Most Ontario home sellers focus on the sale price. The number that actually determines what they walk away with is the sale price minus every cost of selling. In 2026, those costs for a traditionally listed Ontario home typically run between $45,000 and $65,000 on a property selling at $800,000, a figure most sellers significantly underestimate before listing. Here is every cost, in order of size, and how each one works.
1. Real Estate Agent Commissions: The Largest Cost
Agent commissions are the single largest expense in a traditional Ontario home sale. OREA reports that total commissions in Ontario typically run between 4% and 5% of the sale price, split between the seller’s listing agent and the buyer’s agent. On an $800,000 property, the total commission is $32,000 to $40,000 before HST.
HST applies to real estate commissions in Ontario at 13%. On a $36,000 combined commission, the HST adds $4,680. The total commission cost including tax on an $800,000 Ontario home: roughly $36,000 to $45,200 depending on the rates negotiated.
Sellers who use a direct cash buyer instead of a traditional listing pay no agent commissions at any stage. For a detailed breakdown of the commission cost versus what a cash buyer offers, see our comparison guide.
2. Mortgage Discharge Costs
If there is an existing mortgage on the property, it must be paid out and discharged at closing. The administrative discharge fee charged by lenders runs $200 to $400 for a standard discharge. However, the more significant cost is the mortgage prepayment penalty if you are breaking a fixed-rate mortgage before its maturity date.
Prepayment penalties on fixed-rate mortgages in Canada are calculated as the greater of three months’ interest or the Interest Rate Differential (IRD). The IRD calculation compares your contracted rate to current posted rates for the remaining term and can be substantial, $5,000 to $20,000 or more on a larger mortgage with significant remaining term. Variable-rate mortgages typically charge only three months’ interest, which is considerably less. Sellers with mortgages maturing within a year may benefit from porting the mortgage or waiting to sell.
3. Real Estate Lawyer Fees
A real estate lawyer is legally required to transfer title in Ontario. Legal fees for a standard residential sale run $1,000 to $2,500 depending on the complexity of the transaction, the lawyer’s rates, and the location. The statement of adjustments, title discharge coordination, and closing funds management are all handled by the lawyer.
4. Property Tax and Utility Adjustments
The seller is responsible for property taxes and utilities up to the closing date. The statement of adjustments prepared by the lawyers calculates the exact prorated amount. If the seller has paid property taxes in advance, they receive a credit from the buyer. If taxes are owing, the buyer receives a credit. This is not a net cost in most cases, it is a timing adjustment, but sellers should be aware that a closing near the end of a tax period may require a larger-than-expected payment.
5. Staging and Preparation Costs
Sellers who choose to stage their property before listing typically spend $1,500 to $5,000 on professional staging services including furniture rental. Decluttering services, professional cleaning, and minor cosmetic repairs (paint, caulking, fixture replacement) add another $500 to $3,000. These costs are optional but common in competitive markets where presentation drives bidding activity.
6. Pre-Listing Home Inspection (Optional)
Some sellers commission a pre-listing home inspection at $400 to $600 to identify issues before they appear in a buyer’s inspection and create renegotiation leverage. This is optional and carries risk: any defects identified must be disclosed to buyers, which can affect the sale price regardless of whether they are repaired.
7. Condo-Specific Costs (If Applicable)
Condominium sellers pay for a Status Certificate, which the buyer’s lawyer requires to review the financial health of the condo corporation. The cost is typically $100 to $200 payable to the condo management company. Some buildings charge more or have longer processing times.
What Does This Mean for Your Net Proceeds?
On an $800,000 Ontario home sale with a $400,000 remaining mortgage balance, sold through a traditional listing:
- Sale price: $800,000
- Agent commissions + HST: -$40,000 to -$45,200
- Mortgage payout: -$400,000
- Mortgage discharge fee: -$300
- Prepayment penalty (if applicable): -$0 to -$15,000
- Legal fees: -$1,500
- Staging and preparation: -$3,000
Net proceeds: approximately $295,000 to $355,000 depending on penalty and commission rates.
How a Cash Sale Changes the Cost Picture
Selling directly to a cash buyer eliminates the commission entirely. On the same $800,000 property, assuming a cash offer at $740,000 (reflecting the as-is, certain-close nature of the transaction) and no commissions, the net proceeds shift significantly. For a detailed analysis of how the numbers typically compare, see our guide to how much you actually lose selling a house as-is in Ontario. For sellers with properties in as-is condition or time-sensitive situations, the commission saving alone often closes or eliminates the gap between the cash offer and the traditional listing net.
GTA House Buyers purchases Ontario homes for cash with no commissions, no staging requirements, and no agent fees charged to the seller. The company is BBB A+ accredited and 100% recommended on Facebook by verified Ontario sellers. Written cash offer within 24 hours. Call (647) 848-7790 any time to receive your offer and see exactly what your net proceeds would look like.