Boston Home Buyer Rebate: How Much Cash You Get Back
Commission rebates to buyers are legal in Boston. Most buyers can get about 2% of the price back in cash at closing, roughly $17,040 on a median-priced Boston home.
Look up your rebate
For example, $500,000
What is a commission rebate in Boston?
When you buy a home in Boston, the seller usually pays your agent a commission of around 3% of the price, already built into what you pay. A commission rebate is when your buyer's agent gives part of that back to you, in cash, at closing. It is legal in Massachusetts, and it is your own money returned to you at no extra cost.
How much is a rebate on a Boston home?
The recent median Boston home price is about $852,000 (Redfin, Boston three-month median sale price, May 2026). A 2% buyer rebate on that is roughly $17,040, paid to you at closing. Enter your own price above to see your number.
Frequently asked questions
What is a commission rebate in Boston?
A commission rebate in Boston is when your buyer's agent returns part of the commission they earn on your purchase to you, in cash, at closing. The buyer's-agent commission is already built into the home's price, so a rebate simply hands part of that money back to you.
Are buyer commission rebates legal in Boston?
Yes. Boston follows Massachusetts law, and commission rebates to buyers are legal in Massachusetts. A licensed Boston agent may rebate part of their commission to the buyer they represent.
How much is a buyer rebate in Boston?
About 2% of the purchase price, paid to you at closing. On a $852,000 Boston home (the recent median) that is roughly $17,040.
Are commission rebates taxable in Boston?
Generally no. The IRS treats a buyer rebate as a reduction in the home's purchase price, not income, so you lower your cost basis instead of paying tax on it (IRS Letter Ruling 157111-06). This is general information, not tax advice.
What is the largest commission rebate I can get in Boston?
There is no legal cap in Massachusetts. Rebates commonly run about 2% of the price, and some rebate-friendly Boston brokerages return more. On a $852,000 home a 2% rebate is about $17,040. Get the exact amount in writing before you sign a buyer-representation agreement.
Official sources
See the full Massachusetts rebate guide and rules →
This is general information, not legal or tax advice. Rules change, so confirm the current rule with the Massachusetts Board of Registration of Real Estate Brokers and Salespersons, 254 CMR 3.00 (linked above) before you rely on it.
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