The Simple Guide.to Real Estate
Curated by Justin Baarts 

If you are thinking about buying a home in BC, you probably have a big question: "How much is this going to cost me?"

Understanding how real estate agents get paid is the best way to start your journey. Here is the simple breakdown of how the money moves.

1. The Seller Usually Pays the Bill.

In a typical BC home sale, the person selling the house pays the total commission for both agents.

When a seller lists their home, they agree to a total fee (1-7% on the first $100k and 1-3.5% on the rest). That total fee is then split between the agent helping the seller and the agent helping the buyer.

The Bottom Line: As a buyer, you usually don't have to write a check to your agent. Their help is included in the deal.

2. Can I Save Money by Not Using an Agent?

It’s a common myth that if you don't use an agent, the seller will just give you that "saved" money as a discount. 

In reality, the seller has already signed a contract to pay a set fee regardless of whether you have an agent or not. If you show up alone, the seller’s agent often just keeps the entire fee for themselves for the extra work of handling both sides of the paperwork.

You end up doing all the work, the research, the legal checks, and the negotiating. Without the professional help you were entitled to with an agent's services.

3. Are There Any Exceptions?

Very rarely, if you buy a home that isn't listed on the market (like a "For Sale By Owner"), the seller might refuse to pay any commission. If that happens, your agent will tell you upfront before you even see the house, so there are no surprises. The buyer's agent would then be paid through a fee agreement in the contract, or by you, the buyer. 

4. Disclosure of Remuneration.

In BC, the Disclosure of Remuneration form ensures total transparency. Buyer's agents are legally required to show you exactly how they're being paid by the seller and how that math works before you sign your offer. No secrets, no surprises.

Example: 
$1,000,000 Home Sale

FAQs.

Can I negotiate a deal with my agent?
Sure, not all will give you a bit of a cut if you're doing a buy and a sell. You could ask. 

Does the agent keep 100% of the money?

No, all Agents get paid through their Brokerages, which usually takes some sort of split. 

Will I know how much my agent made on the purchase?

Yes, in BC, we use a form called the Disclosure of Remuneration. Think of it as a "no-secrets" receipt. Even though the seller usually pays the fee, I am legally required to show you exactly how much I am being paid and how that math was done. You’ll see this in writing before you sign the final offer, so there are never any hidden surprises.

Planning for Your Future Move?

If your move is still a year or two away, the best thing you can do is start tracking the market now. While the seller covers the Realtor fees, you still need to budget for your own closing costs, such as the Property Transfer Tax (PTT)