DiscountAgent.com Blog • Buyer Education
By Aaron Peters • Broker / Owner, DiscountAgent.com • June 2026
Updated: June 2026 • Originally published June 2025 • 14 min read
When you buy a home in Utah, your buyer’s agent earns a commission—typically 2.5%–3% of the purchase price. On a $600,000 home, that’s $15,000–$18,000. At most brokerages, the agent keeps all of it. At DiscountAgent.com, you get approximately half of it back at closing—real money, in your pocket, on the day you get your keys.
This isn’t a gimmick or a teaser rate. It’s a business model. I’ve been rebating 50% of the buyer agent commission since 2006—on every purchase, every loan type, every price point from condos to million-dollar estates. The rebate is legal in Utah, endorsed by the U.S. Department of Justice, and not taxable according to the IRS.
This guide covers everything you need to know: how the rebate works step by step, what you can use it for, how it interacts with your loan, what changed after the NAR settlement, and how to maximize your savings whether you find a home at an open house, through the MLS, or with a new construction builder.
50% Buyer Commission Rebate on a $600K Home
~$9,000 Back
Based on 3% buyer agent commission. Rebate amount is approximate.
In This Guide
1. How the 50% Buyer Rebate Works (Step by Step)
2. What You Can Use the Rebate For
3. Savings at Every Utah Price Point
4. How Rebates Work With Your Loan Type
5. The Open House Strategy: Browse Free, Then Call Me
6. New Construction: Don’t Visit the Builder Without an Agent
1. How the 50% Buyer Rebate Works (Step by Step)
The process is straightforward. Here’s exactly what happens from first call to closing day:
Contact me before you start touring homes.
Call or text 801-243-8900 or email Aaron@DiscountAgent.com. This is the most important step—if you visit a builder’s sales office or sign a buyer agreement with another agent first, the rebate opportunity may be lost.
Sign a buyer representation agreement.
Since the 2024 NAR settlement, buyers must sign a written representation agreement before touring homes with an agent. This agreement specifies the agent’s compensation—and in our case, it includes the 50% rebate.
I represent you through the entire purchase.
Property search, showings, offer strategy, negotiation, inspection coordination, appraisal management, and closing. Everything a traditional buyer’s agent does—nothing skipped, nothing cut.
At closing, you receive approximately 50% of the buyer agent commission back.
The rebate appears on your closing statement. It can be applied as a closing cost credit, used for a rate buy-down, or received as cash after closing (subject to lender approval). The rebate comes from the brokerage, not the agent—as required by Utah law.
That’s it. Four steps. No hidden fees, no minimum purchase price, no property type restrictions. The rebate works on single-family homes, townhomes, condos, and new construction. I’ve been doing this since 2006—over 100 five-star reviews and counting.
2. What You Can Use the Rebate For
Your rebate is flexible. Here are the most common ways buyers use it:
Closing Cost Credit
Applied directly on your closing statement to reduce your out-of-pocket costs. This is the most common use and the easiest for lenders to approve.
Mortgage Rate Buy-Down
Use the rebate to buy down your interest rate. With rates in the mid-6% range, every fraction of a point saves you hundreds per month over the life of your loan.
Cash After Closing
Where permitted by your lender, the brokerage pays the rebate directly to you after closing. Use it for moving costs, furniture, repairs, or anything you want.
Important: The rebate cannot be used for your down payment. Utah and federal lending guidelines restrict down payment sources to personal funds, family gifts, and approved assistance programs. The rebate is an adjustment to the purchase price, not a gift toward down payment.
3. Savings at Every Utah Price Point
The higher the purchase price, the bigger the rebate. Here’s what you’d receive at common Utah price points, based on a 3% buyer agent commission:
Based on 3% buyer agent commission. Actual rebate depends on negotiated commission and final sale price. Rebate is approximate and subject to lender approval.
4. How Rebates Work With Your Loan Type
Commission rebates work with every major loan type used in Utah. The only thing that varies is how the rebate gets applied at closing:
Conventional
Rebate applied as closing cost credit or paid after closing. Most straightforward—lenders are familiar with the process. This is the most common loan type for rebate buyers.
FHA
Rebate typically applied as a closing cost credit on the settlement statement. FHA guidelines allow interested party contributions up to 6% of the sale price, and the rebate falls within this.
VA
VA loans allow rebates. The rebate is disclosed on the closing statement and applied as a credit. Veterans and active military save the most because VA already offers zero down.
Cash
No lender to approve—the rebate is paid directly to you after closing. Cash buyers get the simplest, fastest rebate experience.
Regardless of loan type, the rebate is always disclosed on the closing statement. Your lender will be aware of it—there are no surprises. I coordinate with your lender and title company to make sure the rebate is approved and properly documented before closing day.
5. The Open House Strategy: Browse Free, Then Call Me
Since the NAR settlement, buyers must sign a written representation agreement before touring homes privately with an agent. But open houses are the exception—anyone can walk in without a signed agreement. That creates a powerful strategy:
The Smart Buyer’s Open House Playbook:
Step 1: Browse open houses freely. No commitment, no paperwork, no pressure.
Step 2: Do NOT sign a buyer agreement with the listing agent at the open house. That locks you into their commission structure with no rebate.
Step 3: When you find a home you love, call me at 801-243-8900.
Step 4: I represent you, negotiate on your behalf, handle the paperwork, and rebate 50% of my commission at closing.
This works on any listing—not just DiscountAgent.com listings. If you find a home at an open house hosted by any brokerage anywhere along the Wasatch Front, call me. I become your buyer’s agent, you get professional representation, and you get 50% of the commission back. The listing agent still gets paid, the seller closes the sale, and you save thousands.
Browse open houses now: South Jordan • Herriman • Draper • Sandy • Daybreak • Salt Lake City
6. New Construction: Don’t Visit the Builder Without an Agent
This is the single most expensive mistake new construction buyers make in Utah. If you walk into a builder’s sales office without an agent, the builder keeps the entire buyer agent commission. You don’t get a discount on the home—the builder simply pockets the money. And once you register at the sales office without an agent on your first visit, most builders will refuse to recognize an agent you bring later.
The fix is simple: Call me before your first visit to any builder. I register as your agent, the builder pays a buyer agent commission (typically 2%–3%), and you receive 50% of it back at closing. On a $500,000 new build with a 2% builder commission, that’s approximately $5,000 back—money you’d otherwise leave on the table.
This works with every major builder along the Wasatch Front. The builder commission does not affect any builder incentives or promotions—you get both the builder’s deal and the rebate. Having your own agent also means someone is reviewing the builder’s contract on your behalf—builder contracts are written by the builder’s attorneys, and they favor the builder. You want your own advocate. Learn more about our new construction rebate.
7. Legal and Tax Questions, Answered
Three things buyers always ask. Here are the definitive answers:
Are buyer commission rebates legal in Utah?
Yes. 100% legal in Utah and 40+ other states. The U.S. Department of Justice actively supports making rebates legal in all 50 states and has investigated organizations that try to restrict them. The DOJ views bans on commission rebates as price-fixing that inflates home prices. Read our full legal breakdown.
Are rebates taxable income?
No. The IRS has issued guidance stating that a cash rebate paid to a buyer of property at or after closing is an adjustment to the purchase price—not taxable income. Since the rebate reduces your cost basis rather than adding income, it does not need to be reported on Form 1099-MISC. Consult a tax professional for your specific situation.
Who pays the rebate—the agent or the brokerage?
The brokerage. Utah law requires that the rebate come from the brokerage, not the individual agent. Since I am the Broker/Owner of NetLogix Realty (the brokerage behind DiscountAgent.com), there’s no middleman. The brokerage directly issues your rebate at closing.
8. FAQ: Buyer Commission Rebates in Utah
Everything Utah home buyers need to know about getting cash back at closing.
Ready to Buy a Home and Get Cash Back?
Full-service buyer representation. 50% of your agent’s commission rebated at closing. Over 100 five-star reviews since 2006. Call before you start touring.
Related Reading
SOLD: Draper Buyer Saves ~$17,000 With a Commission Rebate — See a real rebate in action.
Are Open Houses Worth It? — How the NAR settlement made open houses your best buyer tool.
How the NAR Settlement Changed Commission — What buyers need to know about the new rules.
8 Ways to Save $10K+ Selling Your Utah Home — Combine selling + buying savings.
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