Buyer Incentives

• Share
• Email
• Sharebar

• Share
• Email

Buyer incentives are offered by real estate professionals to entice buyers to buy a property for sale. Buyer incentives are gaining popularity in the real estate markets today. Among the more common incentives are no mortgage payments for a year, vacations, designer services, and real estate rebates of a percentage of realtor commissions. These incentives equate to several thousand dollars and can certainly be extremely alluring.

But when it comes to actually enticing someone to buy a home, real estate professionals say that it’s the more practical perks that count. Remember that serious buyers are looking for a place to buy a home and not a new car parked in the driveway. Effective incentives address what’s on the mind of the potential buyers like the overall cost of the home and the monthly payments that they’ll have to manage. Take note also that the location and condition of the property are always going to be it main selling points.

Here are some of the most common buyer incentives being used in the real estate market today:

• Paying Points – The sellers offer to pay mortgage points for the buyer.

• Down-Payment Aid – The seller can also help the buyer in this area by offering to assist in the down payment.

• Reducing the Price – The incentive that is looked at first is the price reduction.

• Closing-Costs Help – Closing costs include items ranging from legal fees to title insurance and buyers who are stretching to make a down payment will often be interested in having a seller help them out.

• Adding a Warranty – A residential-service contract is sometimes thrown in as an incentive because it acts as insurance for a home’s systems, often including cooling, heating and plumbing.

• Other Perks – Gift cards, a flat screen TV, home theater systems, pre-paid condo fees or a year’s worth of pool care will also entice a buyer to go through with the deal.