Potential Limits to Commission Rebates

Most lenders, presumably following some federal regulation, will limit the amount that you can receive back (via a commission rebate or buyer rebate) to an amount not to exceed your closing costs and pre-paids. This generally is not a problem for most home buyers who typically get back 1.4% of the purchase price from me…when closing costs are typically around 2% of the price of the home, BUT it does happen. Yes, it is a “good” problem to have…..meaning all of your closing costs would have presumably been paid for, but some could fairly perceive that some money was left on the table. If you are concerned about this, our best advice is (and has always been) to work with your lender early and often to verfiy any options!!!!!!!