Selling
Realtor Commission in Ontario, Explained
3 min readPublished
Quick answer
Realtor commission in Ontario is negotiable. You and the brokerage agree the amount in writing, and it can be a fixed dollar amount, a percentage of the sale price, or a combination of both, but not a share of the amount the sale price beats the list price. RECO, government and real estate boards do not set rates.
Key facts: realtor commission in Ontario
| Who sets it | You and the brokerage, in a written agreement |
|---|---|
| Allowed structures | A fixed dollar amount, a percentage of the sale price, or a combination of both |
| Not allowed | A fee based on the difference between list price and sale price |
| Buyer's agent | The buyer is responsible for it; the seller may pay some or all through the offer |
| Regulator's role | RECO does not fix or approve commission rates |
| Federal review | The Competition Bureau is investigating CREA's commission rules |
Who sets realtor commission in Ontario?
You and the brokerage do. RECO says commission is not fixed or approved by RECO, any government authority, or any real estate association or board. CREA's Pledge of Competition says the same from the industry side: rates and how they are shared are solely the choice of those providing the services.
How commission can be structured
Your agreement can set a fixed dollar amount, a percentage of the sale price, or a combination of both. It cannot base the fee on the difference between the listing price and the sale price. The agreement must also say when the amounts might change.
Who pays the buyer's agent?
The buyer is responsible for their own brokerage's fee under their buyer agreement. A seller can agree to pay some or all of it, and the listing agreement states separately what the seller pays its own brokerage and what, if anything, it offers toward the buyer's brokerage. The payment itself is set out in the agreement of purchase and sale.
If a seller offers less than a buyer's agreement says, the buyer agreement should state whether the buyer owes the difference. Buyers should read that clause before they start viewing homes.
What to compare besides the rate
- The services included, listed in the agreement or a schedule
- The marketing plan, and who pays for photos, staging and advertising
- The agreement's length, cancellation terms and any holdover period
- Whether the agent will be your designated representative
- What you are offering the buyer's brokerage, if you are selling
The Competition Bureau's commission investigation
The Competition Bureau is investigating CREA's commission rules and its Cooperation Policy. It obtained a court order in the investigation in October 2024 and expanded it to Greater Vancouver REALTORS® in January 2026. An investigation is not a finding; the current Ontario rules above still apply.
Estimate your costs and proceeds
Key takeaways: realtor commission in Ontario
- Commission is negotiable and agreed in writing; no regulator or board sets it.
- It can be a fixed dollar amount, a percentage of the sale price, or a combination of both, but never a share of the amount over list.
- Buyers are responsible for their own agent's fee; sellers often pay some or all through the offer.
- Compare the services each fee buys, not just the rate.
Email me this guide
The quick answer and the key takeaways in your inbox, with a link back here.
Realtor commission in Ontario: frequently asked questions
Is realtor commission negotiable in Ontario?
Yes. It is agreed between you and the brokerage and is not fixed by RECO, the government or any real estate board. It can be a fixed dollar amount, a percentage of the sale price, or a combination of both.
Does the seller pay both agents in Ontario?
Often, but not automatically. The buyer is responsible for their own brokerage's fee. The seller can agree to pay some or all of it through the agreement of purchase and sale, or offer nothing.
Can commission be based on how much over asking a home sells for?
No. An Ontario agreement cannot base the fee on the difference between the listing price and the sale price.
How is commission set with Summitly?
The same way as with any Ontario brokerage: it is negotiated with Coldwell Banker Summit Realty, Brokerage and written into your agreement before any work begins, along with the services it covers.
Sources
- How do I choose a real estate agent as a seller? — RECO
- Signing a contract with a real estate brokerage — RECO
- RECO Bulletin 6.2: Remuneration clause in an agreement of purchase and sale
- Concerns about steering based on commission — RECO
- Call-out for information: CREA's commission rules and Cooperation Policy — Competition Bureau Canada
- Competition Bureau advances investigation into CREA's policies (Oct 2024)
- Competition Bureau expands its investigation of real estate commission rules (Jan 2026)
- Pledge of Competition — CREA
- RECO Bulletin 2.3: Representation agreements
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, September 25). Realtor Commission in Ontario, Explained. Summitly (Coldwell Banker Summit Realty, Brokerage). https://www.summitly.ca/guides/realtor-commission-ontario
Guide URLs never change. Section links are stable too.
Have a question about your own sale? Ask Zara
Run the numbers
