How To Calculate Commissions


There is no standard commission for real estate or mortgage brokerage services in Alberta. Commissions to industry professionals are negotiable.

Wise consumers know that the cheapest deal isn’t always the best deal. Before choosing a real estate professional, you’ll likely want to compare the services and fees of a few real estate professionals. These interviews can help you understand the range of commission rates available, and the services provided at the various rates. 

Commission is something you can negotiate with your real estate professional. Some industry professionals and brokerages aren’t willing to negotiate their commission while others are. That’s their right. As a buyer or seller, you have the right to work with someone who charges a commission that you’re comfortable with. 


RECA requires real estate agents and mortgage brokerage professionals to tell you how they’ll be paid for their services. It’s important you know this, as it could prevent unexpected expenses later and have an effect on how your transaction proceeds.

Remember, all payment agreements you enter into are between you and the brokerage, not between you and an individual industry professional. You pay the brokerage, which then pays the individual industry professional. 

Individual industry professionals cannot demand or accept payment directly. If you encounter a situation where an industry professional demands direct payment, refuse the request, and call the industry professional’s broker. 

Real estate and mortgage brokering is a service, making GST applicable.