Commission guide
What does a 1% listing commission mean for an Ontario seller?
A percentage alone does not tell you what a seller receives. The important questions are which side of the transaction the percentage applies to, what services are included, and what other brokerage compensation and taxes apply.
01
Gillani’s offer is 1% on the listing side
Gillani’s Real Estate advertises a 1% listing-side commission for the seller’s brokerage. The current offer also contemplates 2.5% cooperating brokerage compensation, plus applicable HST and the terms of the signed listing agreement.
02
Real estate fees are agreed between the client and brokerage
RECO’s consumer information explains that the amount paid for brokerage services is decided between the client and the brokerage; it is not a fixed amount set by RECO, government, a real estate association or a board. The agreement should clearly identify the services and payment terms.
03
Full service matters more than the headline percentage
The Gillani’s seller package is designed as a full-service offering, with professional photography, video or drone where appropriate, staging guidance, cleaning, floor plans, MLS® exposure, social media marketing, open houses and repair or renovation guidance.
04
Ask what is actually included before comparing offers
Two commission proposals can look similar while providing very different marketing, preparation and advisory services. Sellers should compare the written service package, brokerage compensation terms, HST, agreement length, holdover provisions and any circumstances that change the amount payable.
05
The goal is net result, not simply the lowest fee
Commission is one cost in a larger selling decision. Preparation, pricing, exposure, negotiation and terms can all affect the final outcome. The better comparison is the complete strategy and expected net result after the costs of selling.
Further reading
RECO’s Information Guide explains services, payment terms and representation agreements for Ontario consumers. Read the official resource →
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