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180 James Sreet South, Suite 402
Hamilton, ON, L8P 4V1

A resource for home buyers and sellers to learn about the process without BS or fluff.

Recent Thoughts

Do Realtors Earn Too Much Money?

Thomas Brown

If you watch Bravo’s Million Dollar Listing, you’ll see a trio of pampered “professionals” driving around the city in a Rolls Royce or Range Rover, doing yoga and drinking smoothies, seemingly working hard to sell their clients’ homes.  The show regularly flashes projected commissions of $100,000 or more on a single deal, leading viewers to the idea that Realtors are overpaid.  But are they?  How much do they really earn?

These TV shows use flashy images to boost their ratings, but let’s dive into the truth behind real estate commissions.  There are a number of ways to sell your home, some companies offering a-la-carte services while others are full-service brokerages.

How I Operate: I’m at a full-service brokerage, handling everything for my clients.  In addition to typical agents, we offer professional photography (no iPhone pictures, come on), house cleaning, staging consultation, pre-listing plan, as well as bunch of other services to make selling your home a breeze.

For this article, I will use the full service model (5% commission) and a typical $400,000 home in Hamilton:

Co-operating (Buyer’s) Brokerage: $10,000

Listing Brokerage: $2,500 (Every Realtor has a different split agreement with their brokerage, I used 25% for this example)

Marketing & Home Preparation: $1,500 (Photos, cleaning service, staging consult, advertising, etc)

Overhead Expenses:  $1,500 (office expenses, licensing fees, insurance, car/gas/parking, etc)

Taxes: $1,800

Profit: $2,700

This graph is based on averages that I see with full-service Realtors.  There are plenty of “professionals” out there that spend far less to sell your home in an attempt to pocket the most for themselves. This article isn’t about them or an attempt to justify commissions paid to Realtors, it’s purpose is to show you that there are real expenses that come with running a truly professional business.  As with everything in life, you get what you pay for! To learn more about how I operate, feel free to reach out anytime.  Call/text (647-502-8355) or email (