When it comes to selling a home in Montreal, it’s important to do a bit of research and calculations before signing up with an agent. Advertising a property for sale with an agent involves many costs, and sometimes it’s simply more profitable to make a direct sale instead. Find out about all your options before signing a contract that could prevent you from moving forward!
Here are some of the costs you’ll face if you advertise with an agent:
Commissions: 6% of sales price, minimum.
Usually, the seller pays 100% of the commission fee. The amount may vary from case to case, but is generally around 6% of the sale price. In addition to commissions, agents often require payment of
certain administrative and/or notary fees
.
Inspection : A few hundred dollars, minimum.
Usually, the buyer is responsible for inspection costs. Nowadays, however, many sellers offer to take care of this during negotiations. Following the inspection, the required renovations will have to be negotiated by both parties.
Valuation: A few hundred dollars.
More often than not, this cost falls to the buyer. Indeed, if he needs to receive a loan, the lender will ask that the value of the property be assessed before granting his loan. However, sometimes this cost is negotiated and paid by the seller.
Some sellers decide to have their property appraised from day one to attract more buyers. In any case, when your property is appraised, be sure to keep a copy of the appraisal for your records.
Cleaning: From zero to a few hundred dollars.
When selling a home, the first thing to do is clean house. So you’ll have to clean the house from top to bottom yourself, or hire a cleaning company to do it for you. Open house days, last-minute visits and people stopping by unannounced to take a look at your home will force you to keep your property in order at all times. If you have a busy schedule, you may need a little help to maintain this optimal state. The price charged by a cleaning company varies according to the size of the house, but as a general rule you can expect to pay at least $100 per cleaning.
Home staging : From zero to a few hundred dollars.
Perhaps your home is already well-decorated, with new hand towels, pleasantly fragrant candles, brightly-colored decorative cushions and well-arranged plants. If so, so much the better! For most people, however, a bit of work is required to make the house look like something straight out of a catalog. Fortunately, if you do everything yourself and take the time to look for discounts, it won’t be very expensive. In any case, you want to make sure you keep the space tidy and organized. If interior decorating isn’t your forte, ask a friend for help or do some research on Pinterest. All it takes is a few small items to give your home the class it deserves.
Renovations: Varies from case to case.
As mentioned above, the cost of renovations can be negotiated between buyer and seller. If you know there are some renovations to be done, you need to admit it and tell your potential buyers that this is included in your price. You can also offer a discount to buyers who want to do the renovations themselves. If the inspection reveals any new problems, you’ll need to discuss them with your buyer and/or take responsibility for them before closing the sale.
Bills to be paid while the property is advertised on the market – Varies according to the case. (We’re talking hundreds, even thousands of dollars!).
Even if you don’t live in your home when it’s advertised for sale on the market, you’ll still have to pay the electricity bills. When you put a house on the market, there’s no way of knowing how long it will take to sell it, and that can take several months! What’s more, you’ll have to pay taxes and home insurance until the day the sale closes. If, like 
most properties in the area, your home is advertised for a significant period of time, these small payments could add up to a small fortune in the end!
