As a real estate agent, one of your primary goals is to offer your clients the best value possible. In today’s competitive market, helping them save on closing costs is a powerful way to stand out and build trust. One effective method that can significantly reduce these expenses is a Consolidation, Extension, and Modification Agreement (CEMA). By working with Nexus Abstract Title Company, you’ll have the expertise and efficiency to leverage CEMAs for your clients, ensuring they walk away from a deal with more money in their pockets.

What is a CEMA?

A CEMA, or Consolidation, Extension, and Modification Agreement, is a transactional instrument available in New York that allows borrowers purchasing or refinancing real estate to transfer the existing mortgage to a new loan without paying the full mortgage recording tax on the entire loan amount. Instead, your clients only pay the tax on the difference between the original mortgage and the new loan.

Those substantial savings, particularly in high-cost areas across the greater New York metro region, can significantly reduce closing costs. This is especially true when mortgage recording taxes are a major factor, often making up the largest portion of those costs.

Benefits of Using a CEMA for Your Clients

1. Substantial Savings on Closing Costs
   One of the biggest advantages of a CEMA is that it reduces the mortgage recording tax burden. Typically, this tax is around 1.8% for loans under $500,000 and 1.925% for loans over $500,000 in New York City. By avoiding taxes on the original loan balance, your clients could save thousands of dollars.

2. Increased Buyer Appeal
   As a real estate agent, you know that every dollar counts. When buyers hear they can save on closing costs, it can make a property more appealing. Offering a CEMA option to prospective buyers is a great way to differentiate the homes you list and close deals faster.

3. Flexibility for Both Buyers and Sellers
   Sellers benefit from CEMAs as well. If the property they’re selling has a mortgage, a CEMA can make it more attractive to buyers. Additionally, when buyers know they can save on closing costs, they may be more inclined to negotiate favorably on the purchase price.

4. Streamlined Process with Nexus Abstract
   Handling a CEMA requires specialized knowledge and precision. That’s where we can help you. Our team helps experienced agents in navigating the complex paperwork and legal intricacies involved in CEMAs on behalf of your clients, ensuring a smooth and efficient process, along with significant savings for their clients.

Conclusion: Save Your Clients Money and Time with Nexus Abstract

In the real estate world, delivering value and building trust are essential to success. By doing title with Nexus Abstract and offering your clients the benefit of a CEMA, you can help them save on closing costs, making you a more valuable partner in their real estate journey. With our expertise in CEMAs, fast closings, and client-focused service, we make the process seamless, leaving you and your clients satisfied.

If you’re a real estate agent or a an attorney looking to elevate your business and offer added value, contact Nexus Abstract today to learn how we can help you implement CEMAs and streamline your closings.