin Texas Homes - Round Rock, TX
Alan in Austin

Nice post and great information. These are great programs for buyers. 

Apr 06, 2014 01:48 PM #1
Rainmaker
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Marcus Rice
Equity First Realty - Richmond, VA
Your Richmond & Northern VA Real Estate Broker

Thanks Alan.....

Apr 06, 2014 02:08 PM #2
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Marcus Rice

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