When it comes to selling your home, commission is one of the most confusing and costly areas.
Many homeowners are unsure what’s required versus what’s optional. In British Columbia, the BC Financial Services Authority (BCFSA) and Canada’s Competition Act support a competitive marketplace, meaning commission structures are not fixed by law and are open to negotiation between the seller and the brokerage. Let’s break down some of the biggest misconceptions so you can make informed decisions and protect your equity.
Myth #1: Commissions are set — I have no choice.
Truth: You do have a choice…. by law.
There is no law in British Columbia that sets or requires a standard commission rate. Commission is proposed by the brokerage as part of their service offering and it is up to you whether you agree, negotiate, or choose a different model.
If something feels presented as “fixed” or non-negotiable, it’s reasonable to ask questions, compare options, and ensure you fully understand what you’re agreeing to before signing.
Myth #2: You must pay the same amount to both sides.
Truth: You decide how commission is structured.
What you offer to a cooperating brokerage is set by you within your listing agreement. It does not have to match what you agree to pay your listing brokerage.
The key is that all terms are clearly disclosed and agreed to in writing.
Myth #3: If you don’t offer a higher commission, your home won’t be shown.
Truth: Real estate professionals are expected to act in their clients’ best interests and present suitable properties based on the buyer’s needs, not on the commission offered.
You also have the right to ask how your home will be marketed and how exposure to buyers will be achieved. Today, many buyers actively search online, identify properties themselves, and request showings directly or when they are ready to make an offer.
Myth #4: Full service always means full commission.
Truth: Full service and pricing are not one-size-fits-all.
Different brokerages offer different service models, including percentage-based, flat-fee, and hybrid approaches. What matters is understanding what’s included, how your home will be marketed, and what level of representation you’re receiving.
Myth #5: Commission doesn’t make much difference.
Truth: Commission can have a meaningful impact on your net proceeds.
Understanding your options allows you to make informed decisions about how your equity is used, whether that’s moving into your next home or preserving more of what you’ve built over time.
Final Word
If something doesn’t feel clear, pause and ask questions.
You have the right to:
- Understand how commission is structured
- Explore different service models
- Choose what works best for your situation
An informed seller is a protected seller.
Your Home. Your Money. Your Choice.
For more insights and educational resources, visit OceansideHomeSales.ca or explore my YouTube channel @BrendaLimming_OceansideHomes, where I share information to help homeowners stay informed and confident throughout the process.
For those exploring alternatives, my Flat Fee Full Service model starts at $6,500 and caps at $10,500 no matter what your home is worth and is designed to provide full representation with premium marketing including professional photography, drone footage, video tours, floor plans, and paid advertising campaigns without tying fees to your sale price.
With almost 20 years of experience. I’m here when life moves you.
