HOW DOES THE BUYER RECEIVE THE REBATE?
Olaie can refund the rebate to the buyer in any one or more of the following forms. We recommend using the top three forms:
For cash offer, refund all rebate to the buyer at closing.
We generally don't need consent from any other party to do this.
For financed offer, use the rebate to reduce closing cost and/or buy point at closing.
We generally don't need consent from any other party to do this.
For financed offer, use the rebate to reduce loan principal amount at closing, with the lender's consent.
Please check with your lender. Some lenders allow it and some do not. We can provide a list of well-known banks that allow us to do this.
For financed offer, use the rebate to reduce purchase price of the property at closing, with the seller's consent.
We will add this request as an addendum in the offer to the seller.
HOW DOES THE REBATE WORK?
The rebate comes from the buyer's agent commission paid to Olaie by the seller. On the closing date, the buyer pays the purchase price to the seller. The seller/listing agent pays a certain percentage of the purchase price to the buyer's agent as the buyer agent's commission. Although the seller pays the buyer agent's commission, this commission is part of the purchase price paid by the buyer. We just refund a portion of the buyer's money back to the buyer. There is no set rule on the percentage of the buyer's agent commission, but it is typically 3% of the purchase price. However, this percentage can be lower (e.g., 2% or 2.5%). After you submit the Contact Form, we will let you know the buyer's agent commission along with the seller's disclosure document.
Before we write an offer, the buyer will receive information on the buyer agent's commission paid by the seller and select a Pricing Plan. Thus, the buyer can calculate the rebate amount in advance and select the pricing plan based on the buying strategy.
After the buyer's offer is accepted, we will immediately email you the form detailing the exact amount of your rebate. You can present our form to the lender to adjust the loan and the closing cost.
At the closing, the closing agent will allocate our rebate to you per our instruction.
We will first apply the rebate to the buyer's closing cost. For a high-value home, our rebate is almost always much higher than the buyer's closing cost:
For cash offers, we usually refund the excess rebate to the buyer, which means you will receive a BIG CREDIT AT CLOSING.
For financed offers, we cannot send the rebate check outside closing. Thus, we will use our rebate to pay off a portion of your loan principal, buy points to lower your loan rate, or request the seller to reduce the final sale price by using our rebate.
Please be aware that some banks allow the use of our rebate to lower loan principal and some will not. Please contact us if you need referral for banks.