What is a commission rebate?

A commission rebate, commonly known as a home buyer rebate, is a rebate from a real estate agent representing a buyer to their client. The agent rebates a portion of the commission they receive from the seller to their client.

Real estate agents will offer this service to their buyers as a way to generate more buyers and get better reviews from their clients.

For home buyers, a commission rebate can be used to help pay your down payment or closing costs, allowing you afford a bigger home with the same down payment.

Some lenders will even let you take your commission rebate as cash at the closing table.