Who pays the Realtor® fees when buying a home in Calgary, AB?

Historically, the seller's listing brokerage offered a cooperating commission to the buyer's brokerage. However, under Canadian Buyer Representation Agreements (BRA), the buyer is ultimately contractually responsible for the agreed fee if the seller refuses or underpays the cooperating commission.

Is GST charged on real estate commissions in Alberta?

Yes. In Alberta, real estate brokerage services are subject to 5% GST. On a typical C$15,250 commission, this adds C$763 in tax.

What is a Buyer Representation Agreement (BRA) in Alberta?

A Buyer Representation Agreement (BRA) is a legally binding contract between a buyer and a brokerage (governed by Real Estate Council of Alberta (RECA)). It sets the duration of exclusivity, duties owed, and specifies the exact compensation the brokerage will earn.

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Alberta Real Estate MarketRegulated by Real Estate Council of Alberta (RECA)Sales Tax: 5% GST

Calgary, AB Realtor® Fee & Cash to Close Calculator

In Calgary, the median home price is C$610,000. Under provincial real estate legislation, Buyer Representation Agreements (BRAs) govern agent commissions. Model your Realtor® compensation, provincial GST (5%), and Land Transfer Tax in Canadian Dollars.

Canadian Real Estate Financial Modeler

Calgary, AB Realtor® Fee & Cash-to-Close Calculator

Target Purchase Price (CAD)

Calgary median baseline: C$610,000

Down Payment20% (C$122,000)

5% (CMHC min)20% (Conventional)35%+

Realtor® Representation Fee

Base: C$15,250 + GST (5%): C$763

Seller-Paid Cooperating Credit2.5% (C$15,250)

Off-MLS cooperating credit requested in the purchase offer

Canadian Settlement Breakdown

Estimated Cash to Close Summary

Total Cash Required at Completion

C$126,183

Down Payment (20%):

C$122,000

Net Realtor® Fee Due:

C$763

incl. GST

Land Transfer Tax (AB):

C$1,220

Legal & Disbursements:

C$2,200

Canadian Competition Bureau & Representation Transparency

In Canada, real estate commissions and representation terms are fully negotiable by law. Under provincial rules (such as Ontario's TRESA administered by RECO, or BCFSA regulations in BC), buyers must receive written disclosure of representation before entering into a binding purchase agreement.

Canadian Real Estate Standards & Competition Bureau Oversight

Understanding Buyer Representation Agreements (BRA) in Alberta

How Canadian real estate regulations safeguard buyers through written representation agreements and transparent commission disclosures.

In Canada, real estate trade practices are governed at the provincial level—such as Ontario's Trust in Real Estate Services Act (TRESA) administered by RECO, BCFSA in British Columbia, and RECA in Alberta. Under modern standards, a written Buyer Representation Agreement (BRA) must clearly define what services your brokerage will perform and exactly how much they will be paid.

No Price-Fixing or Standard Fees

The Competition Act strictly prohibits any real estate board, association, or brokerage from setting standard commission rates. Realtor® fees can be structured as percentages, flat retainers, or tiered incentive fees.

GST / HST Application on Professional Fees

Unlike the United States where real estate brokerage services do not attract state sales taxes, Canadian Realtor® fees are subject to federal and provincial sales taxes (5% GST in AB).