If you reduce the Commission, do you reduce the services?

If you reduce the Commission, do you reduce the services?

No, as Realtors we choose what margins to work with...

Furthermore, there is no standard real estate commission in Ontario, all commission rates are negotiable!

The argument for commission that you may have heard goes something like this:

~Realtors make relatively little after considering “The 5 Costs”

1) Real Estate Brokerages charge their agents as much as 50% of the commission paid by a seller.

2) Professional fees and membership dues require substantial contributions

    (to regulate and maintain professional standards in the real estate field)

3) Real Estate Services cost (a “flexible” category, thereby affected by reduced commission)

4) The Government collects HST and taxes the commission as income received

5) The Realtor’s income is the residual.

In sum,

it may appear that asking for “reduced commission” is to the detriment of the seller,

whose services will be compromised...

However,

it is my responsibility as your Broker to sell your home effectively

while taking on the best tools needed to do so and

while negotiating service costs, rather than putting my fees on to my clients.

Home selling prices have increased exponentially over the years,

and I believe that the common misconception of (up to) 5% commission costs can be changed.

Rate Return is the idea of giving back a fair portion of the listing-agent commission to save sellers money.

Not only do you NOT lose services but with Rate Return you get MORE,

including a FULL ONE-STOP, NON-STOP service w/24hr broker availability!

This is because as a homeowner and investor myself, I understand and respect your bottom line and agree that selling costs should NOT get out-of-hand!

 Rate Return: Reducing Commission, NOT Services

Stephen Thomas - Your Neighbourhood Real Estate Broker (TM) of Cityscape Real Estate Ltd.

905 241 2222 (office) - 647 866 8044 (direct)

All opinions expressed above are of Stephen Thomas “Your Neighbourhood Real Estate Broker”, Copyright 2025