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Competition and Real Estate Law and Policy
Antitrust Division

Rebate Calculator

Use this calculator to find out how much you can save when the buyer’s broker offers a rebate.

$
% (This is the total percentage paid to both brokers. The average in 2007 was 5.2%.)
%
Rebate Type:

Total Commission:
$
Buyer’s Broker Commission:
$
 (This assumes that the total commission is evenly divided between the buyer’s broker and seller’s broker)
Rebate to Buyer:
$

Examples

Buyers brokers can offer cash rebates in one of two ways.

Rebate type 1: The buyer’s broker rebates a percentage of the home’s sale price.
Example: rebate 2% of the sales price to the homebuyer.

Sales Price:
$
 220000
Commission Percentage:
5%
Rebate Percentage:
2%
Rebate Type:
% of sales price
Total Commission:
$
 11000
Buyer’s Broker Commission:
$
 5500
Rebate to Buyer:
$
 4400


Rebate type 2: The buyer’s broker rebates a percentage of their commission.
Example: rebate two thirds (67%) of their commission to the homebuyer.

Sales Price:
$
 220000
Commission Percentage:
5%
Rebate Percentage:
67%
Rebate Type:
% of buyer’s broker commission
Total Commission:
$
 11000
Buyer’s Broker Commission:
$
 5500
Rebate to Buyer:
$
 3685

 

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