Realtor® Fees Calculator | Find Your Calgary Group
Erick Dillmann
Top Realtor® with 2% Realty
Understanding Realtor® fees in Calgary can be confusing, with complex commission structures. 2% Realty simplifies the process, offering a straightforward commission model that delivers significant savings and top-tier service. Use our Calgary Realtor® fees calculator below to see how much you can save.
Realtor® fees in Alberta are not one-size-fits-all. They can vary depending on the brokerage and the service provided. The legacy rate is 7% on the first 100k and 3% on the remaining balance + GST. Some charge 8.5% or even 10.5% on the first 100k. Currently in Canada the Seller is expected to pay both the listing and buyers agents fees.
Let’s dive into the typical commission calculations in Calgary’s real estate market and discover how 2% Realty’s model stands out in terms of simplicity, savings and service.
Realtor® Fees Calculator
Real Estate Commission Fee Calculator
Your Expected Cost. See The Difference
2% Realty Fee: $0
Legacy Fee: $0
All Realtor® Fees are subject to GST. The higher the Fee the more tax you will pay!
Simple Fee Explanation
Using the Realtor® fees calculator for Calgary you can see there are different outcomes possible. This will depend on the brokerage the homeowner chooses and also because Realtors® are permitted to negotiate their fees when they submit an offer.
- 2% Realty Fee payable at 1% for the listing agent and 1% for the buying agent, this represents the most desired outcome and the aim of every 2% Realty agent.
- Legacy Fee used by many traditional brokerages payable at 7%-on the first 100k and & 3% on the balance split between listing and buying agent.
- *Hybrid Fee* a homeowner listed with 2% Realty pays 1% to the listing agent, with a negotiated fee for the buyer’s agent. Savings over legacy fees are still guaranteed.
Looking for More Info on Realtor® Fees in Calgary?
Deeper Dive into Realtor® Fees in Calgary
In Canada the seller is expected to pay the Realtor® commission for both the LISTING and BUYING agent.
Realtor® fees in Calgary are not standardized, meaning they can vary depending on the brokerage and the services provided. It’s important for homeowners to understand that although fees are technically negotiable it will be difficult to find a brokerage that will substantially reduce their LISTING fees from their brokerage rate. However, there are now lower commission brokerages that offer sellers the opportunity to save as shown in our Realtor® fees calculator results while receiving top level service.
What Does Legacy Commission Structure Mean?
In Calgary, a common commission structure you might encounter is a split fee model. This often involves charging a certain percentage on the first $100,000 of the sale price and a different percentage on the remainder. For example, a 7% fee on the first $100,000 and 3% on the remaining balance is the fee structure used by legacy brokerages in Calgary. Some make their splits more complex and take a higher percentage for the listing side such as 4.5% on the first 100k.
Calculating Fees with the Legacy Models
Under this out dated split fee structure, if a home sells for $550,000, the total realtor® fees would be calculated as $7,000 (7% of the first $100,000) plus $13,500 (3% of the remaining $450,000), totaling $20,500 plus GST. These fees are typically split evenly between the seller’s and buyer’s agents. The Fees are outdated because they have failed to be adjusted to the inflation in home prices over the past 30+ years.
2% Realty’s Commission Model: 2% Realty simplifies this by charging a flat 2% commission rate on the final sale price. For instance, on a $550,000 sale, the total commission with 2% Realty would be $11,000 split between both agents. It is important to note that this represents the maximum savings possible. Because commissions are negotiable, some deals may lead to a hybrid fee outcome, with a negotiated fee for the buyer agents portion.
Calculating Fees with the 2% Model
2% Realty’s Commission Model: 2% Realty simplifies this by charging a flat 2% commission rate on the final sale price. For instance, on a $550,000 sale, the total commission with 2% Realty would be $11,000 split between both agents. It is important to note that this represents the maximum savings possible. Because commissions for the BUYERS Realtor® may still negotiable, some deals may lead to a hybrid fee outcome, with a negotiated fee for the buyer agents portion. Many deals are made with just 2% total commission.
Why Haven't the Legacy Brokerages adjusted their fees for Home Price Inflation?
That’s a very good question!
