COMMISSION REBATES

Did you know that the majority of the United States allows real estate commission rebates. Only ten(10) states have rebate bans. Here is the latest rebate map from the US Department of Justice.

LEGAL, NON-TAXABLE, ENCOURAGED

  • Rebates are 100% Legal. Commission Rebates are legal in 40 states including North Carolina. It is completely legal in NC for an agent to offer a commission rebate, and a client to accept a rebate on home purchases. Visit the USDOJ website.
  • Rebates are Non-Taxable. Commission Rebates are considered non-taxable by the IRS.  Keep in mind that we cannot offer specific tax or legal advice. But in a past ruling, the IRS  determined rebates were not taxable. See IRS ruling.
  • Department of Justice Encourages Rebates . The US Department of Justice encourages real estate rebates. The USDOJ believes rebates introduce competition in an industry where true price competition is rare, despite the technology shift that has reduced the work of agents.  See US Department of Justice’s findings here.
  • North Carolina Real Estate Commission rules on rebates. In 2008, the NC Real Estate Commission addressed rebates. In the bulletin, the NCREC stated that rebates are legal as long as:
    • Lender approves rebates
    • Rebates are handled at closing
    • Rebates are disclosed in closing documents
    • See the bulletin from the North Carolina Real Estate Commission here.

AGENTS SAY THE DARNDEST THINGS…

USDOJ website.

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

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

COMMISSION REBATES

Did you know that the majority of the United States allows real estate commission rebates. Only ten(10) states have rebate bans. Here is the latest rebate map from the US Department of Justice.

Agents Say the Darndest Things….

When surveyed, here is what some real estate brokers had to say about commission rebates. See more broker statements on the USDOJ website.

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

 

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

We’ll Pay Your Closing Costs – with a HOME BUYER REBATE up to $6,000 or more!

 
  • No strings. No Gimmicks. You’ll get a HOME BUYER REBATE on Qualifying Homes of $100,000 or more.
  • For a home to qualify for our Rebate Programs it must:
      • Have a purchase price of $100,000 or more. The majority of Wilmington homes are priced well above this.
      • Be listed in the MLS. Most homes you find on Zillow, Trulia, Realtor.com, and individual agent websites are listed in the MLS.
      • Have a buyer’s agent commission rate of 2.5% or more. Most MLS listed homes in our area have buyer’s agent commission rates up to 3%.
      • Not be an agent referral, foreclosure, short sale, or bankruptcy, etc.
See additional REBATE REQUIREMENTS