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Understanding Buyer Rebates: Get Cash Back When You Buy a Home

Expert guidance from ShopProp — helping home buyers and sellers save since 2007.

What is a buyer rebate?

A buyer rebate is when your real estate agent shares a portion of their commission with you at closing. It's legal in most states and can mean thousands of dollars back in your pocket.

How ShopProp's buyer rebate works

ShopProp charges buyers a flat $4,495 fee. If the seller offers a buyer agent commission (say 2.5% on a $800K home = $20,000), ShopProp keeps $4,495 and rebates the remaining $15,505 back to you at closing.

Are buyer rebates legal?

Yes. Buyer rebates are legal in most US states. The US Department of Justice has actively supported rebates as pro-consumer and pro-competition. Some states have specific regulations, so check your local laws.

How much can you get back?

On a $500K home with 2.5% buyer commission: $8,005 back. On a $1M home: $20,505 back. On a $2M home: $45,505 back. The higher the home price, the bigger your rebate.

What can you use the rebate for?

Buyer rebates can be applied toward closing costs, used as additional down payment, or received as cash at closing (depending on lender and state regulations). It's your money.

Why most agents don't offer rebates

Traditional agents keep the full commission because they can. The industry has operated on 2.5-3% buyer commissions for decades. ShopProp's flat-fee model is designed to pass the savings to you.

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ShopProp's flat $4,495 fee saves you more than any percentage-based agent. Managing broker on every team.

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