Not all homebuyers will be comfortable with a smart speaker in their home or will appreciate a bottle of wine or houseplant as a closing gift. Instead of trying to anticipate your clients’ tastes and wants, consider opting for something they’ll need: lessons about the home they now own.
First-time buyers might benefit from demonstrations about how to find and replace air filters, fix small drywall holes, seal drafts, or locate and flip breakers. More experienced homeowners or serious DIYers may appreciate online home improvement courses. If you’ve undertaken your own projects or renovations, what first-hand knowledge can you pass along?
Your lesson or investment in their knowledge could even save them money down the road. For example, the DIY cost to repair a drywall hole is $45 if it needs one sheet or less, according to homeadvisor.com. The national average spent on drywall repair was $509, and a professional may charge $60 to $90 per hour for handyman repair or about $50 to $75 per square foot.
Rather than drinking that bottle of wine and forgetting about it, your clients will remember your investment in their homeownership experience, which may lead to them consulting you again for expertise or even referral business.
$89 is the cheapest online DYI course I found. Most are $149 and up. Since the maximum we are allowed to give to a client is $50, then it seems to me that we may be violating TREC rules.
Hi Donald, you might be thinking of the $50 limit for referral fees given to unlicensed individuals.
http://7924.hwanfei.com/members/posts/referral-fees-to-unlicensed-individuals/
You’re right.
I believe $50 is the most you can deduct for a closing gift as a business expense, so if you give more you should not claim more than the $50.
From what I understand, if you are “giving money or gift” to one of the party (Buyer or Seller) then the $50 restriction doesn’t apply.