Real Estate

Buying agent with most cash back?

  • Last Updated:
  • Oct 25th, 2020 5:19 pm
Member
Nov 13, 2013
448 posts
141 upvotes
Mississauga, ON
Any realtors on this thread willing to share commission(50% or better), please DM me. I have done all the homework and ready to put an offer on a $1.09M property. I would need your services for 1)Book showing(I can go see the property myself once the appointment is booked) , 2)Do the paperwork (which can be done online) 3)And help in negotiations.

I know what type of house I want, what neighbourhood etc etc, just need someone with a realtor license to move things forward. I wont be using much of your time, just few phone calls to discuss next steps :)
Deal Addict
Mar 27, 2004
4509 posts
2139 upvotes
Toronto
you can not go view the property without an agent. agent will be fined a few thousand if caught booking and just letting client view unit alone.
Full-time Realtor
Newbie
Sep 27, 2018
9 posts
2 upvotes
deal_with_singh wrote: Not exactly. This makes 0 difference.

Hypothetical Scenario: $1M Property, 95/5 Broker/Agent split., 50-50 Cash Back split

Buyers Brokerage Charges Sellers Brokerage - 2.5% + HST = $28,250 (incl. HST) -- This is the total charged to the seller buy the buyers brokerage regardless.
Brokerage's cut - 5% - they keep: $1,250 + HST = $1,412.50
Remaining - $1,000,000*0.025 * 0.95 = $23,750.
50% Agents Split = $11,875 + HST = $13,418.75
50% CB Split = $11,875 Total.

Now you're probably wondering...what happened to the HST on the cashback split? Well it works like this.
Buyers Broker receives $3,250 worth of HST they have to remit in total.
Buyers Broker pays out 13% HST on Agents pay out = $1,543.75. This $1,543.75 is now a Input Tax Credit for the Broker, and is now due to the CRA by the Agent
Buyers Broker retains the HST on $1,250 = So has to remit the $162.50 as they normally would, net of credits.
But...because the buyer receiving cash back doesn't in theory have an HST number to charge the broker, there is no HST remitted to them, and at the same time no HST Credit. As such the portion that would go to the buyer is simply remitted directly by the Buyer's Broker.

In total essentially all you're doing is making the buyers broker pay out the HST to the government rather than the agent. This has no impact on the total amount charged to the Sellers.
Not sure if there's a specific thread for this, but can experienced agents DM me regarding the brokerage cuts they have with their brokerage?
Wondering if there's a place that's better for me out there (within the GTA)...
Sr. Member
May 4, 2006
515 posts
223 upvotes
Mississauga
Im starting to look for a home in the Milton or Brampton West area, been following the market the best as i can via bungol, which is actually down right now.

Looking for an agent that is experienced in that area and can work with us finding our first home. Agent that is big on analysis and can help us navigate what is a “hot” market right now would be good. Cashback would be nice, but not looking for a crazy cashback offer.

You can PM me, thanks!
Member
Nov 13, 2013
448 posts
141 upvotes
Mississauga, ON
ClarkMan wrote: Any realtors on this thread willing to share commission(50% or better), please DM me. I have done all the homework and ready to put an offer on a $1.09M property. I would need your services for 1)Book showing(I can go see the property myself once the appointment is booked) , 2)Do the paperwork (which can be done online) 3)And help in negotiations.

I know what type of house I want, what neighbourhood etc etc, just need someone with a realtor license to move things forward. I wont be using much of your time, just few phone calls to discuss next steps :)
Thanks to everyone who reach out to help. We had put an offer on the $1.09M property and there were a lot of other offers on the property and it sold for $1.17M within less than 24 hours.
Clearly covid19 has no impact on this market (except now you have to sign the Covid19 waiver before showings)......... This market is crazy!!!!
Deal Fanatic
Feb 9, 2009
9338 posts
6952 upvotes
ClarkMan wrote: Thanks to everyone who reach out to help. We had put an offer on the $1.09M property and there were a lot of other offers on the property and it sold for $1.17M within less than 24 hours.
Clearly covid19 has no impact on this market (except now you have to sign the Covid19 waiver before showings)......... This market is crazy!!!!
yeah thats insanity... we are getting to 2017 again

1% drop in the prime rate and no official spring market has put fumes on this market. Lets see how long this goes on for...
Member
Oct 21, 2013
264 posts
105 upvotes
waterloo, on
a house in my area had 40 offers on it. so yeah covid had no impact. there was a short window when there was less competition in the market. but that window is now gone. people are back in market with full force.
Royal LePage Realtor
Deal Fanatic
Feb 9, 2009
9338 posts
6952 upvotes
DealsFreak wrote: a house in my area had 40 offers on it. so yeah covid had no impact. there was a short window when there was less competition in the market. but that window is now gone. people are back in market with full force.
It’s basically the spring market now in summer.

It’s weird everything is backwards. I’m watching playoff hockey and basketball in August.

Just a weird weird year
Member
Jun 25, 2010
382 posts
62 upvotes
Hamilton, ON
Considering hiring a realtor for house sale in Brampton. PM if interested.
Sr. Member
Apr 18, 2017
560 posts
419 upvotes
My realtor charging 1% on the for me selling the house. Buying agent 2.5%. So total is 3.5%

Is this a good deal?
Member
Oct 21, 2013
264 posts
105 upvotes
waterloo, on
hockeyfan1990 wrote: My realtor charging 1% on the for me selling the house. Buying agent 2.5%. So total is 3.5%

Is this a good deal?
Thats pretty standard now. You can negotiate more if you are buying as well through same realtor.
Royal LePage Realtor
Deal Fanatic
Feb 9, 2009
9338 posts
6952 upvotes
hockeyfan1990 wrote: My realtor charging 1% on the for me selling the house. Buying agent 2.5%. So total is 3.5%

Is this a good deal?
1% for listing is good...many agents have tier commission. 1% for standard. If you want more marketing they'll charge around 1.5 to 1.75% for that. Its a hot market right now, unless it's a dump it should sell pretty fast if priced right and 1% should be fine.
Deal Addict
Mar 27, 2004
4509 posts
2139 upvotes
Toronto
1% is fairly standard.
If you want staging, expect to pay like 1.5%

It really depends on home value as well.
Full-time Realtor
Newbie
Apr 6, 2020
73 posts
42 upvotes
Toronto
hockeyfan1990 wrote: My realtor charging 1% on the for me selling the house. Buying agent 2.5%. So total is 3.5%

Is this a good deal?
Giving the buying agent 2.5% is a smart move, find out what you're getting (if anything) for the 1%. I charge more but provide the photos, lots of advertising, staging, storage for the clutter, brochures, moving boxes, etc
GTA Real Estate Agent
Sr. Member
Dec 13, 2006
559 posts
236 upvotes
Can anyone tell me if it's possible in Quebec or OACIQ forbid it?

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