Stuart’s verbiage in the TAR-1501 Residential Buyer/Tenant Representation Agreement, a legal contract with his Buyers, expresses the Rebate as such:
“Broker will rebate back to Client 84% of all cash commissions paid by Seller and/or Seller’s Agent to Broker at closing. Broker shall not seek any fees or commissions from Client under any circumstances. Add $200 if Client hires TREC Inspector for 3 Phase Inspection. Rebate to be paid within 72 hours AFTER Stuart Scholer RECEIVES ACTUAL FUNDS.”
Based on a 3% total Commission… If you do the math (3 X 84%) you will see that the Rebate actually works out to 2.52% (of the 3%). But this is not the only advantage to the New Home buying consumer of getting 84% instead of 2.52%! Think about this… what if Stuart receives a 3% commission PLUS a $5000 Bonus from the Builder? If the stated Rebate is “2%” then that is what you will get; 2% of the purchase price… period! Nothing more. YOU WILL NOT RECEIVE A PENNY OF THAT $5,000 bonus! But… what if the stated Rebate is: “84% of ALL cash commission”? How much do you receive NOW? Yeah…. the 2.52% PLUS $4200!!!
So… “how you say it“ does make a whole lot of difference.
