How best to utilize your real estate agent’s commission rebate


The answer is, it depends. Is your market extremely competitive? If so, we’d recommend viewing your real estate commission rebate as a reduction of your out of pocket hard money costs associated with buying a home. Your goal should be to minimize the amount of money you need to pay out of pocket when purchasing a home. Think of it as the opportunity cost of having $5k in hand or borrowing an additional $5k over 30 years. While your long term holding costs and interest on that $5k will translate to much more, it’s more advantageous (at least in our eyes) to have the $5k in hand now so that you can leverage that to increase your offer amount.

Besides, once you’re in escrow, you can negotiate to recoup the increase in the form of a price reduction in exchange for removing contingencies throughout the process.

Thoughts anyone? It depends on the situation, but it a competitive market, usually the most important part of the offer is the price. End of story.

Thoughts? Email us at

*Ask about our 60-40-20 Incentive*


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