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Buyer Agent Commission Fee in Toronto Real Estate Market
Before Explaining Our Commission Fees, Let’s First Understand the General Rules of Realtor Commissions in the GTA (Greater Toronto Area).
When buying or selling property in GTA, both the buyer and seller typically have their own realtors representing their interests.
For publicly listed Toronto properties, all details are clearly shown on the Toronto Regional Real Estate Board’s Multiple Listing Service (MLS) central database. Importantly, the listing price already includes the commission that the seller pays to the buyer’s agent, so buyers do not need to pay additional commission fees. In the Broker Full version of the MLS listing—only licensed realtors have access to it—there is a section called Cooperating Brokerage Commission, where the commission paid by the seller to the buyer’s realtor is clearly stated. Currently, in most cases across the Greater Toronto Area, this commission is 2.5% of the final sale price.
However, things may soon change. On March 15, 2024, the National Association of Realtors (NAR) in the U.S. agreed to pay $418 million USD settlement in a class-action lawsuit brought by home sellers. As a result, sellers in the U.S. are no longer required to pay buyer agent commissions. This could eventually influence how commissions are structured in Canadian real estate, including Toronto.
Click here to read the original NAR lawsuit coverage on CNN: https://www.cnn.com/2024/03/15/economy/nar-realtor-commissions-settlement
For now, this situation has not yet become the standard in Toronto real estate market. In most cases, the listing price still includes the buyer agent’s commission. Even if a seller chooses not to pay the buyer's agent commission, buyers should not panic, as this doesn’t necessarily increase their cost to buy a house in Toronto.
Here’s why: if sellers reduce their costs, they typically lower the listing price accordingly, since refusing to pay buyer agent commission and keeping the price high would only make the home less competitive compared to other properties for sale in the neighbourhood. In such cases, Toronto realtors and buyers will simply see that property as poor value compared to others, and move on.
Buyer's Agent Commission Fee at Carefree Home Sold Realty
Our team debated for a long time about whether to make our commission fee public. The reason is simple: we are not discount agents who lure clients by giving cash rebates. Many buyers focus only on commission fees, assuming all realtor services are the same. If that were true, of course everyone would pick the cheapest option.
But this assumption overlooks the tremendous difference in results between experienced real estate teams and average agents. The difference in knowledge, negotiation, and results between an experienced Toronto realtor team and a discount agent can make or break your real estate journey.
Our Vision and Philosophy
"I am Pris Han, founder of Carefree Home Sold Realty. Over the past 20 years, I’ve moved to Canada twice—first in 2000 as a young single professional, and again in 2017 as a parent with a family. From Toronto to Montreal, each time I relocated, finding a home was never easy. I remember the uncertainty of wanting to settle quickly but also fearing the consequences of buying the wrong property. Those personal experiences are why, now as a Toronto realtor, I am so passionate about helping new immigrants and first-time buyers find the right home."—Pris Han
With this vision, our team at Carefree Home Sold Realty is fully committed to providing five-star real estate services for newcomers, first-time homebuyers, first-time sellers, and first-time families upgrading (or downgrading) to their next home. Even if you are completely unfamiliar with Toronto real estate transactions, housing prices, or mortgages, our team will walk you through every step—from patient explanations and professional advice, to negotiation strategies that help you buy a house in Toronto at the lowest possible price.
Unlike single agents, Carefree Home Sold Realty allocates dedicated team resources, ensuring that our clients benefit timely, accurate, and comprehensive support. This gives our services far greater depth and precision than typical realtors.
We also providewritten guarantees, such as "Home Price Rebate Program”, "Love Your New Home or We'll Sell It for Free" and "Home Warranty Protection". With these commitments, achieving your dream of buying a home in Toronto becomes much more secure and stress-free.
Our standard buyer commission fee is 2.5% (plus HST), though it may vary depending on housing prices and specific circumstances. This ensures we never cut corners and always maintain the five-star service quality that defines our brand. Whenever possible, we also recover this fee directly from the seller, saving buyers out-of-pocket costs.
We do not believe in competing through cheap fees that compromise service. Real estate is about expertise, speed, negotiation, and problem-solving—not just saving a fraction of commission. Choosing the cheapest agent often means losing your Dream Home, overpaying for a Toronto property, missing out on opportunities, or struggling with mortgage and closing complications — losses that far exceed any short-term rebate.
If you want full-service, professional, and caring VIP support when you buy a house in Toronto — whether it’s a resale property, condo, or pre-construction assignment — wouldn’t you prefer a realtor who earns consistent five-star reviews without relying on discounts?
To put it in perspective: if you were facing a serious legal case, would you hire the best defense lawyer with a proven track record or rely on a free pro-bono attorney? The answer is obvious!
100% Client Satisfaction. Our Client's trust and satisfaction is reflected in the all five-star reviews on our Google Business Page: https://g.page/r/CQ0CjuHNScccEAE . These testimonials show that our dedication to excellence in Toronto real estate isn’t just talk — it’s proven in every successful home purchase, whether it’s a house, condo, or rental property.
Q1: Do I Need to Sign a Contract if I Want You to Show Me Homes?
Under Ontario’s TRESA (Trust in Real Estate Service Act), effective December 1, 2023, realtors are required to sign a Buyer Representation Agreement (BRA) with a client before providing real estate services.
“Real estate services” include anything requiring professional real estate expertise — such as showing Toronto properties, recommending neighborhoods that fit your budget, giving Toronto housing price evaluations, and more.
The BRA establishes a one-to-one relationship: in the same transaction, you either sign with a specific Toronto realtor (Designated Representation) or with a brokerage (Brokerage Representation) where one assigned agent serves you. Without signing, a realtor legally cannot provide real estate services.
RECO Information Guide: “When you become a client, you sign a representation agreement with the brokerage — a contract between you and the brokerage for real estate services and representation. If you don’t want to sign an agreement, you should not expect the real estate agent to provide you with any services, like showing you homes.”
https://www.reco.on.ca/about/plans-and-publications/reco-information-guide
Signing is also an important protection for buyers. Once you’re a client, your agent is legally bound to “promote and protect your best interests.” Realtors in Ontario operate under strict codes of conduct, hold professional licenses, and are regulated.
Some buyers think that avoiding contracts and working with multiple agents means more flexibility. In reality, it backfires: if a realtor knows a client isn’t loyal, they won’t fully invest their time and expertise. No Toronto realtor wants to work for free while a client shops with others. As a result, you won’t get priority showings, accurate Toronto property evaluations before a bidding, search for "off-market" listings or give honest opinions about the pros and cons of a property. Instead, the agent may simply try to push you to close quickly, rather than ensuring you truly buy your Dream house or condo in Toronto.
Q2: Isn’t It More Flexible to Work with Multiple Realtors?
In some countries, buyers work with many agents because listings are scattered. But in Canada, all Toronto real estate listings are centralized in the MLS (Multiple Listing Service). This means that even if you sign with one Toronto realtor, you won’t miss out on any Toronto properties that fit your budget and criteria. Competition among realtors here is not about who has more listings — it’s about professional skill, negotiation expertise, and dedication. The fastest way to buy a house in Toronto is to build trust with your realtor, clearly define your needs, and work together on a focused home search strategy.
Some buyers try to “game the system” by telling agents: “Whoever shows me the house I like, I’ll buy with them.” This may seem smart, but it usually backfires. Realtors then feel pressured to over-praise every Toronto property they show — because if they point out flaws, the buyer might just move to the next agent. This destroys the buyer’s chance to receive honest, objective advice about hidden risks. With a signed Buyer Representation Agreement, your realtor knows their livelihood doesn’t depend on pushing a single condo or house. Instead, they can focus fully on your best interests: warning you about risks, accurately valuing homes, and making sure you don’t overpay.
And what if you worry about being “stuck” with a bad realtor? TRESA solves that too. The BRA must clearly state the contract length and cancellation terms. For example, one brokerage may allow cancellation after two showings with only a small service fee. You can review terms before signing, and you are never trapped unfairly.
In short: signing creates a secure one-to-one professional commitment. It protects buyers, ensures full loyalty from your realtor, and guarantees you get the highest level of service when searching Toronto real estate.
Q3: If Your Services Are So Good, Why Do Many People Still Choose Rebate Agents?
There are two main reasons:
1. Lack of awareness. Some buyers — especially newcomers, first-time homebuyers, or families unfamiliar with Toronto real estate — believe all realtors provide the same service. If services were identical, it would make sense to simply pick the cheapest. But this assumption overlooks the huge difference in expertise, effort, and results between an experienced Toronto realtor team and a low-cost rebate agent.
At Carefree Home Sold Realty, our services go far beyond simply “opening doors.” For example, we:
Explain the buying process, financing options, and Toronto mortgage strategies
Recommend trusted mortgage brokers, accountants, and real estate lawyers.
Analyze your needs and guide you toward the right neighborhoods.
Search MLS and “off-market” listings to find hidden gems and Toronto pre-construction opportunities.
Arrange and accompany all showings, providing genuine evaluations.
Accurately estimate true market values before you bid.
Prepare offers with protective clauses and negotiate aggressively.
Assist with inspections, paperwork, deposits, utilities, and pre-closing visits.
In other words, we guide you through every detail of buying a house in Toronto — from start to finish. Many of these steps require advanced skills, time, and diligence that discount agents often skip. That’s why our service is more valuable, and there is no need to “discount” it.
2. Different buyer needs. Not everyone needs full-service support. Some seasoned investors, for example, already know Toronto housing prices, mortgage rules, and property risks. They may only want an agent to unlock doors. For them, a limited-service agent might make sense.
But for new immigrants, first-time homebuyers, or families making a major move, choosing the cheapest option is rarely the safest. If your goal is to buy YOUR DREAM HOME in Toronto with confidence, full-service expertise is far more important than saving a small rebate.
Q4: If the Seller Doesn’t Pay the Buyer’s Realtor Commission, Do Buyers Have to Pay More?
This question has gained attention since the March 15, 2024 U.S. lawsuit settlement, where the NAR agreed to pay $418 million and U.S. sellers are no longer required to cover buyer agent commissions. Naturally, many wonder how this could affect Toronto real estate. For now, in the Toronto real estate market, most listings still include the standard 2.5% buyer agent commission in the property price. Even if a seller chooses not to pay, this usually doesn’t increase the buyer’s total cost. Why? Because sellers who save on commissions almost always lower their listing price — otherwise their Toronto property would look overpriced compared to others.
Here’s how it works:
Typical scenario: Seller pays 2.5% → buyer pays zero commission.
Reduced commission scenario (e.g. 2.25%): Buyer’s realtor may adjust their fee structure accordingly.
No commission scenario: Buyers can simply increase their offer price slightly, rolling the realtor’s commission back into the purchase price. Since commissions cannot be financed but purchase prices can, this strategy keeps your cash flow smoother. It also saves you the HST tax on commissions, since resale Toronto properties are exempt from HST.
In short: even if sellers stop paying buyer commissions in the future, Toronto buyers will not be left disadvantaged. Either the listing price adjusts downward, or commissions can be built into the mortgage-financed purchase price — keeping the overall cost to buy a house in Toronto stable.
More questions? Contact Us!
Wechat: TeamPrisRealty
Phone: 647-360-8963
Email: info@hanhomesold.com
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