Last Updated: SEP, 2018


What is Commission Rebate?

Commission Rebate is definitely - LEGAL.

Estate developers would pay commission to estate agents after they closed a deal.

A commission rebate (sometimes called a buyer rebate), is an act whereby the estate agents share part of their commission with the buyer, in exchange for the buyer to choose the estate agent and finish the deal.

However, many estate agents in Hong Kong do not keep their promise in commission rebate after making the deal. 




Asking for Commission Rebate is illegal?

Definitely NOT. Client is legal to ask for Commission Rebate from any estate agents. 

In accordance with the ESTATE AGENTS AUTHORITY, ​the estate agents should list out the details of commission rebate on written agreement. It is impossible that asking or offering commission rebate to buyer is illegal. 



Many estate agents claimed that Commission Rebate is illegal, simply because they do not want to offer it~




How much is the Commission that the Developer (Estate Seller) will give Estate Agent?

Normally, the commission rate would be counted as the percentage of the property selling price, such as 2%, 2.5%, 5%, 8% or 10% above.

The commission rate is decided by property developers, but it is rare to hear that the rate is lower than 2%.

When the property developers want to offer discount, they will increase the commission rate rather than cut the price because it could affect the price of developers and buyers.

The additional commission could be considered as discount, offered to buyer via estate agents indirectly.




How much is the Commission Rebate I can get from Estate Agent?

No fixed answer. "Different agents", would offer "different" commission rebate to "different buyers".

As we have heard, could be a few hundreds of supermarket coupons to hundreds of thousands.

Normally, the Commission Rebate could be affected by following factors:

  1. Do buyers request for Commission Rebate proactively?
    (Will estate agents cut their income if the buyers do not ask for rebate?)


  2. Inexperience buyers or experienced buyers? 
    (More Experience, More Rebate; Less Experience, Less Rebate). 


  3. The structure of property agency company
    (Need to split commission with headquarters and management, Less Rebate)
    (No need to split commission with headquarters and management, More Rebate)

Our Certified Estate Agents have offered 1.5% - 6% of property selling price (Around $90,000 HKD to ) Commission Rebate to buyers.




Can buyers know the commission rate between developers and agents?


Both property developers and agents DO NOT need to disclose the commission rates to buyers, under current regulation.

Therefore, the commission rate is the confidential agreement between property developers and estate agents. Buyers cannot get the answer officially.

Some estate agents will tell the commission rate to buyers, but it is not possible to verify.




What is Commission Rebate Agreement?

Commission Rebate agreement is the written agreement between estate agents and buyers. The details and conditions of Commission Rebate would be stated on this agreement.


However, many news articles show that there are still many conflict regarding Commission Rebate between agents/agency firms and buyers after signing the agreement. The agreement can provide more protection to buyers but not able to solve the problems completely.




Will Estate Agent break their promise after signing Commission Rebate Agreement?

Definitely YES, if the problem could be solved by signing an agreement, why we need to make this platform? ​

  • "Commission Rebate Agreement" is not approved by company, invalid.

  • The estate agent is not qualified to sign "Commission Rebate Agreement" agreement, invalid.

  • The estate agent who signed the agreement is resigned, no record in company, invalid.

  • Have not filled enough and correct information on the agreement, invalid.

  • Headquarters/ Accounting Department does not approve the agreement, invalid.

  • The amount of rebate needs to change because the developer cut the commission.

  • Other reasonable or unreasonable excuses.

Signing agreement is better than verbal agreement. However, if there are conflicts between buyers and estate agents, buyers could approach regulatory authority for help. It is difficult to sue the agents and agencies individually.




Why there are many conflicts about Commission Rebate in the market?

It is all about "Money".

The commission of first-hand properties is very high.

Example A:  $6 Million HKD property x 2.75% Commission Rate = $165,000 HKD Commission

Example B:  $8.5 Million HKD property x 2.75% Commission Rate = $233,000 HKD Commission

The quality of local estate agents and agencies are uneven. Some estate agents and agencies would cheat and mislead the buyers for getting the huge commission from developers. They would make a fake rebate promise with buyers before closing the deal, but finally break the rebate promise when the deal is done.




What is the distribution of Commission?

When an estate agent made a deal, the developers could give the commission to the estate agency. Can the estate agent get all the commission?

Unless the agent is the sole owner of property agency, otherwise the commission would be needed to split with the agency. Usually, the estate agent could get 40% - 60% of the commission, the rest of commission needs to share with the agency.

(No Rebate) Commission = Estate Agency + Estate Agent

(Offer Rebate) Commission = Estate Agency + Estate Agent + Commission Rebate

Therefore, offering commission rebate to buyers could affect the profit of estate agent and estate agency.

For this reason, estate buyers could consider the below questions when they are asking for Commission Rebate.

  1. Your estate agent, is willing to cut their income?

  2. Your estate agent, can convince management and the company to cut their benefit?

  3. Your estate agent, is senior enough to discuss and sign commission rebate agreement with you?

  4. Your estate agent, is the sole owner or director of estate agency who could determine ?




Asking for Commission Rebate will affect the priority of balloting?

Definitely NOT.

The Residential Properties (First-hand Sales) Ordinance (the Ordinance) came into full effect on 29 April 2013, to further enhance the transparency and fairness of the sales arrangement and transactions of first-hand residential properties. 

The sales arrangement has to follow the statutory requirements, in order to enhance the transparency and fairness. 

Therefore, nothing (even estate agents) can affect affect the priority of balloting after 29 April 2013.




Tips to buyers who want to ask for Commission Rebate?

  1. Seek another estate agents when your agent do not answer your questions related to Commission Rebate directly.

  2. There is a title inflation in real estate agency industry. Suggest to sign the Commission Rebate Agreement with the directors of agencies, before submitting purchasing request (bank cheque).

  3. Do not easily believe the agents who can offer you 80-90% rebate.
    (The estate agent and agency are willing to get 10-20% Commission Rate?)
    (The estate agent can convince the agency to do deal for such little profit?)
    (Why you are so special to have such good offer from estate agent and agency?)


  4. Be careful of all estate agents, whether they are your friends or referred by relatives. Many estate agents would take advantages take advantage of those close/ familiar to you.

  5. Arrange lawyer to witness the Commission Rebate Agreement between buyers and estate agents.

  6. Choose the estate agents having good education background. The quality is better than others normally.




This articles would be updated continually.




The entry threshold of Hong Kong estate agents is not high, so the professionalism among local estate agents is very uneven. There are many wicked and unprofessional estate agents and agencies in local market.


For this reason, we have recruited quality estate agents, to be our “Certified Estate Agents”, provide an alternative to the buyers who could not seek suitable estate agents.


Nevertheless, buyers do not need our help if they expect that they can get decent services and commission rebate from their trustable agents.


We do not receive any benefit in providing the voluntary assistance to the general public, so we do not hard sell our “Certified Estate Agents”. It is our great pleasure, if our information could help the buyers to make a right purchase without misleading and cheating from malicious estate agents, and get decent commission rebate.

First-Hand Properties - Commission Rebate - 
Property Discount - Properties Discount - 
Hong Kong Property Discount Research Centre - HKPDRC