21 October 2025

Introduction

In real estate transactions, one common question often arises: who pays the real estate broker?

Importance of understanding brokerage fees

Understanding brokerage fees is essential to avoid surprises and to properly prepare your budget. Having a clear understanding of these fees allows you to navigate the buying or selling process with greater peace of mind, whether you are using a broker to search for a property or to handle negotiations.

Current real estate market context

The Quebec real estate market is experiencing significant fluctuations, influenced by various economic and social factors. In this context, the role of the real estate broker becomes even more crucial to ensure successful transactions.

1. The role of a real estate broker

Definition and functions

A real estate broker is a professional mandated to facilitate real estate transactions, whether for the sale or purchase of properties. Their primary role is to act as an intermediary between buyers and sellers, providing services such as property searches, price negotiations, and transaction completion. The broker must possess in-depth knowledge of the real estate market, strong negotiation skills, and the ability to manage the legal and financial aspects of transactions.

Typical services provided by a broker

Services provided by a real estate broker include:

• Property searches: Identifying properties that match the buyer’s criteria.
• Property evaluations: Helping determine the market value of properties.
• Negotiations: Facilitating negotiations between buyers and sellers to reach a fair agreement.
• Administrative assistance: Managing documents and formalities necessary to finalize a transaction.
• Financial advice: Providing guidance on available financing and mortgage options.

Importance of a real estate broker

Advantages of using a broker for buyers and sellers

• For buyers:
  • Access to a wide property inventory: Brokers often have access to exclusive listings not available to the general public.
  • Negotiation skills: Brokers possess negotiation expertise that can help secure a better price.
  • Time savings: A broker can simplify and speed up the property search and purchase process.
• For sellers:
  • Accurate evaluation: Brokers can provide precise evaluations to ensure the property is sold at a competitive price.
  • Effective marketing: Brokers use various marketing strategies to attract potential buyers.
  • Offer management: Brokers handle offers and counteroffers, helping close the sale more efficiently.

2. Real estate brokerage fees

Nature of brokerage fees

Real estate brokerage fees are financial compensations paid to the broker for services rendered in a real estate transaction. These fees can vary depending on several factors, including the property’s value, transaction complexity, and geographical location.

Definition of brokerage fees

Brokerage fees represent a percentage of the total real estate transaction value. They can be calculated in different ways but are usually based on a percentage of the property’s sale price. For example, brokerage fees commonly range between 3% and 7% of the sale price.

How these fees are calculated

Brokerage fees can be calculated using several methods:

• Percentage of the transaction: The most common method, where a predetermined percentage of the sale price is allocated to the broker.
• Flat fee: A fixed amount agreed upon in advance, regardless of the final sale price.
• Hybrid model: A combination of a fixed fee and a percentage of the transaction.

3. Who pays the real estate broker?

Paid by the seller

In the traditional real estate transaction model in Quebec, it is usually the seller who pays the brokerage fees. This model is commonly used because it allows potential buyers to avoid worrying about additional fees, making the buying process more attractive. Moreover, brokerage fees are often included in the sale price, allowing the seller to indirectly transfer part of the cost to the buyer.

Paid by the buyer

Although less common, there are situations where the buyer may be responsible for the brokerage fees. This can occur when the buyer directly hires a broker to find a specific property or to negotiate special conditions. The advantages for the buyer include a more personalized service and a broker who works exclusively in the buyer’s interest. However, this increases the overall cost of the purchase for the buyer, which can be a disadvantage.

Mixed and alternative models

There are also mixed models where brokerage fees are shared between the buyer and the seller. These arrangements vary depending on negotiations and local practices. For example, in some transactions, both parties may agree to split the fees equally or based on a predetermined percentage. These alternative models can help facilitate negotiations and make transactions fairer for everyone involved.

4. Presentation of my real estate brokerage services

Why choose Yannick Arseneault?

I am a real estate broker in Quebec, recognized for my expertise and commitment to my clients. My personalized approach and deep understanding of the local real estate market allow me to provide high-quality services. Here are some highlights of what I offer:

Highlights of my services

• Personalized approach: I offer tailored service that takes into account the specific needs of each client, whether they are buyers or sellers.
• Market knowledge: My thorough understanding of the Quebec real estate market allows me to provide accurate and effective advice.
• Transparency: I make it a priority to be transparent about my rates and payment terms, ensuring clients understand all costs upfront.

Work process

My approach to assisting buyers and sellers is structured and efficient:

• For buyers: I help you find the ideal property based on your specific criteria. I accompany you throughout the entire process, from the search to the offer to purchase, up to the signing with the notary who will distribute the transaction fees.
• For sellers: I handle everything, from evaluating the property to marketing, negotiating, and finalizing the sale.

My fees and transparency in transactions

I firmly believe in transparency and fairness in every transaction. My brokerage fees are clearly defined from the outset, whether as a percentage of the transaction or a fixed rate. As a listing or collaborating broker, I ensure that my clients fully understand the compensation structure and payment terms, whether they are selling or buying.

Conclusion

Understanding who pays the real estate broker in Quebec is crucial for anyone involved in a real estate transaction. Knowing the different payment practices (whether the traditional model where the seller pays, cases where the buyer assumes the cost, or mixed models) helps avoid surprises and allows you to plan your budget effectively.

As a real estate broker, my goal is to make this process as transparent and smooth as possible. Whether you are an buyer or a seller, I am committed to providing you with personalized and professional service, ensuring you understand every step of the process, including brokerage fees and how they are divided.

I am here to help you navigate the Quebec real estate market with confidence and peace of mind, offering the best advice and ongoing support throughout your transaction. For any questions or to start your real estate project, don’t hesitate to contact me.