How to Sell Your Home in Ontario, Canada

Thinking of selling your property? Whether you want to sell your property with or without a realtor, you need to follow some common steps to get closer to your goal. Understanding where to start and how to sell may take a while. What are the steps for selling a home in Ontario? In this guide, we will break down all the essential steps you need to know, starting from initial consideration to closing the deal.

Home Selling Checklist in Ontario

Ready to start planning your home sale? It’s time to go over the home-selling checklist to see the steps you need to follow:

Evaluate the Market (Should You Sell Now?)

Research current market trends to see if it’s a good time to sell. According to a recent Ontario Market Report Summary:

Given the slight increases in average selling prices for most types of homes in Ontario as of March 2024, it could be a favourable time to sell, especially for single-family homes, which have seen the highest increase. However, the decrease in condo prices suggests that selling a condo might be less advantageous at this moment.

Know Your Home’s Worth

Knowing the right price to list your Ontario home is crucial for attracting buyers and achieving a successful sale.

There are two main ways to get a home evaluation:

• Do-It-Yourself (DIY): Several online tools offer free home valuation. Note: These tools are a starting point and may not be entirely accurate.
• Professional Appraisal: Consider hiring a licensed appraiser for a more detailed evaluation. They physically inspect your property, analyze recent sales of comparable homes, and consider current market trends.

Setting Your Listing Price

Look for recently sold homes in your neighbourhood that are similar in size, features, and condition. This will give you a realistic idea of what buyers are willing to pay.

If the market is hot, you might have some room to negotiate above the appraised value. A slower market might require a more competitive listing price.

Remember: Pricing your home strategically is essential for attracting buyers and achieving a smooth sale.

Choosing How to Sell and Where to List Your Home

After setting the price, you should know about the methods by which you can sell your home and the platforms where you can advertise.

Selling Your Home With or Without a Realtor

Let’s explore the two main ways to sell your home:

• Selling Your Home with a Realtor: Choosing a realtor to sell your home has both advantages and disadvantages:

Pros: Realtors bring expertise in market valuation, marketing strategies, and negotiation tactics. They handle most of the selling legwork, saving you time and stress.

Cons: You’ll pay a commission fee, which can be a significant cost

• Selling Your Home Without a Realtor: Here are the benefits and disadvantages of selling a home without a realtor:

Pros: You save on realtor commission fees.

Cons: Requires significant effort in marketing, managing showings, negotiating offers, and handling legal paperwork — all on your own.

How to sell your home privately? In short, know your home’s value, make it look nice, and get a lawyer to help with paperwork. Advertise online and put up a “For Sale By Owner” (FSBO) sign. Be ready for showings and learn to negotiate. FSBO is good if you have time, can negotiate well, and know potential buyers. Otherwise, finding a realtor might be easier.

Before discussing the checklist for selling your Ontario home, it’s crucial to understand two key things:

• Costs of selling a home in Ontario
• How to sell your home — privately or with a realtor?

Choosing Your Listing Platform

After setting a price for your house, you’ll need to advertise it for sale on various platforms as well. The most effective way to find interested buyers is through realtor.ca, Canada’s national Multiple Listing Service (MLS). However, only licensed real estate professionals can directly list properties on realtor.ca.

If you’re planning to sell your house on your own (FSBO, For Sale By Owner), there are two options to get your listing on realtor.ca:

• Use a third-party website that charges a one-time fee. These websites will connect you with realtor.ca to list your property.
• Pay a real estate agent a fixed fee to handle the listing on realtor.ca for you. This can be a good option if you want the reach of realtor.ca but don’t need the full range of services a real estate agent provides.

Remember, your listing is crucial for attracting buyers. Make sure it includes all the important details about your house, presented clearly and accurately. High-quality photos are especially important, as they create a strong first impression for potential buyers. 

If you decide that you’d like to enlist the help of a Realtor, our brokerage is ready to take care of all of your needs. Our unique approach combines traditional advertising with powerful social and digital strategies for maximum exposure.  We understand what makes buyers tick, so we target the right audience across various channels – realtors, active buyers, and even those just browsing. High-quality photos, virtual tours, and neighbourhood marketing showcase your property in its best light, attracting qualified buyers ready to schedule a viewing. We market your entire neighbourhood, not just your house, creating a desirable atmosphere for potential buyers.

Gather Important Documents (Don’t Worry, We Can Help!)

Selling your home involves paperwork. To streamline the process, collect documents related to:

• Your Property: This includes things like the original sales contract, appraisal report, property tax records, and proof of any improvements you’ve made.
• Financials: Have your mortgage statement, recent utility and/or rental item bills handy.
• Legal and Sales Agreements: This includes the listing agreement and any other required forms. Consult your REALTOR® for more information.
• Other: Depending on the type of property you own it may also be helpful to have any transferable warranties (e.g., for appliances), surveys, and the deed (which proves ownership).

Note:  This is a general list, and your specific requirements may vary.  A lawyer or realtor can help ensure you have everything needed for a smooth sale.

Prepare Your Home For Staging

Next, prepare your home for selling. This preparation phase is all about creating an irresistible first impression that screams “move-in ready.”

Declutter and Depersonalize: Put away extra furniture and personal items to create clean, open spaces that make rooms look bigger and more welcoming. Only keep essentials on display and store sentimental items. Organize and declutter storage areas to show off plenty of storage space without overcrowding.

Inspect: This involves thoroughly examining your property to identify any potential issues that could deter buyers or require repair. Here’s a breakdown of what an inspection might mean:

• Interior: Look for visible signs of damage, such as cracks in walls or ceilings, leaky faucets, malfunctioning appliances, creaky doors, flickering lights, or outdated electrical wiring.
• Exterior: Check for roof leaks, loose siding, drainage problems, or foundation cracks.
• Safety: Ensure smoke detectors and carbon monoxide detectors are functional. Check for trip hazards or loose railings.
• Enhancements: Consider upgrades that boost daily life, like installing dimmer switches or adding additional shelving in key areas. Also, a coat of neutral paint in a light, airy shade can brighten rooms and create a clean, updated feel.

At BCR, we will help you prepare your home for showing. You’ll have access to numerous professionals in the industry, including gardeners, plumbers, painters, and handymen.

Clean: Once you’ve identified any problem areas through inspection, it’s time for a deep clean to make your home sparkle and create a positive impression on potential buyers. 

Wash walls, windows, floors, and woodwork. Pay close attention to areas that tend to get neglected, like baseboards, vents, and light fixtures.

If you want, we can hire commercial cleaners to provide a further deep cleaning service.

Stage to Impress: Rearrange furniture to create conversation areas and highlight the best features of each room. Think flow and functionality. Remove personal photos and collections. Aim for a neutral palette that allows buyers to envision their belongings in the space.

Add pops of colour and texture with carefully chosen throw pillows, artwork, and greenery. Aim for a curated, magazine-worthy look without feeling staged.

Remember: This preparation phase is an investment that can significantly increase your chances of a quick and successful sale. 

Our stagers and designers will help transform your home into a saleable commodity. We have a staging warehouse with all types of accessories and furniture. Contact us for more details about our home staging services.

Schedule Showings

Be prepared for potential buyers to tour your home. Keep it clean, tidy, and show-ready. Consider hosting open houses to allow multiple buyers to view your property at designated times. Throughout the showing process, continue your marketing efforts to keep your home top-of-mind for potential buyers.

Review Offers

When offers roll in, review them carefully with your realtor or lawyer (if possible). Be prepared to discuss counteroffers and work towards a mutually agreeable price and terms with the buyer. Negotiations might take time. Remain patient and focused on achieving your desired outcome. 

We can handle the negotiation part. We fight for your best interests, keeping you informed throughout the process and handling legalities with ease. Expect a stress-free experience with BCR.

Closing the Deal

The closing process starts as soon as a buyer’s offer is accepted. To manage the essential documentation and guarantee a seamless closure, collaborate with your Realtor at BCR.

At closing, you transfer the ownership of the property and sign the paperwork.

Note: Throughout the showing, negotiating, and closing processes, communication is essential.

The homeowner’s checklist for selling your Ontario house is now complete. Good luck with your sale!

How Much Does it Cost to Sell a Home

Selling your home in Ontario involves several expenses, often called seller closing costs. Here’s a breakdown of the major ones:

• Real Estate Commissions: This is the fee you pay your realtor for their services in marketing, staging, negotiating, and handling the sale of your property. The commission is usually calculated as a percentage of the selling price of the property. In Ontario, the standard real estate agent commission is 5% of the property price plus HST, but in practice, the commission can vary.

• Harmonized Sales Tax (HST) on Real Estate Commissions: Don’t forget, there’s also a 13% HST applied on top of the commission itself.

• Capital Gains Tax When Selling a Home: Capital gains from selling a house are not taxed at a 50% rate. Instead, 50% of the gain is considered taxable income. This will change on June 25, 2024, when 75% of gains exceeding $250,000 will become taxable. The tax rate on these gains depends on your total annual income, which includes your salary, side income, dividends from non-registered accounts, and other asset sales.

• Legal Fees for Selling a Home: Expect to budget from $500 to $1500 for legal fees.

• Potential Additional Costs: Depending on your situation, you might have other expenses as part of closing costs when selling a home. For example:

• • Appraisal Fee
  • Repairs
  • Staging
  • Marketing and Advertising
  • Moving
  • Cleaning

Want to Sell a Home in Ontario? BCR is Here to Help

Make it a smooth move with BCR! Our expert team provides unmatched negotiation skills, prioritizes your needs, simplifies legalities, and minimizes stress. Get top dollar for your home and enjoy a hassle-free experience – contact BCR today for a free consultation!