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How You Save Money

Savings Overview

New HomeOur fee for representing a home-buyer is typically 25% of the commission paid to the buyer’s agent by the seller. The remaining 75% is then refunded to you at closing. We do have a minimum $3,000 commission, so in some situations you may receive slightly less than three quarters back. For instance, if a seller only offers $6,000 to the buyer's agent, we will only be able to refund you $3,000 at closing. Any refund in excess of the closing costs is applied to the down-payment or issued to you in check within 7 - 10 days of closing. According to the IRS, the commission refund is not taxable. (See below for rebate structure for short sales and bank owned properties)

For advertising purposes, we assume the buyer's agent's commission is 3%, which is standard for the market. This will give you a rough idea of the amount you will save, but we cannot confirm the actual commission refund until we begin working with you, according to MLS rules.

Commissions Overview

Short Sales and Bank Owned Properties: 24HourBrokers can also help you with the purchase of a short sale or bank owned property. Due to the extra time and work required to complete these type of transactions, and the high rate at which deals fall out of escrow 24HourBrokers rebate structures is modified. For these types of transactions 24HourBrokers offers a 2/3 commission rebate with a $4000 minimum commission.

Traditional real estate transactions consist of two agents - a buyer's agent and a seller's agent. Both agents earn a percentage of the overall selling price when the house is sold. When listing a property, the seller will determine the percentage earned by each agent. Traditionally, the seller decides on a commission of 6%, with half going to each agent.

In a traditional transaction, the commission is already included in the home’s price. Therefore, a buyer who pays $400,000 will yield the seller $374,000. The $24,000 difference is divided equally between the buyer's and seller's agent since each receive 3% of the sale.

Commission Refund Overview: Home-buyers who contract 24HourBrokers to be their agent will receive 75% of the buyer's agent commissionmback as a refund at closing. So, if the seller sets the buyer’s agent commission at the traditional 3%, the new home owner will receive 2.25% of the home price refunded. In the situation stated above, the buyer would receive $9,000 as a refund.

Variable Office Commissions: In some situations the seller's agent may set a variable office commission which pays the buyer's agent a lower commission if the seller's agent shows the property to the buyer. If this is the situation, simply inform your 24HourBrokers agent that he or she needs to show the property and we will work to fulfill these requirements.

New Construction Commissions: New home constructions may have an agent on-site that will claim the commission, if you as the buyer do not identify 24HourBrokers as your agent. Identifying us as your broker will not obligate you to our services, but will allow you to further consider our services and keep the commission refund as an available option.

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