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Grades do matter and they matter more the older you are.
It's unfortunate you were advised to wait. You should have taken the opportunity you were given, but that ship has sailed. Go through rush and hope for the best. And hopefully the chapter you like wasn't secretly offended that you turned down their offer.
Legacy status means less and less every year because the raw numbers just keep growing. However, it almost always means you will get a courtesy invitation to the 2nd round of rush. From then on, it's up to you to impress. Your legacy status just keeps you from falling through the cracks in the initial (and largest) pool of rushees.
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"Traveling - It leaves you speechless, then turns you into a storyteller. ~ Ibn Battuta
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