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Skip to content Get The West End Scoop Contact Us Today NESTED REAL ESTATE * Our Team * Get To Know Us * Our West End Expertise * In The Press * Client Results * Staging & Marketing * Selling The West * Selling With Us * Bespoke Marketing * Book A Seller’s Meeting * Get A Property Evaluation * Buying The West * Buying With Us * Book A Buyer’s Meeting * Featured Listings * West End Neighbourhoods * Bloor West Village * High Park * Parkdale * Roncesvalles Village * The Junction * Blog Get The West End Scoop Contact Us Today WHATEVER YOUR REAL ESTATE NEEDS — FROM SELLING AND BUYING, TO GENERAL MARKET ADVICE — WE CAN HELP. GET STARTED BY USING THE FORM BELOW AND WE'LL GET RIGHT BACK TO YOU. "*" indicates required fields Your name* Your email address* Your phone number I am looking to... Select...Buy a propertySell my propertyGet more information How can we help? Comments This field is for validation purposes and should be left unchanged. Let's Talk October 30, 2024 | Buying HOW DOES REAL ESTATE AGENT COMMISSION WORK? Share This Post: Share on Facebook Share on Twitter Share on LinkedIn Share via email When it comes to selling your home in Ontario, the real estate commission might seem like one of those unavoidable expenses, and you may find yourself wondering, “Is it really worth it?” The truth is, commission is more than just a fee, it’s an investment in expertise and marketing that will ultimately help you sell your home for more money. Like many things in life, when it comes to real estate services, you get what you pay for. Choosing between a full-service agent and a discount brokerage can make a significant difference in your selling (or buying) experience. Let’s break down the basics of real estate commission and why full-service agents often offer value that discount brokerages can’t match and how commission works in Ontario. > Have you subscribed to the West End Scoop yet? Sign up for our newsletter > right here and get new listings, exclusive insights, home and design inspo and > more delivered right to your inbox! HOW ARE THE COMMISSION FEES CHARGED & SPLIT? In Ontario, real estate commission generally hovers around 5% of the home’s sale price, though this can vary based on the agent and the agreement with the seller. This commission is usually divided between the listing agent (representing the seller) and the buying agent (representing the buyer), with each typically receiving 2.5%. The seller covers the full commission, paying for both agents’ roles in the transaction. A portion of each agent’s commission is then shared with their brokerage, typically between 15% and 30%, depending on the brokerage model, the agent’s experience, and specific arrangements. This split supports brokerage resources like marketing, office space, administrative services, and brand leverage, all of which enable agents to deliver a higher level of service. For buyers, there’s no direct commission cost, as their agent’s fee is built into the seller’s commission. For sellers, understanding where this 5% goes helps clarify the value of the investment. Full-service agents utilize their time, marketing resources, and negotiation expertise to maximize results. In contrast, discount brokerages may offer lower fees but often with fewer services, which can impact the overall selling experience. -------------------------------------------------------------------------------- Do you have more questions about buying a home in Toronto? Here are some more articles to help you out: * How to Win a Bidding War in Toronto * Can You Buy a House in 30 Days? * In Real Estate, What Does ‘Days on Market’ Really Mean? -------------------------------------------------------------------------------- WHAT MAKES FULL-SERVICE BROKERAGES WORTH THE INVESTMENT? A full-service real estate agent does much more than just put up a “For Sale” sign and wait for offers. They bring a range of skills, resources, and strategies to maximize your sale price and make the process smooth and efficient. Working with a local realtor, especially one who knows your neighborhood, adds an extra layer of expertise and insight that can really make a difference. Like anything else, you get what you pay for, and a top-notch realtor is no exception. Full-service agents are deeply connected to the real estate world and often grow their business through strong client relationships and referrals. Their focus goes beyond just closing a sale. They’re invested in long-term relationships, making them a valuable partner in your real estate journey. > Finding the right agent to buy or sell your home is essential. Read our post > about how to find the best real estate agent in Toronto’s west end right here. WHAT SHOULD YOU EXPECT FROM A FULL-SERVICE REAL ESTATE AGENT? Current marketing strategies: Full-service agents focus on showcasing your home at its very best, utilizing professional photography, video tours, 3D virtual walkthroughs, and expert staging. They tap into exclusive marketing platforms, digital ads, and targeted outreach, ensuring your property reaches a broad audience of qualified buyers. This results in more in person showings and often leads to more quality offers for the home seller. Expert advice on home improvements: With years of experience, full-service agents know what updates and features attract buyers and why. They should provide practical advice on valuable improvements and have a network of reliable contacts to get the job done right. Access to quality home staging: Staging is a step every seller should consider, as staged homes sell 73% faster than non-staged ones. Staging not only elevates your home’s online appeal but also leaves a memorable impression on buyers during showings. Full-service realtors should include staging costs in their selling fees, which is an added bonus. Pricing expertise & negotiation: Pricing strategy is crucial for both buyers and sellers. Experienced agents understand local pricing trends and can guide buyers in multiple-offer scenarios and sellers in setting a list price that drives competitive interest. This level of experience leads to stronger negotiation skills and guidance that benefit both buyers and sellers. Support from start to finish: Full-service agents manage every detail—from setting the right price to coordinating showings and finalizing paperwork—ensuring a smooth and lower stress process from start to finish. For many sellers, these elements add real value to the process. Full-service agents earn their commission by investing time, resources, and expertise to deliver the best outcome for their clients. -------------------------------------------------------------------------------- Thinking about selling your home? Here are some blogs you can check out next: * What’s the Fastest Way to Sell Your Home? * Can I Sell My House without a Realtor in Ontario? * Why Your Agent’s Communication Style Matters to Your Home Sale -------------------------------------------------------------------------------- WHAT DO DISCOUNT BROKERAGES OFFER? Discount brokerages operate on a different model by offering lower commission rates, typically between 1% and 3%, in exchange for a pared-down list of services. While the promise of savings can be attractive, it often comes with trade-offs, as discount brokerages generally provide only basic listing support with minimal marketing and limited guidance throughout the process. With fewer services, discount agents may not offer the same level of expertise in crucial areas like pricing strategies, staging and home improvement recommendations, or targeted marketing—areas where an experienced, neighbourhood-focused agent can make a substantial difference. This lack of insight and strategic planning can lead to longer days on the market, reduced buyer interest, and, ultimately, a lower sale price. The initial savings on commission might not hold up once you consider the possible missed earnings and extended timeline, which can add stress to the process. While discount brokerages may be a fit for certain clients—particularly those looking to take on more of a DIY role—the limited nature of their services often means missing out on personalized advice, premium marketing, and valuable market insights. These elements can be critical in maximizing your sale price and ensuring a smooth, efficient selling experience. > Find out what it’s like to work with us. Read our post about the 5 ways we > speed up the home selling process and blow sellers away right here. CAN YOU SAVE BY BUYING & SELLING WITH ONE AGENT? If you’re planning to both buy and sell a home, many full-service agents offer a reduced commission to clients who use their services for both transactions. For example, if you sell your current home and buy a new one with the same agent, they might reduce their selling commission rate to make the transition more affordable. This arrangement not only saves you money but also simplifies the process, as your agent can coordinate both transactions, ensuring everything moves smoothly. > Planning a home purchase? Find out how we speed up the buying process and blow > buyers away here. WHY IS COMMISSION AN INVESTMENT IN RESULTS? For many sellers, paying commission makes sense when they consider the value it brings to the table. Working with a full-service agent means investing in a suite of services that aim to maximize your sale price while making the process smoother and less stressful. As a seller (or a buyer), it’s essential to do your homework to find the full-service agent who’s the best fit for you. Spend time on their website, look at the types of properties they sell, their listing services, and how they work with buyers. If you feel a disconnect when reviewing their online presence, they might not be the right match for you. But if their site resonates with you, and they offer the right experience and services to meet your needs, you may have found a great partner for your real estate journey. Taking the time to find an agent you genuinely connect with will help make your commission dollars a worthwhile investment. When it’s time to buy or sell, remember: you get what you pay for. Working with a full-service agent means you’re not only investing in expertise but also peace of mind, knowing they’re by your side from listing to closing. > Give us a call directly at 416-909-1602 or email us at hello@getnested.ca to > get started! agent questionsbuyingsellingToronto real estate agent OUR WEST END EXPERTISE We know West Toronto like the back of our hands. From real estate to restaurants to neighbourhoods, we have the intel you need to know. Learn more about our local expertise here. Learn More "*" indicates required fields Your name* Your email address* Your phone number How can we help? Phone This field is for validation purposes and should be left unchanged. Send SEE MORE POSTS See All Posts Previous Post Buying | October 27, 2021 THE COSTS OF BUYING A HOUSE IN TORONTO Read More Buying | September 4, 2018 HOW TO READ A HOME INSPECTION REPORT Read More Buying | March 22, 2023 HOW TO EVALUATE A GOOD FIXER-UPPER IN TORONTO’S WEST END Read More Buying | July 15, 2021 WHY YOU SHOULD TAKE ADVANTAGE OF YOUR BUYER VISITS Read More Buying | February 9, 2021 4 TOP TIPS TO LOOK FOR IN A FAMILY HOME Read More Buying | January 15, 2021 TOP 3 THINGS EVERY SAVVY TORONTO HOME BUYER MUST KNOW! Read More Buying | October 27, 2021 THE COSTS OF BUYING A HOUSE IN TORONTO Read More Buying | September 4, 2018 HOW TO READ A HOME INSPECTION REPORT Read More Buying | March 22, 2023 HOW TO EVALUATE A GOOD FIXER-UPPER IN TORONTO’S WEST END Read More Buying | July 15, 2021 WHY YOU SHOULD TAKE ADVANTAGE OF YOUR BUYER VISITS Read More Buying | February 9, 2021 4 TOP TIPS TO LOOK FOR IN A FAMILY HOME Read More Buying | January 15, 2021 TOP 3 THINGS EVERY SAVVY TORONTO HOME BUYER MUST KNOW! Read More Buying | October 27, 2021 THE COSTS OF BUYING A HOUSE IN TORONTO Read More Buying | September 4, 2018 HOW TO READ A HOME INSPECTION REPORT Read More Buying | March 22, 2023 HOW TO EVALUATE A GOOD FIXER-UPPER IN TORONTO’S WEST END Read More Next Post DON’T MISS OUT! Get on our mailing list to be first to know about the latest West Toronto listings and receive exclusive community content from the neighbourhood’s experts. Sign Up THE BEST FOR YOUR NEST Whether you’re looking to buy or sell—or you’re just looking for information—we’ve got the answers you need to succeed. "*" indicates required fields Your name* Your email address* Your phone number How can we help? Comments This field is for validation purposes and should be left unchanged. Get Started KATHY ESSERY & PAVLENA BROWN Sales Representatives -------------------------------------------------------------------------------- 416-909-1602 hello@getnested.ca 639 Annette St, Bloor West Village Sage Real Estate Ltd. Brokerage 134 Ossington Ave © 2024 Nested Real Estate * Contact Us * Privacy Policy Made by Artifakt Digital Notifications × We Value Your Privacy Settings NextRoll, Inc. ("NextRoll") and our 19 advertising partners use cookies and similar technologies on this site and use personal data (e.g., your IP address). 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