Seller journey · Guide 1 of 8
How to Sell Your Home in Ontario: Step-by-Step (2026)
5 min readPublished Updated
Quick answer
To sell a home in Ontario: work out your net proceeds, choose a brokerage and sign a listing (representation) agreement, price the home from recent sold comparables, prepare and market it, review offers and their conditions, and close through a real estate lawyer. Commission is negotiable and set in your listing agreement. Your lawyer pays out your mortgage and any other charges from the sale proceeds.
1. Work out what you will walk away with
Before you list, estimate your net proceeds: the sale price minus the mortgage balance, any prepayment penalty for breaking your mortgage early, commission and HST on it, legal fees, and moving costs. Ask your lender for a payout statement; penalties can be large if you are mid-term.
If you are buying again, decide whether to sell first or buy first. Selling first removes the risk of owning two homes; buying first may need bridge financing and a firm plan for the sale.
2. Choose a brokerage and sign the listing agreement
Under Ontario's Trust in Real Estate Services Act (TRESA), a brokerage that works with you must represent you under a written agreement, and must give you RECO's information guide before you sign. The listing agreement sets the commission, how long the listing lasts, and what happens if the home sells after it expires. Commission is negotiable; read how it is split with the buyer's brokerage.
Interview more than one agent. Ask for recent sales in your area, their pricing reasoning, and exactly what marketing is included.
3. Price from sold data
Price from what similar homes nearby have actually sold for recently, adjusted for size, condition, lot and features, not from other asking prices. Over-pricing is the most common reason a home sits, and a stale listing often sells for less after price cuts.
Some sellers price at market and review offers as they come; others set an offer date to invite competing bids. The right choice depends on current demand for your type of home.
4. Prepare the home
- Fix small, visible defects: they give buyers reasons to negotiate
- Declutter and depersonalize so rooms read larger
- Deep clean, including windows and floors
- Consider staging for vacant or awkward rooms
- Gather documents: utility costs, property tax bill, warranties, permits for past work, and for condos, order the status certificate
5. Market the listing
Most buyers see your home online first. Professional photos, a floor plan and an accurate description matter. Your brokerage lists the home on the MLS® system, which feeds most consumer sites, and arranges showings.
6. Review offers and conditions
Compare offers on price and terms: the deposit, the closing date, what is included, and the conditions. A lower offer with no financing condition and a larger deposit can be safer than a higher one full of conditions. You can accept, reject or sign back with a counter-offer.
When the buyer's conditions are fulfilled or waived in writing, the sale is firm.
7. Closing
Your lawyer prepares the closing documents, receives the buyer's funds, pays out your mortgage and commission, adjusts for property tax and utilities, and sends you the balance. Leave the home in the condition the agreement requires, with the included items in place, and hand over the keys through the lawyers.
Selling a condo
Buyers will usually make their offer conditional on their lawyer reviewing the condo's status certificate, which the condominium corporation issues on request and for a fee. Ordering it when you list, rather than after an offer arrives, avoids a delay during the conditional period. Keep your condo fee statements and any notices about special assessments or upcoming work to hand.
Selling a home with a tenant
A sale does not end a residential tenancy. The tenancy, and the rent, carry on with the new owner unless it is ended in one of the ways the Residential Tenancies Act allows, for example because a buyer genuinely intends to move in. Those rules are strict and involve Landlord and Tenant Board notices, so get legal advice before promising a buyer vacant possession.
You must also give the tenant proper written notice before entering for showings. Cooperative tenants make a sale much easier; talk to them early.
Tax when you sell
If the home was your principal residence for every year you owned it, the gain is generally not taxed. You must still report the sale on your tax return: the Canada Revenue Agency requires the principal residence designation on Schedule 3 and Form T2091(IND). If the property was ever rented out or was not your principal residence for some years, part of the gain may be taxable; talk to an accountant.
Sellers who are not residents of Canada have additional withholding and clearance-certificate requirements; their lawyer will explain them.
Timeline at a glance
- Before listing: net-proceeds estimate, agent interviews, repairs and staging
- On the market: until the right offer arrives; well-priced homes draw most interest early
- Conditional period: usually days, as set in the offer
- Firm deal to closing: the date in the agreement, often one to three months
Common mistakes to avoid
- Pricing from asking prices or from what you need rather than from solds
- Ignoring your mortgage prepayment penalty
- Signing a listing agreement without reading the term and holdover clauses
- Accepting the highest number without weighing its conditions
- Failing to disclose known material defects
Key takeaways: selling a home in Ontario
- Estimate net proceeds first, including any mortgage penalty.
- Under TRESA your brokerage represents you under a written agreement; commission is negotiable.
- Price from recent sold comparables, not asking prices.
- Weigh offer terms and conditions, not just price.
- Your lawyer pays out the mortgage and sends you the balance at closing.
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Selling a home in Ontario: frequently asked questions
How much does it cost to sell a house in Ontario?
The main costs are the commission set in your listing agreement (plus HST), legal fees, any mortgage prepayment penalty, and moving. There is no land transfer tax for the seller.
Is real estate commission negotiable in Ontario?
Yes. It is agreed in the listing agreement, including how it is shared with the buyer's brokerage.
Should I get a valuation before selling?
Yes. An instant estimate plus recent sold prices gives you a range; an agent's comparative market analysis refines it for your home's condition.
Do I pay tax when I sell my home in Ontario?
Not on the gain if the home was your principal residence for every year you owned it, but you must still report the sale and the principal residence designation on your tax return (Schedule 3 and Form T2091(IND)).
Can I sell my house with tenants in it?
Yes. The tenancy continues with the buyer unless it is ended lawfully under the Residential Tenancies Act, for example for a buyer's own use with the proper notice. Get legal advice before promising vacant possession.
Sources
Published by Summitly, the website of Coldwell Banker Summit Realty, Brokerage, registered with the Real Estate Council of Ontario (RECO); an independently owned and operated Coldwell Banker franchise. Broker of Record: Waqar Afzal. Questions or corrections: our contact form. How we write and check these pages: editorial policy.
Cite this guide
Summitly Editorial. (2026, June 4). How to Sell Your Home in Ontario: Step-by-Step (2026). Summitly (Coldwell Banker Summit Realty, Brokerage). https://www.summitly.ca/guides/how-to-sell-your-home-in-ontario
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