Real Estate commission in Toronto

If I want to sell my Toronto home, how much would be the standard real estate commission?

That’s the questions you might have asked yourself when you decide to market your property or sell it.

Other questions that might come to your mind are usually, how can I sell my house or condo? Or how much cost is involved in selling my property? Or how much is the real estate commission in Toronto?

Answer to those questions is not a one size fits all. It all depends on the type of property, location and many more. Below here we’ll go through the Range of commission you should expect in Toronto, and why!

Let’s start from the basics. As a seller you can have the option to sell your Toronto property yourself, or ask a toronto real estate agent to help you selling your Toronto property. Sellers, mostly, choose to use a Toronto REALTORⒸ when it comes to sell one of their biggest assets. However that involves agent fees or commission, which we’re gonna talk about ir down below this article.

There are several reasons why a seller chooses to sell his/her property with a real estate agent, I’ve covered it in another article called :


What does a real estate agent do for sellers and buyers?


But the most important reason is that a real estate agent buys and sells properties maybe tens of times in a year, whereas an average consumer in their entire life, sells an average of 4 properties.

Other than that, in a nutshell, a real estate professional can help you with:
Evaluating your home’s price and doing the CMA
Setting the Pricing Strategy
Setting the Marketing strategy
Preparing the home for sale
Setting the strategy and managing the offer presentation
Following up to make sure you are gonna have a smooth transition and buyer closes the purchase successfully.
Typical Real Estate Commission in Toronto

In Toronto, or in Canada in general each real estate transaction has 2 sides:
First one is the Listing side, It’s called the Listing agent.
Second is the co-operating side, It’s called Co-Op agent, also known as Buyer Brokerage.

The typical commission for each side varies depending on Geographic locations, the amount of service provided and so forth, and is not always the same, literally not one size fits all. In order for you to have an idea, in Toronto, the real estate commission is usually fluctuates around 2.5% for the co-op agent and 2.5% for the listing side and marketing more or less.

Now here is the catch, the next question that you might want to ask is, how much service do you get for the amount of commission. Like everything else, the commissions are negotiable, but it depends on the asset type, the marketing strategy, and the services that the Listing agent provides to you.

As mentioned before, there are 2 real estate sides involved in the sale ( Unless it’s a multiple representation which will be explained below this article). A commission or fee for service is paid from the proceedings of the sale. That means you have zero cost upfront in that regard and the sales representative and real estate broker takes on the marketing costs ( depending on your agreement ). In multiple representation, there is a way for you to pay less commission as well, which I have explained it in the last part of this article.

Each real estate brokerage has a sales representative or broker working on their behalf. The commission is typically split between brokerages, and then between the Brokerage and the respective REALTORsⒸ. Now the real estate agent has to pay all the marketing expenses, as well as other business costs and taxes.

The below image is for information purposes only and the percentages may vary depending on the market and or brokerages and their policies.

source: Real Estate Commission in Toronto

While they can feel similar on the outside, look the same on the inside and cost about the same in rent, there are differences.


To help you out, we’re breaking down what sets each apart to make it easier for you to decide which best fits your preferred lifestyle.

Ownership


The main difference between a condo and an apartment is ownership. This also impacts the management of the property. While condos are usually managed by a Homeowners’ Association (HOA), each individual unit has a separate owner. You have the option to purchase a condo, as you would a house. If you end up renting a condo, your property owner will differ from the unit next door.


The ownership of apartment buildings is completely different. Individual apartment units cannot be purchased separately. Instead, apartment buildings typically have one owner, most likely a corporation, with units leased to individual tenants.


Because of this difference in ownership, apartments are also often managed by a third-party company, and not the building owner. Leasing an apartment often means you work with a management company rather than the property owner.

Rules


Ownership also impacts the rules governing a condo and an apartment. While the basic can and can’t dos are often the same, enforcement and management of the rules differ.


For instance, in an apartment, the property management company enforces rules, and those same rules apply to all the units. According to the Department of Housing and Urban Development, the most basic responsibilities include:
Following the rules and guidelines of your lease
Paying rent on time
Maintaining noise levels that won’t cause a disturbance
Keeping your apartment reasonably clean, especially around the entrances to the unit
Disposing of garbage and waste properly


There may be additional rules to follow, particularly if you live in a pet-friendly building, but assume basic regulations like these will be strictly enforced.


Rules can be trickier with a condo. Aside from guidelines set by the HOA for common areas outside of the units, restrictions within condos may vary. Owners have the ability to set their own regulations and could have some unique requests. Make sure to ask about the “house rules” before signing a lease.


Many of the rules set by the HOA impact the owner directly and not necessarily the renter. They can include stipulations for paying fees, which help cover maintenance for common areas and the building exterior.


In some cases, HOAs have restrictions on the number of units designated as rentals. This is something to keep in mind when thinking about purchasing a condo with the intention of renting it.

Costs


Rent for an apartment is almost always a fixed amount for the extent of the lease. Most increases, if they’re going to happen, occur when it’s time to renew, although with enough notice, it’s legal for your rent to go up mid-lease. Some apartments offer month-to-month or short-term leases, but the agreements are usually for a year.


Apartment rent often depends on the market rate and unit availability. It’s also a good rule of thumb to factor in a few extra costs when calculating what rent you can afford. Some apartments will require you to have renter’s insurance, which is a minimal, extra cost.


Utilities are also often not included in your rent. The cost-per-month for these will vary by season, but according to Joe Roberts from move.org, “people who rent apartments should plan to spend $100-$150 (sometimes more) per month for utilities.”


If you’re renting a condo, your payments will also be a fixed amount for the rental period unless your agreement states otherwise. Property owners decide on the cost of renting a condo, which means it can differ between units.


Some owners include HOA fees and utilities as part of the rent for a flat fee, so you’ll pay once per month for all the basics. Utilities will average out in a condo at about the same as the apartment numbers above. HOA fees can vary, but, “some studies suggest that you can expect to pay…between $200 and $300,” per month says Javier Simon, CEPF® from Smartasset.

Amenities


Units in apartment complexes have pretty standard features that are the same across the community. Sometimes there are different floor plans available and options for standard or upgraded appliances if the property owner is investing in updates for within units. In the building itself, apartment amenities can include any of the following:
Free parking
On-site laundry
Pool
Gym
Community room available to rent for events
Business office
Park
Playground
Car wash


Any conveniences that make a property more appealing fall into this category, and can be what makes an apartment building stand out, especially in newer apartment complexes. The more luxurious the apartment, the wider the range of available niceties.


Condo community amenities are pretty much the same as what you’ll find in an apartment complex. Inside the units is where things will differ the most. The features here are sometimes more unique and upscale with things like granite countertops, hardwood floors and vaulted ceilings.


This is because quality amenities can create higher property value for the owners. According to updater, washers and dryers, high-end kitchen appliances and hardwood floors are the most common upgrades owners prioritize.

Maintenance


Free maintenance is a perk of renting an apartment. Some complexes offer services that let you submit work orders online and have 24-hour, on-call emergency maintenance so you can still get service after hours. Issues are usually resolved in a timely manner and can even get fixed when you’re not home.


Not only do you save money in not having to pay for repairs, but you get to keep all the time you’d normally have to spend waiting for a repair person to come and address the issue.


In a condo, you or the property owner are responsible for the maintenance of the unit. This could mean more out-of-pocket costs for you in the long run. It’s important to discuss who handles what, and get these terms in writing before you sign a lease.


If you have issues with your condo rental, you have to contact the owner, who may not be available at your convenience. This could mean longer wait times for completed repairs as well.


In both cases, common areas, including the outside of the building, are not your responsibility. The HOA fee maintains those spots in condo buildings and the property owner handles anything in an apartment.

Which is the better choice for you?


Renting an apartment typically offers a more professional experience. Renting a condo can be a more laid back arrangement, but with fewer services than an apartment. Both have positives and negatives, which is why it’s important to know your preferences.


Understanding what you find at both can help separate the difference between a condo and an apartment in order to select the perfect home. The decision is really about what you’re seeking as an individual in terms of short-term vs. long-term goals and your desired standard of living.

The best restaurants in downtown Toronto

Amano

Union Station, 65 Front St. W., 647-350-0092, eatamano.com
Of all the recent changes to Union Station, the most radical is that it’s become a place where you might go just to eat. There’s a shop selling Brandon Olsen’s delectable CXBO chocolates, a location of Yannick ­Bigourdan’s Union Chicken, and a branch of sausage and beer hall Wvrst. There’s also the excellent, pasta-­centric Amano. Bigourdan, who was a partner in Splendido during its heyday and currently runs Carbon Bar on Queen East, is also involved here, which explains the gracious servers, smart wine list, and slick room of marble, subway tile and leather sling seats that fool you into forgetting you’re in the bowels of a transit terminal. The chef and co-owner, Michael Angeloni, is a noodle savant when it comes to both classics (rigatoni with bolognese; ­farfalle with walnut-arugula pesto) and impieties (campanelle with Dungeness crab and mustard seeds; mezzaluna stuffed with short rib in a ­jalapeño-spiked jus).

Ardo

243 King St. E., 647-347-8930, ardorestaurant.com
Some of the city’s best-known Italian restaurants have a cultivated ambiance one step below a private club on nonmembers’ night, which makes Ardo notable for its unfussy sophistication. It’s more for the not-for-tourists set than the social-media influencers. And chef Roberto Marotta wears his southern-Italian stripes proudly: “Sicilian” appears on the menu 27 times, in pastas like the Anatra, with its long strands of fettuccine, rich duck ragoût and Sicilian herbs; and pizzas like the Etna, a fiery number with house-made Sicilian sausage. One of the few dishes that doesn’t reference the island is the standout mushroom gnocchi, dime-sized dough pockets swimming in an addictive stracchino cheese sauce slicked with black truffle oil, kernels of corn and tiny cubes of carrot. Your urge will be to cram six to a fork, but it’s better to savour them and use the house-made sourdough to soak up any leftover sauce.

The Chase

10 Temperance St., Flr. 5, 647-348-7000, thechasetoronto.com
When it opened in 2013, the Chase immediately became the city’s most cherished spot for Bay Street schmoozing, with floor-to-ceiling windows offering incredible views of the Financial District. Dishes are a tight mix of pastas, meaty plates and steakhouse classics, like the wedge salad or the tableside-prepared beef tartare. Delicate gnocchi dumplings come in a Dungeness crab broth with carrot-infused butter and piquillo peppers; perfectly seared scallops are paired with salty ham hock, pea purée and crispy quinoa; and thin fillets of rich arctic char are wisely accompanied by pickled carrots, creamy confit sunchokes, root vegetable chips and earthy braised kale. Well-executed desserts, like the chocolate cake with creamy ganache, peanut-butter anglaise and vanilla ice cream, put a refined spin on the classics.

Miku

105-10 Bay St., 647-347-7347, mikutoronto.com

From the moment it debuted, Miku’s 180-seat dining room has been overrun—an advantage of being in the heart of the new office district south of the Gardiner. The kaiseki menu consists of cleverly combined exotica. One night, the kaiseki’s star course is a tiered plate of sushi: ocean trout with jalapeño and pink grapefruit, toro with funky black truffle, golden-eye snapper with kumquat compote, and shima-aji (mackerel) with okra and a dashi jelly—it was one of the most exciting things to happen to fish since Nemo reunited with his dad.

Canoe

66 Wellington St. W., 416-364-0054, canoerestaurant.com


Locals point out landmarks to tourists, patient servers snap pics of celebrating couples and everyone oohs and aahs over the view. Honouring Canadian cuisine and ingredients for 23 years has taught the kitchen something about presentation, and the elaborately plated dishes compete with the vistas for sheer beauty. A plump slab of seared Quebec foie gras rests on a sliced cattail-pollen waffle; shards of pink peppercorn and sumac meringue add a colourful, savoury, architectural component. A tangle of tender spring pea shoots, dressed with verjus and minted buttermilk curd, act as a healthy foil for meaty peameal bacon lardons and shaved ricotta salata. Exceptionally tender and flavourful tea-smoked duck breast mingles happily amid a jumble of radicchio, roasted parsnip, poached Niagara pear and a swizzle of parsnip purée. And a tube of rhubarb cheesecake is a creamy pink, red and yellow confection that oozes strawberry compote. Canadian winemakers are given pride of place on the extensive wine list, naturally, but care and attention are apparent with all the selections.

The Difference Between a Condo and Apartment: Which is Better for You?

While they can feel similar on the outside, look the same on the inside and cost about the same in

rent, there are differences.


To help you out, we’re breaking down what sets each apart to make it easier for you to decide which best fits your preferred lifestyle.

Ownership


The main difference between a condo and an apartment is ownership. This also impacts the management of the property. While condos are usually managed by a Homeowners’ Association (HOA), each individual unit has a separate owner. You have the option to purchase a condo, as you would a house. If you end up renting a condo, your property owner will differ from the unit next door.


The ownership of apartment buildings is completely different. Individual apartment units cannot be purchased separately. Instead, apartment buildings typically have one owner, most likely a corporation, with units leased to individual tenants.


Because of this difference in ownership, apartments are also often managed by a third-party company, and not the building owner. Leasing an apartment often means you work with a management company rather than the property owner.

Rules


Ownership also impacts the rules governing a condo and an apartment. While the basic can and can’t dos are often the same, enforcement and management of the rules differ.


For instance, in an apartment, the property management company enforces rules, and those same rules apply to all the units. According to the Department of Housing and Urban Development, the most basic responsibilities include:
Following the rules and guidelines of your lease
Paying rent on time
Maintaining noise levels that won’t cause a disturbance
Keeping your apartment reasonably clean, especially around the entrances to the unit
Disposing of garbage and waste properly


There may be additional rules to follow, particularly if you live in a pet-friendly building, but assume basic regulations like these will be strictly enforced.


Rules can be trickier with a condo. Aside from guidelines set by the HOA for common areas outside of the units, restrictions within condos may vary. Owners have the ability to set their own regulations and could have some unique requests. Make sure to ask about the “house rules” before signing a lease.


Many of the rules set by the HOA impact the owner directly and not necessarily the renter. They can include stipulations for paying fees, which help cover maintenance for common areas and the building exterior.


In some cases, HOAs have restrictions on the number of units designated as rentals. This is something to keep in mind when thinking about purchasing a condo with the intention of renting it.

Costs


Rent for an apartment is almost always a fixed amount for the extent of the lease. Most increases, if they’re going to happen, occur when it’s time to renew, although with enough notice, it’s legal for your rent to go up mid-lease. Some apartments offer month-to-month or short-term leases, but the agreements are usually for a year.


Apartment rent often depends on the market rate and unit availability. It’s also a good rule of thumb to factor in a few extra costs when calculating what rent you can afford. Some apartments will require you to have renter’s insurance, which is a minimal, extra cost.


Utilities are also often not included in your rent. The cost-per-month for these will vary by season, but according to Joe Roberts from move.org, “people who rent apartments should plan to spend $100-$150 (sometimes more) per month for utilities.”


If you’re renting a condo, your payments will also be a fixed amount for the rental period unless your agreement states otherwise. Property owners decide on the cost of renting a condo, which means it can differ between units.


Some owners include HOA fees and utilities as part of the rent for a flat fee, so you’ll pay once per month for all the basics. Utilities will average out in a condo at about the same as the apartment numbers above. HOA fees can vary, but, “some studies suggest that you can expect to pay…between $200 and $300,” per month says Javier Simon, CEPF® from Smartasset.

Amenities


Units in apartment complexes have pretty standard features that are the same across the community. Sometimes there are different floor plans available and options for standard or upgraded appliances if the property owner is investing in updates for within units. In the building itself, apartment amenities can include any of the following:
Free parking
On-site laundry
Pool
Gym
Community room available to rent for events
Business office
Park
Playground
Car wash


Any conveniences that make a property more appealing fall into this category, and can be what makes an apartment building stand out, especially in newer apartment complexes. The more luxurious the apartment, the wider the range of available niceties.


Condo community amenities are pretty much the same as what you’ll find in an apartment complex. Inside the units is where things will differ the most. The features here are sometimes more unique and upscale with things like granite countertops, hardwood floors and vaulted ceilings.


This is because quality amenities can create higher property value for the owners. According to updater, washers and dryers, high-end kitchen appliances and hardwood floors are the most common upgrades owners prioritize.

Maintenance


Free maintenance is a perk of renting an apartment. Some complexes offer services that let you submit work orders online and have 24-hour, on-call emergency maintenance so you can still get service after hours. Issues are usually resolved in a timely manner and can even get fixed when you’re not home.


Not only do you save money in not having to pay for repairs, but you get to keep all the time you’d normally have to spend waiting for a repair person to come and address the issue.


In a condo, you or the property owner are responsible for the maintenance of the unit. This could mean more out-of-pocket costs for you in the long run. It’s important to discuss who handles what, and get these terms in writing before you sign a lease.


If you have issues with your condo rental, you have to contact the owner, who may not be available at your convenience. This could mean longer wait times for completed repairs as well.


In both cases, common areas, including the outside of the building, are not your responsibility. The HOA fee maintains those spots in condo buildings and the property owner handles anything in an apartment.

Which is the better choice for you?


Renting an apartment typically offers a more professional experience. Renting a condo can be a more laid back arrangement, but with fewer services than an apartment. Both have positives and negatives, which is why it’s important to know your preferences.


Understanding what you find at both can help separate the difference between a condo and an apartment in order to select the perfect home. The decision is really about what you’re seeking as an individual in terms of short-term vs. long-term goals and your desired standard of living.