I am both selling my clients home and finding their new home | How to record credit on buying side

With your broker permission it can be out in several places. Buyers prefer to see it in the Buyer’s rep early on to feel comfortable. Besides that it can be in many places. Best to ask your broker and then follow title and lender rules.

Places I’ve put it: CDA, Offer Special Provisions, Offer Commission line as “3% - $1000 Toward Buyer Closing Costs”, Buyer’s Rep, an Amendment.

Ask your broker. They’ll have guidelines most times and maybe the “Norm” for there.

Your sponsoring broker should have a written office policy in their Office Policy Manual regarding the agents' use of special promotions or incentives for clients. Always check your Office Policy Manual. In the Buyer Representation Agreement (TAR form) paragraph 17 could be used to write in the business detail that the buyer is using an offered incentive, and then state the amount or incentive detail. Your brokerage office will send a Commission Disbursement Authorization to the title company prior to the closing date and that CDA will specify how the commission will be disbursed. On the Closing Disclosure you would see the commission and then in another area of the CD the credit to the buyer. Bottom line, your sponsoring broker needs to be aware of all incentives offered, preferably before they are offered, to guide you and advise you on how to document these. Because, to comply with Fair Housing you need to treat ALL clients equally and fairly, and consistently. Hope this helps you.