Full Cost of Selling Your House in Ontario (2026 Breakdown)

The short answer: Most sellers think they’re losing about 5% to commission. In reality, total selling costs typically land closer to 7–10% once everything is factored in.

This is the full breakdown so you know exactly what you’ll walk away with before you list.

Real Estate Commission: The Largest Cost

In Ontario, commission is typically around 5% of the sale price, split between agents.

Reality check: On a $500,000 home, that’s about $25,000. On $700,000, it’s about $35,000 — taken directly from your proceeds.

Lower commission options exist, but they usually mean reduced exposure and weaker marketing. What matters most is the final sale price, not just the fee.

Land Transfer Tax

This is one of the most misunderstood costs.

Reality check: Land transfer tax comes directly out of your proceeds at closing.

$500,000 sale → approx. $2,475

$700,000 sale → approx. $5,475

Many sellers don’t budget for this and get surprised at closing.

Legal Fees

You cannot sell without a lawyer.

Reality check: Expect $1,800–$2,500 for a standard transaction.

If complications arise, costs increase. This is a fixed and unavoidable expense.

Inspection-Related Costs

Buyers usually pay for inspections — but issues discovered often come back to you.

Reality check: Budget $1,000–$5,000 for credits or repairs during negotiation.

Disclosure upfront is almost always cheaper than renegotiation later.

Property Tax Adjustments

This isn’t a new cost, but it affects your final payout.

Reality check: Depending on timing, you may owe or receive an adjustment at closing.

Your lawyer calculates this, but it still impacts your net proceeds.

Staging and Preparation

This is optional — but strategic sellers invest here.

Reality check: $1,000–$2,000 in prep can significantly improve your sale price.

Clean, well-presented homes consistently outperform untouched listings.

Inspections and Miscellaneous Costs

Unexpected costs come up more often than people think.

Reality check: Budget $300–$600 for small inspection or municipal-related expenses.

Mortgage Penalties

If you break your mortgage early, you’ll likely pay a penalty.

Reality check: Often 3 months of interest — typically $3,000 to $6,000+.

This is one of the most common surprises for sellers.

Example: $500,000 Sale

Typical breakdown:

Commission: $25,000
Land transfer tax: $2,475
Legal: $2,000
Prep + staging: $1,200
Inspections: $400
Mortgage penalty: $3,750

Total: ~$35,000

You’re netting roughly $465,000.

Where Sellers Actually Lose Money

It’s not just the costs — it’s the strategy.

Reality check: Overpricing leads to longer days on market, price reductions, and carrying costs.

Honest pricing is the most effective way to protect your net.

Frequently Asked Questions

How much money do I actually keep after selling my house in Ontario?
The amount depends on your sale price, mortgage balance, and closing costs. Many sellers focus on commission, but legal fees, mortgage penalties, preparation costs, and other adjustments also affect what you take home. Calculating your net proceeds before listing can help you make better decisions about your next move.

What are the biggest hidden costs when selling a home in Burlington or Hamilton?
Mortgage penalties are one of the most common surprises, especially if you're breaking a mortgage term early. Sellers in Burlington and Hamilton are also often caught off guard by repair requests, staging expenses, legal fees, and property tax adjustments. Knowing these costs upfront makes it easier to budget accurately.

Should I spend money on staging and home preparation before listing my house?
In many cases, yes. Professional preparation can improve how buyers perceive the home online and in person, which may lead to more interest and stronger offers. The goal is not to spend as little as possible, but to invest strategically in improvements that help protect your final sale price.