Michael John Lau · REALTOR® · Markham · Unionville · GTA
The Real Cost of Selling a House in Markham (2026)
Ask most homeowners what they'll walk away with after selling, and they'll quote their neighbour's sale price. Ask them again after closing, and the number is different — sometimes very different.
The gap between sale price and net proceeds is where unprepared sellers get surprised. Smart Markham sellers run this math before they list, because the number that funds your next chapter isn't the one on the sold sign. It's the one your lawyer wires you after everything is paid.
Here is every cost, what it typically runs in Markham, and a worked example on a real-world price point.
Every Cost of Selling a Markham Home, Itemized
1. Real estate commission + HST
Commission in Ontario is negotiable — there is no fixed or board-mandated rate. It is set in your listing agreement and typically covers both the listing brokerage and the buyer-side brokerage. HST (13%) applies on top of commission. On a Markham home, commission is usually the largest single selling cost, which is exactly why it should buy you a complete pricing, preparation, and marketing operation — not just a sign and an MLS® entry.
2. Legal fees
An Ontario real estate lawyer handles the discharge of your mortgage, the transfer of title, and the closing funds. Typical fees for a sale run $1,500–$2,500 including disbursements.
3. Mortgage discharge or prepayment penalty
The most commonly missed cost — and sometimes the largest after commission. If you break a closed mortgage mid-term, your lender charges a penalty: usually three months' interest or the interest rate differential (IRD), whichever is greater, plus a discharge/administration fee. If you're porting your mortgage to your next home, the penalty may be reduced or avoided. Call your lender for an exact payout quote before you list. This one phone call has saved Markham sellers from five-figure surprises.
4. Preparation, staging, and repairs
Cleaning, decluttering, paint, minor repairs, and professional staging. In presentation-sensitive Markham communities like Unionville and Angus Glen, staging is not optional decoration — it's how your home wins the online first impression against every competing listing. Preparation is the one selling cost that routinely returns more than it costs.
5. Moving costs
Movers, storage, and overlap costs between properties. Budget realistically — a local Markham move with a professional crew typically runs from several hundred to a few thousand dollars depending on home size.
6. What Markham sellers do NOT pay
- Land transfer tax — paid by the buyer in Ontario, never the seller
- Capital gains tax — generally sheltered by the principal residence exemption if the home was your principal residence every year you owned it (it must still be reported on your tax return; investment and rental situations differ — confirm with your accountant)
Net Proceeds on a $1,200,000 Markham Sale
An illustration only — your commission structure, mortgage, and preparation needs will differ. Figures rounded for clarity, assuming a 5% total commission for illustration:
| Item | Amount |
|---|---|
| Sale price | $1,200,000 |
| Commission (5% illustration) | −$60,000 |
| HST on commission (13%) | −$7,800 |
| Legal fees & disbursements | −$2,000 |
| Mortgage discharge penalty (example: 3 months' interest) | −$5,500 |
| Staging & preparation | −$4,500 |
| Moving | −$2,200 |
| Estimated costs | −$82,000 (≈6.8%) |
| Proceeds before mortgage payout | $1,118,000 |
Your remaining mortgage balance then comes off that final line — which is why two neighbours with identical sale prices can walk away with very different cheques.
Now the part the itemized list hides: the $4,500 spent on staging and preparation in this example isn't really a cost. On a well-executed Markham launch, preparation routinely moves the sale price by multiples of what it costs. The sellers who net the most aren't the ones who spent the least — they're the ones who spent precisely.
Want this calculated for your address, your mortgage, and your neighbourhood's real comparables? That's the first page of every free home evaluation.
Where Cutting Costs Backfires
Every seller wants to spend less. The question is which savings are real and which are expensive:
- Skipping staging saves a few thousand dollars and routinely costs multiples of that in sale price — especially in Unionville, Angus Glen, and Cachet, where buyer expectations are highest.
- Skipping preparation puts your home online next to competing listings that didn't skip it. Buyers compare.
- Choosing an agent on discount alone is the largest false economy in real estate. A point saved on commission means nothing if weak pricing strategy or thin marketing costs you three points on the sale. Judge the full operation — pricing method, preparation network, marketing reach, negotiation record — then judge the fee. See how to choose a Markham listing agent.
- Selling to a cash buyer to "save commission" trades a known cost for a much larger hidden one: the discount to market value built into every cash offer.
For the complete selling roadmap, read the Complete Guide to Selling Your House in Markham and the closing costs guide.
Frequently Asked Questions About Selling Costs
How much does it cost to sell a house in Markham, Ontario?
The main costs are commission plus HST, legal fees of roughly $1,500–$2,500, any mortgage discharge penalty, preparation and staging, and moving. Total selling costs commonly land between 4% and 7% of the sale price.
Is real estate commission negotiable in Ontario?
Yes. Commission is not fixed by law or any real estate board — it is negotiated between you and the listing brokerage and set out in your listing agreement. HST applies on top.
Do I pay capital gains tax when I sell my Markham house?
If the home was your principal residence every year you owned it, the sale is generally sheltered by the principal residence exemption, though it must still be reported on your tax return. Investment, rental, and partial-use situations differ — confirm with an accountant.
Does the seller pay land transfer tax in Ontario?
No. Land transfer tax in Ontario is paid by the buyer. You'll only encounter it on your next purchase.
What is a mortgage discharge penalty?
The fee for breaking a closed mortgage before the end of its term — usually three months' interest or the interest rate differential, whichever is greater, plus a discharge fee. Call your lender for an exact quote before listing.
Is home staging worth the cost in Markham?
In most Markham sales, yes. Staging costs a fraction of one percent of the home's value and consistently improves how homes photograph, show, and sell — particularly in presentation-sensitive communities.
Know Your Real Number Before You List
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A free home evaluation from Michael John Lau includes your neighbourhood-level value and a personalized net-proceeds estimate — the number that actually funds your next move.
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Michael John Lau is a licensed REALTOR® with eXp Realty (License #4784577) serving home sellers in Markham, Ontario. All figures are illustrative estimates based on typical market ranges at time of writing and will vary by transaction. Commission is negotiable and set by individual listing agreement. Nothing on this page constitutes legal, tax, or financial advice — consult your lawyer, lender, and accountant for your specific situation.