How Much Does a Realtor Cost in Toronto?

How much does a realtor cost in Toronto?

The short answer: the traditional total commission in Toronto is 5% of the sale price plus 13% HST, paid by the seller at closing and usually split evenly between the listing brokerage and the buyer’s brokerage. Commission in Ontario is not fixed or regulated, so it is always negotiable and set in writing.

This page explains how commission works in Toronto, shows real dollar examples, and covers the other costs of selling, so you know what you will actually take home.

What commission looks like in dollars

Examples at the traditional 5% total commission, with 13% HST:

Sale price	Commission (5%)	HST (13%)	Total	Each side (before HST)
$600,000	$30,000	$3,900	$33,900	$15,000
$750,000	$37,500	$4,875	$42,375	$18,750
$1,000,000	$50,000	$6,500	$56,500	$25,000
$1,500,000	$75,000	$9,750	$84,750	$37,500

These are examples only. Your actual commission is whatever you agree to in your listing agreement.

How commission works in Toronto

• Who pays: in most sales the seller pays the total commission from the sale proceeds at closing.
• How it is split: the listing brokerage shares it with the brokerage that brings the buyer, traditionally about half each.
• It is negotiable: there is no fixed or regulated rate in Ontario. Every brokerage sets its own fees.
• HST applies: 13% HST is charged on commission in Ontario.
• Buyers: your buyer representation agreement sets what your agent is paid. If a seller offers less than that, you may owe the difference, so read that part of the agreement carefully.

Rate versus result

The question to ask is not just “what is your rate?” but “what will I net?” A slightly lower fee with weaker pricing, marketing or negotiation can easily cost more than it saves. Our listings sell for about 5% above the market average, and our full-service selling includes a pricing strategy, professional staging (covered for full-service clients), professional photography and video, a custom property website, MLS listing and syndication, social and digital advertising, our weekly newsletter, showing management, and negotiation through closing. Sellers also get our 100% cancellation guarantee.

Watch: Tom Storey on commission

MYTH: All realtors only care about commission and getting the sale done

• This is how much money real estate agents make in Canada
• Realtor reacts to the CBC Marketplace report on low commission homes

Frequently asked questions

How much commission do realtors charge in Toronto?

The traditional total commission in Toronto is 5% of the sale price plus 13% HST, usually split evenly between the listing brokerage and the buyer’s brokerage (about 2.5% each). There is no fixed or regulated rate in Ontario, so the actual amount is whatever you agree to in writing.

Who pays the realtor commission in Ontario?

In most Toronto sales the seller pays the total commission out of the sale proceeds at closing, and that amount is shared with the buyer’s brokerage. Buyers sign a buyer representation agreement that sets what their agent is paid; if the seller is offering less than that agreement says, the buyer may owe the difference, so ask about it before you sign.

Is realtor commission negotiable in Ontario?

Yes. Every brokerage sets its own fees and you can discuss commission before signing a listing agreement. The better question is what services and marketing are included for that fee, and what you will actually net after the sale.

Is HST charged on realtor commission in Ontario?

Yes. HST of 13% is charged on real estate commission in Ontario. On a 5% commission, that brings the total to about 5.65% of the sale price.

How much is commission on a $1 million home in Toronto?

At a traditional 5%, commission on a $1,000,000 sale is $50,000 plus $6,500 HST, for a total of $56,500. Each side (listing and buyer) would typically receive about $25,000 plus HST.

Is a 1% or discount realtor worth it?

Sometimes, but compare the net result rather than the rate. A lower fee with weaker pricing, marketing or negotiation can easily cost more than the savings. Ask any agent how they will price your home, what marketing is included, and what their recent sale prices were compared with the market.

What other costs are there when selling a home in Toronto?

Besides commission, sellers usually pay real estate legal fees, any mortgage discharge fees or prepayment penalties, and moving costs. Staging and photography may be extra with some agents; with The Storey Team, staging is covered for full-service clients.

Can I cancel my listing agreement if I am unhappy?

That depends on your agreement. At The Storey Team, sellers have a 100% cancellation guarantee, so if your situation changes or you are not happy, you can cancel.

Want to know what you would net?

We will walk you through our fees, what is included and an estimate of your net proceeds before you sign anything. Call or text 416-670-2432 or email tom@storeyteam.ca. See also how to choose a realtor in Toronto and our sellers guide.