Significant Buyer Agent Rebate - Is this a scam?

[qw_phish]

Originally Posted by BoBromhal

As a newbie, I think I'd be looking for expertise, not the cheapest. You don't know what you don't know, especially what you don't know you need to know.

Thanks. I am a newbie so I guess I need to decide if going with another agent is worth losing out on the ~$15k. I would have to find another agent, lose out on the rebate and even the other agent I find might not necessarily be that much better(I guess I could spend time finding one who is clearly very experienced)

Does the fact that the broker is very experienced and extremely well regarded mean that he is likely to at least use some due diligence when choosing his agents i.e. even if his agent is not as experienced, he has at least vetted them somewhat to ensure they meet some reasonable standard?

[1insider]

Originally Posted by qw_phish

Thanks. I am a newbie so I guess I need to decide if going with another agent is worth losing out on the ~$15k. I would have to find another agent, lose out on the rebate and even the other agent I find might not necessarily be that much better(I guess I could spend time finding out who is clearly very experienced)

Does the fact that the broker is very experienced and extremely well regarded mean that he is likely to at least use some due diligence when choosing his agents i.e. even if his agent is not as experienced, he has at least vetted them somewhat to ensure they meet some reasonable standard?

Teams typically lure clients in with the rainmaker fronting all marketing and then surprise the client with a replacement after they've been roped in. In this case, you're eyes wide open expecting that substitution and can address your concerns about it up front. I think I'd go for it considering how much money we're talking about as long as the boss man agrees to be available to me for any concerns during the deal.

[Go Blue 99]

Buyer rebates are legal in my state (GA), and also considered tax-free. I've bought 2 homes using the rebate option. One agent gave 2% back, but she only dealt with new construction.
The other gave 1.5% back and was full service. I was happy with both agents, though there wasn't much to do on their end with either purchase. It's nice to get that huge rebate check after closing!

[BoBromhal]

Originally Posted by qw_phish

Thanks. I am a newbie so I guess I need to decide if going with another agent is worth losing out on the ~$15k. I would have to find another agent, lose out on the rebate and even the other agent I find might not necessarily be that much better(I guess I could spend time finding one who is clearly very experienced)

Does the fact that the broker is very experienced and extremely well regarded mean that he is likely to at least use some due diligence when choosing his agents i.e. even if his agent is not as experienced, he has at least vetted them somewhat to ensure they meet some reasonable standard?

as 1insider says - the question becomes:

a. how involved is Mr CNBC?
b. meet with his buyer's agent and get his/her qualifications - years in business, # of transactions, current # of active Buyers (especially in your price range), is $900K an expensive house or moderate where you live? How does this agent assess the market you're looking in?

Just as any Seller shouldn't be so focused on "what's your commission rate?", buyers shouldn't be focused on "just how much rebate do I get?"