ORANGE AND LOS ANGELES COUNTY
NEW HOME REBATE PROGRAM
1% REBATE NEW HOMES
Reduced Commission if you need to Sell your Current Home First
Southern California’s #1 New Home Rebate Program of All Time
Take advantage of our Team’s 25+ years New Home and Resale Real Estate experience
Orange and Los Angeles County New Home Buyer Rebate Program 1% Rebates on New Homes
Register With Us First BEFORE Visiting The Builder’s Models
In order to be eligible for a New Home Rebate you will need to register with us before first visiting new home models. We need to be registered as your agent on the first new home model visit for you to qualify for the Rebate.
HOW IT WORKS
Real Estate is changing. With the use of the internet, home computers and mobile devices, many New Home Buyer’s prefer to initially search for a new home themselves, wherever they are and whenever they want.
The traditional Real Estate model is still playing by the old rules, but we at Summit Real Estate Group feel that homebuyers should be rewarded for all of their efforts.
By actively participating in the search for your new home and utilizing our New Home Directory, you save us both time and money, allowing us to share the Builder referral fee with you!
We will share with you 1% of the referral fee paid by the builder as a Buyer Rebate at closing.
In other words, when the Builder pays us our referral fee at closing, we share you 1% of the purchase price of your new home as a rebate as shown in the graph below.
It really is that simple!
Orange County: 949.305.0121
Los Angeles County: 661.510.7975
You Have Questions – We Have Answers
“Nobody gives anything away for free”, “If it’s too good to be true, then it is”, “You get what you pay for”. We have heard them all. Below we have compiled a list of commonly asked questions that will explain in detail what the New Home Buyer Rebate is, how it works, and why we are able to offer the program.
WHAT IS THE NEW HOME BUYER REBATE?
The New Home Buyer Rebate is a form of referral fee sharing. As Real Estate Agents representing you in your new home purchase, we are paid a referral fee at closing when you buy a new home. To thank you for participation in the New Home Buyer Rebate Program, we share a significant portion of our Builder Referral Fee with you.
Will I RECEIVE ACTUAL CASH BACK?
You will receive a 1% New Home Buyer Rebate from Summit Real Estate Group within two (2) weeks of closing on your new home purchase. This is considered taxable income and you will receive an IRS Form 1099-MISC following the end of the tax year you purchased the home. If the Builder and Lender allow, you could alternatively receive the New Home Buyer Rebate in the form of either a closing cost credit with the Lender, an upgrade options credit with the Builder, or applied as a reduction to the purchase price by the Builder. In this case, the New Home Buyer Rebate would appear on the HUD 1 Settlement Statement and may also be subject to applicable taxes.
ARE REBATES LEGAL?
Absolutely. In California, as well as 40 other states, Real Estate Rebates are allowed. According to The
U.S. Department of Justice website (http://www.justice.gov/atr/competition-and-real-estate-state-4), the state of California “Allows brokers to offer rebates to consumers”.
WHO PAYS ME MY NEW HOME REBATE?
The New Home Referral Fee is paid by the Builder to the Real Estate brokerage. If the Builder and Lender allow the rebate fee back to the Buyer in the escrow process, we will let the Builder know that we are sharing our Referral Fee with you and the percentage we are sharing. If the Builder or Lender will not honor a reduction in sales price, a closing cost credit, or apply towards upgrade options, then Summit Real Estate Group will provide the Rebate directly to the Buyer after closing.
IF I AM ALREADY USING ANOTHER REAL ESTATE AGENT/BROKER, CAN I STILL GET THE NEW HOME REBATE?
No, unfortunately you cannot. Summit Real Estate Group must be exclusively representing you as your Real Estate Agent and the first Agent to register you in order for you to receive a New Home Buyer Rebate. The Builder will honor the first Agent/Broker that registered you.
I ALREADY SIGNED A CONTRACT WITH A BUILDER, CAN I STILL GET THE NEW HOME REBATE?
No, unfortunately you cannot. If you contacted the Builder or visited the New Home Models without registering with an Agent, the Builder will not pay a Referral Fee. Once the Builder has a signed, legal Purchase Agreement, there is no obligation for them to change the terms of the Purchase Agreement in order to pay a referral fee to a Real Estate Agent/Broker.
COULDN’T I JUST BUY A NEW HOME WITHOUT A REAL ESTATE AGENT/BROKER AND ASK THE BUILDER TO PAY ME THE FULL COMMISSION?
No, unfortunately you cannot. Per the California Department of Real Estate rules, the only people who can be legally directly paid commission or referral fees in a Real Estate transaction are licensed Real Estate Agents / Brokers. We are your key to unlocking additional savings through our New Home Buyer Rebate Program.
WHY DON’T MORE REAL ESTATE AGENCIES OFFER REBATES?
There a couple reasons. One, many agents that could offer the rebate do not because they are stuck in the old way of doing things. Another reason, many Real Estate Agencies simply cannot afford to. In the traditional real estate model, Real Estate brokerages have high overhead due to retail office space, managers, operations staff, franchise fees, etc. Any commissions or referral fees earned are split between the Broker/Owner and the Real Estate Agents / REALTORS®. When a client does the initial on- line search and visits the models with their Agent, they are greatly reducing our time and resources. By helping us reduce our overhead, we are able to pass the savings on to you.
IF YOU ARE GIVING AWAY PART OF YOUR REFERRAL FEE, ARE YOUR SERVICES LESS?
No. Besides getting the 1% rebate, you are also getting a full team of seasoned professionals who know the New Home and Resale business inside and out. Summit Real Estate Group and our business associates are a full service Real Estate Agency that specializes in new homes with over 25 years of experience dealing with purchasing a new home from a builder. We provide assistance with contract negotiations, upgrade options selection, home inspections and providing financing options. The site agent for the builder represents the builder’s interest – we represent your interests.
Orange County: 949.305.0121 Los Angeles County: 661.510.7975
10 Reasons to Buy New Construction
Newly built properties can offer fewer hassles, higher efficiency, and increased customization.
- Customization: Most all home builders allow buyers to participate in the process of designing their property, which helps create a living space specifically tailored to the consumer’s tastes. New home buyers, for example, can often decide interior space options, choose their favorite type of cabinets, countertops, appliances, flooring, or pick the interior color schemes of their Buyers moving into a subdivision can select a particular lot and exterior style. There is a lot of flexibility for new home buyers to kind of put their personal signature on the product. Those kind of things you can’t do with a used house—it’s just not possible without a major remodel and even then you are limited.
- Energy Efficiency: Building codes have mandated increasingly higher energy efficiency standards since they began to address the issue in the late Newly constructed homes use energy more efficiently in two ways. First, they tend to have a tighter-sealed building envelope that helps prevent conditioned air—cool air in the summer, warm air in the winter—from escaping. Features that create this envelope include higher-efficiency insulation, doors, and windows. Gone are the days of the single-pane window.
- Green appliances: The more energy-efficient mechanics of the house also help reduce utility bills for new home buyers. Newly-constructed homes often include green systems and appliances—like high efficiency stoves, refrigerators, washing machines, water heaters, furnaces, or air conditioning units—that homes built years ago might not. The conditioning equipment is usually considered to be one of the larger energy consumption devices, but certainly those kitchen appliances matter. State-of-the-art solar options are also offered on most new Existing homeowners can always retrofit their property or buy higher-efficiency appliances, but doing so requires a potentially significant expense.
- Fewer repairs: The features of newly constructed homes should also hold up better than those of existing homes, which may have experienced years of wear and tear. People will buy previously-owned houses and then the carpet needs to be replaced or it needs to be repainted, or it needs new appliances, or the flooring is shot. When they buy a new home in today’s market, it really is new.
- Less maintenance: At the same time, today’s new homes are engineered specifically to minimize maintenance requirements. For example, builders use composite products for a home’s exterior trim instead of wood, which could rot or need repainting. You buy a used house you don’t know what you are getting, and you might have to do a lot of
- Warranty: In addition, builders often agree to take care of the repair work that becomes necessary in your newly constructed home for at least the first year. A new home is generally fully warrantied by the builder for a minimum of a year and most of all the other components are warrantied for extended periods. So if your roof starts leaking or the heater breaks during the warranty period, your builder will pick up the tab for the repairs. When you buy a resale home, even if you have a home inspection done, it still does not turn up hidden defects that you don’t find out about a lot of times for two
- Fire safety: Newly constructed homes often include fire safety features that may not be present in properties built years Sprinkler systems are incorporated in most new construction and fire retardant materials are used in the carpeting and insulation. In addition, all newly constructed homes are required to include hard-wired smoke detectors. These devices can provide better protection than battery-operated smoke detectors, which can fail to perform if their battery runs out. Hard-wired smoke detectors run on the electricity of the house and then have a battery backup for the house if power goes out.
- Concessions: Buyers may be able to squeeze more concessions out of a home building company than an individual seller. That’s because individual sellers often have an emotional attachment to their property that can blind them to its true People usually think that their home is worth more money than it is. It is not uncommon for a builder to offer credits towards the selection of builder options.
- Financing: New home buyers may be able to take advantage of mortgage financing perks made available through their builder. New home builders, in many cases the larger ones, have their own mortgage companies or they will offer paying points or closing costs and buy down certain rates for The seller of a resale home is generally not going to do that for the buyer.
- Community Amenities: Many new homes are built in lavish master-planned communities with resort-style community centers, pools and clubhouses. Many new home communities also feature hiking trails, protected open lands and some of the best new schools and shopping near (or even within) your new home
Contact our Team by Email at Info(at)SummitRealEstateGroup(dotted)net or call us at. . .
Orange County: 949. 305. 0121
Los Angeles County: 661. 510. 7975