Buying a home can be one of the most costly expenditures you will make in your lifetime. Many people use every dollar they have to be able to afford the down payment, inspection costs, and then all the closing fees. These folks open the door to their new home and have to live on pennies until they get their next paycheck. Luckily for these potential home buyers, here are a few of the reasons that Charleston real estate rebates save you thousands.
Negotiating the Price of a House
Most potential home buyers already know how much of a house they can afford. These folks then convey that information to their realtor who will work on finding homes at that price point, even though the house of their dreams might be slightly out of that price range. Now that the realtor they are working with is willing to share a portion of their commission, these folks now have the ability to be able to look for a house slightly more expensive then they previously thought.
Paying All Your Moving Expenditures
Not all realtors are willing to part with any portion of their commission, so when you do find a realtor willing to provide a real estate rebate, the uses for that money could not come at a better time. The cost to move from one home to another is expensive, and getting a few thousand dollars at closing in the form of a real estate rebate is money well spent at this time. The cash could pay for the moving company to deliver your belongings, do landscaping at the new house, buy new furniture, or remodel areas of the house that are in disrepair.
Getting a Lower Interest Rate
One of the best ways to utilize the real estate rebate is to use it at closing to buy points to get the interest rate lower on the mortgage. Buying a few points might cost a few thousand dollars on the front end, but over the course of the loan, that money is well spent because you will be paying several tens of thousands of dollars less towards your mortgage payments. Even a half of point will drop the interest rate significantly over the course of a few dozen years, imagine using the entire real estate rebate to drop the interest rate a few points or more.
The real estate rebates save you thousands on expenditures today, but if used wisely, could save you even more over the course of the life of the mortgage.