One thing is certain this year, many trends in the real estate industry are certainly favoring the homeowner. Although there is record inventory on the market, and median home prices are still on the rise, understanding how the real estate trends for 2016 and going forward to 2017 can benefit the homeowner and can really put a nice chunk of change in your pocket. One particular real estate trend this year is the home rebate. How does it work and how does it benefit the homeowner? The professionals at Premier One – Charleston, have given us a brief run-down on some of the latest trends and don’t forget to see them for Charleston SC Real Estate.
What is the Real Estate Rebate?
The real estate rebate is a commission paid to the homeowner at the closing in the form of cash, gift certificate, or free services. When a home sells for approximately $300,000, the real estate agency will pocket over $9,000 in commissions. In a very competitive industry, the real estate agents are willing to turn around and give back a portion of their commission to the homeowner in exchange for using them to sell their house. The real estate rebate is negotiable, and many agents offer a third of their commission or to pay for services like home inspection, closing, or repairs.
How Does the Rebate Benefit the Homeowner?
The benefits of getting a real estate rebate are numerous. One of the biggest is getting that cash at closing, which can be quite high as prices continue to rise in the real estate market. For homeowners who are under water, or must sell quickly without making a profit on their homes, the real estate rebate is a huge bonus at the completion of the sale that turns a no profit sale into a profitable one. Homeowners who bought at the height of a market and now must sell close to their buying cost, gladly welcome walking away from the sale with cash in their pocket.
How to Get the Real Estate Rebate?
When you are shopping around for a real estate agent, simply inquire about the real estate rebate before signing any papers. The agent will discuss with you what percentage they can offer as cash back, whether they prefer to pay for services during the sale of your house, or if they offer gift certificates instead. The amount of the rebate is completely negotiable and up to the individual agent, and asking about the rebate is the best way to narrow down the search for the real estate agent you want to hire to sell your home.
With closing funds often tied up for days after the house is sold, the real estate rebate puts cash in hand you can utilize until the entire closing procedure has run its course.