So You Can Save Money and Have a Better Selling Experience
Selling your property can be stressful, especially if you’re not sure how real estate fees in Saskatchewan work or what it would cost. If you’re thinking about selling your home you’ve probably been wondering ‘how much do I have to pay a REALTOR® to sell my house in Saskatchewan?’
How much you pay for real estate services in Saskatchewan will depend on which brokerage and REALTOR® you use to sell your home. Using a discount brokerage like 2% Realty can save you thousands.
Jump straight to the numbers here or keep reading to learn how commission works in Saskatchewan, what some of the common rates are and get answers to frequently asked questions about real estate commissions in Saskatoon, and Prince Albert.
What are Real Estate Commission Fees?
Commission or ‘real estate fees’ are the compensation a seller pays to the agents involved in the sale of their property. It is determined before the property is listed and forms part of the contract between the seller and the brokerage they choose.
The agreed to commission amount is often split equally between the agent representing the buyer and the agent representing the seller, although this is not always the case. Your REALTOR® should discuss this with you ahead of time, and this will be included on your contract .
In Saskatchewan, commission rates can be a percentage of the sale price, a flat rate, or a combination of the two.
How much does it cost to sell a house in Saskatoon?
The first thing you need to know is that there is no set rate or fee for real estate services in Saskatchewan. Now, if you’re trying to figure out how much it will cost to sell your house, keep reading!
Real estate agents across Canada must adhere to a Code of Ethics which states “Commission rates or fees members charge for services offered to the public, and the division of those fees among cooperating members, are solely the choice of those providing the services.”
So regardless of which Saskatchewan city you live in, the rate can change depending entirely on which REALTOR® you choose to work with.
This code is why 2 Percent Realty Platinum is able offer a 2% commission structure even though so many other brokerages are charging much more.
Commission rates you may see in Saskatchewan:
Saskatoon – 6/4/2 split. That means 6% is charged on the first $100,000, 4% is charged on the second $100,000 and 2% is charged on the remainder of the sale price.
So for example, with this fee structure if your home sold for $400,000 you would pay $14,000.00 in real estate commissions.
Prince Albert – 7/3 split. Meaning 7% is charged on the first $100,000 and 3% is charged on the remainder of the sale price.
With a 7/3 fee structure, if your home sold for $400,000 you would pay $16,000.00 in real estate commissions.
2% Realty in Saskatoon or Prince Albert – 2% flat rate.
With our fee structure if your house sold for $400,000 you would pay only $8000.00 in commission.
How does the commission structure work with 2% Realty Saskatoon?
The 2% Realty Platinum commission structure is a 2% flat rate. It is split evenly between the selling agent and the buying agent.
And because we know it’s your next question – No, there are no hidden fees and no fine print. Really!
How can discount brokerages charge so much less?
One of the questions we get asked the most is ‘how can you manage to only charge 2% when everyone else is charging so much more?’
The answer is really quite simple:
- We have embraced the modern working world. Technology is a beautiful thing (most days).
- We are a volume based business.
Real Estate Has Changed (A LOT)
“Back in the day” as the kids these days like to say, real estate was very different. People didn’t move very often, keys were kept in a locker in the office, the internet didn’t exist and paperwork had to be signed in person.
When you consider the time it took a real estate agent to do their job – driving around to distribute keys and get paperwork signed, paying for physical office space and photocopies, and taking into consideration the few number of deals they would do – the hefty compensation structure made sense. It was fair pay for the work being done.
Fast forward to today and we can paint a very different picture of how real estate transactions are done. We can work from home, all of the paperwork can be completed electronically from anywhere, keys are held in lockboxes at the property, people use the internet to find their own listings, house prices are WAY higher, and people move a lot!
The entire landscape of real estate has changed. That is, except for the compensation.
That’s why we can charge 2%. Because when you embrace modern technology, it’s a fair price for the work being done.
We keep our costs down so we can keep your cost down. It’s that simple!
Interested in Working With Us?
Click the button below to get started with a free home evaluation.
Does the buyer or seller pay the commission?
Typically the seller pays the commission to both the buyer’s agent and the seller’s agent.
In some circumstances – like if a buyer has a buyer’s brokerage contract with their agent – the buyer will be responsible for making up the difference between what the seller agreed to pay and the amount due on the contract.
What is an Exclusive Buyer’s Brokerage Contract?
A buyer’s brokerage contract is a contract that some agents use with their buyers. It forms an agreement indicating that the buyer will exclusively use the agent they’re under contract with for their purchase.
It also guarantees that the agent will receive a specified commission and that the buyer will be responsible for paying any shortfall if the commission exceeds the compensation offered by the seller.
Are Real Estate Fees Negotiable in Saskatchewan?
Yes! The Canadian Real Estate Association (CREA) supports “free and open competition”, which means “fees among cooperating members, are solely the choice of those providing the services.”
Is commission taxable in Saskatchewan?
Yes, you will be required to pay GST and PST on the value of the commission.