How to Save Money on a Home Purchase Through a Rebate

Posted on: 14 September 2020

Most people spend more money buying a house than any other assets they purchase. Homes are costly, yet you can save money when buying a house by taking advantage of incentives and rebates. If you are unsure how to do this, continue reading to learn more about how home buyer rebates work.

Home Rebates are a Form of Incentive

When you view home listings, you might notice that some contain incentives. The incentives you see in these listings are "extras" that the sellers offer to the people who purchase their homes. You can find all kinds of incentives with home listings. Buying a house that comes with incentives provides a way to save money or get something for free. Receiving a home rebate when buying a house is another form of incentive, but it is not something that the seller offers. Instead, a home rebate is something that the real estate agent offers to the buyer. A real estate agent can only offer a home rebate if it is legal in the state where the agent lives and works. Home rebates are not valid or legal in all states.

What a Home Rebate Is

The next thing to understand is what a home rebate is. When you think of the word "rebate," you probably think of the money you receive after buying something. Some stores offer rebates with purchases of specific items. After buying the item, you must send in a form. When the company receives it and processes it, they send you money in the mail. A home rebate is like this, in a sense. When you buy a house that includes a home rebate, you must close on the house. After that, the real estate agent gives you a check or cash for a specific amount of money. A rebate might come in the form of money, but rebates also come in other forms.

Why Agents Offer Rebates

The final thing to know is why real estate agents offer home rebates. The primary reason is to encourage buyers to hire them. If one agent offers a rebate and another does not, you might choose the one that does. By hiring a real estate agent that offers a rebate, you can save money on your home purchase.

If you are ready to buy a house, talk to a real estate agent about your desires. When discussing your home purchase, ask the agent about Home Buying Rebates.