How to get your 2% rebate

You do the initial legwork and identify a house you want to make an offer on. We write the offer and handle all the negotiations and paperwork. An agent representing a buyer normally gets 3% of the purchase price. We give you 2%, and we keep 1%.

We are available by phone M-F (9am-5pm) and by email 24/hr a day. All MLS listed properties are available for public view on various MLS websites and the links we have available on our Property Search page. Not only can you be completely self-sufficient in your search by utilizing the tools on the internet, but you have a better idea of what you want than a typical agent selecting properties for you.

New Homes / Working with Builders

Getting your 2% rebate when buying a new home is the easiest of all. We have a special section devoted to new homes on our website at New Homes. There are complete instructions for making sure you get your rebate as well as links to all the major builder websites.

How to search for & find your perfect home

Search for properties online using Realtor.com. Custom property search allows you to save the results of your searches and pick up where you left off simply by logging in. You can also program it to send you email to alert you of new listings that match your criteria.

When you come across a house you want to see, call the listing agent for an open house time, if there is none request one.  Most properties in NJ are listed with a 5 to 6% commission, and the listing agent is guaranteed to make at least 2.5% to 3%. Even if you plan to use another agent, the listing agent should still show you the house not only because 3% should be more than adequate compensation, but because of their ethical obligation to do what is in the best interest of their seller.  However, there are agents who will never show a home when they know the buyer is already represented.  We had a buyer who is so frustrated with an agent refusing to show him a house that he went and knocked on the seller's door and asked the seller to show him the house. (As Realtors, we can't recommend that you resort to this.) You can imagine how the seller was not thrilled to hear this about his agent, and rightfully so.

It is true that we are not your agent until you sign a representation agreement. If you are asked if you have an agent, the most appropriate response is (if you have nothing signed with us): "We don't have an agent at this time, but are considering having someone represent us."  However if you have signed a buyer’s agreement with us, you must let the listing agent know that you are represented.  We can sign a single property buyer agency agreement or multiple properties.  Never lie to a realtor and trick him/her into showing you a property then switch agency.  It’s unethical and illegal.  We will not be able to represent you if that happens.

If you decided to use us as your buyers’ agent, we can send you our business cards, you can use them to go to open houses.  Some buyers also tried go see the house direct even there is no open house scheduled.  Again as realtors we can’t recommend you doing that.  However, many buyers reported 90% success rate.  They usually plan the visit on Sundays 1-4pm.  They would ask the home owner: “Hi, we just visited an open house in this neighborhood.  We saw your sign, and your house is exactly what we are looking for.  Can we take a quick look?  Here is my realtor’s business card.  He is not available at this time, but he will contact your agent right away if we decide to make an offer”. Most of the time, you will be able to see the house or at least will be able to schedule a time for you to see the house.  If still not possible, then simply ask the owner when the listing agent is doing an open house.

 If it's a house you really want to buy, you will be able to get in to see it.  It can be a challenge sometimes, but it's worth the effort when you finally get to buy the house and receive 1.5 to 2% of the commission as cash back rebate. 

Is the Rebate always 2%?

 Our fee is always a minimum 1% of the transaction. If there is 3% paid to the buyer’s agent, your rebate will be 2%, if the commission is 2.5% your rebate would be 1.5%. The terms of the rebate are spelled out in our Buyer Representation Agreement.

 The reason we can pass on this savings to you is due to the fact that you spend the time and effort to find the house yourself.  If you buy a house directly through the listing agent, all of that 3% will go into their pocket, along with the other 3% they are probably getting for listing the property (total of 6%). Even if you deal directly with the seller, the standard 6% listing contract states the listing agent still gets the full commission. No discounts for the seller finding the buyer, even if the buyer is his brother and the agent did absolutely nothing other than sign the listing agreement. To see the terms of 99% of all listing agreements, see the standard Exclusive Right to Sell Listing Agreement. The other factor is that almost all the big brokers don't allow their agents give buyer cash rebates.  Their broker split will prohibit them to do that.  And even if they were allowed, it still wouldn't work because after the agent split the 3% with their broker, there wouldn't even be enough left to give you 2% anyway. 

Is the Rebate Taxable?

The Rebate is a large sum of money in NJ.  In August 2010, we closed a home and gave the buyer over 16,000 rebate.  If the rebate is taxable, that reduce the benefit significantly.  Please ask your accountant for your final answer.  However, we did our own research.  Please read this blog on IRS rulling for real estate buyer rebates.

 http://blog.redfin.com/blog/2007/03/the_taxman_does_not_cometh.html

“A payment or credit at closing from [E-Brokers] represents an adjustment to the purchase price of the home,” the IRS ruled, “and generally is not includible in a purchaser’s gross income.”

The IRS cited its own history of letting car-buyers keep rebates, and of providing relief to home-buyers.

 Can we get the rebate with one of your listings?

Almost all of our listings provide that the sellers can avoid any commissions if they find a buyer on their own. As a service to our sellers, we refer buyer inquiries directly to the sellers if the buyer does not have an agent. However, if you are not comfortable negotiate a contract directly with the owner, we will ask the seller permission to represent you to negotiate a contract for you. If they approve, we are paid a commission, and you can get a cash rebate. 

What if there's just no way for me to get inside to see a particular house, I must have Reamart Agent to show me the home, Can I still get a cash rebate?

YES! if the listing agent refuses to do any open house, we will assign you a Realmart agent to show you the home. You will drive by homes of interest to make sure that the neighborhood and exterior of the home offer the qualities you are looking for in a home. When you are ready to view the interior of a home, contact your assigned Realmart agent. We will arrange the showing appointments. Operating this way eliminates time wasted by our agents showing homes that are undesirable from the outside. Because you are helping us work more efficiently, we can afford to reward your a portion of our commission in the form of a cash-back rebate. The rebate to our Buyer Client varies depending on the number of homes physically visited by our agent (see schedule below). The maximum rebate is 50% of our commission or 1.5% of sales price (whichever is lower)