Real Estate Fees in Canada

I have sold 3 houses on my own. In one case, the buyer and I each paid for independent appraisals and then negotiated a final price based on them. In another a friend of a friend heard we were selling and we negotiated a price based on recent sales in the same part of town. In the third case, the neighbour 2 down had an almost identical house and was selling through a real estate agent and I sold to one of her potential clients (who saw my “For sale by owner” sign) for a price similar to hers.

Did I get the highest possible price in each case? Probably not, but I believe I got more that 6% or 7% less, which is what I would have paid an agent. And I did not have to go through endless open houses.

The bottom line for me is that I felt real estate agents were way over paid.

The Canadian Competition Bureau said Thursday that they have reached an agreement with the Canadian Real Estate Association that will allow real estate agents to provide “innovative service and pricing options to customers.”

In other words, more discount brokers.

The problem has been that CREA would discriminate against discount brokers, mainly by denying them access to the MLS (multiple listing service) which is responsible for helping sell a vast majority of houses here in Canada.

CREA will hold a general meeting in St. John’s on Oct. 24 to vote on the agreement.