Property sellers in BC enjoy some of the lowest commission rates in the country and the world for that matter. Although commission rates are negotiable, the Real Estate industries have adopted certain commission splits in their provinces to have some guide lines to work from.
Ontario has adopted a commission rate of 5% across the sale price.
Alberta has adopted a commission rate of 6% on the first $100,000 + 3% on the balance.
BC has adopted a commission rate of 7% on the first $100,000 + 2.5% on the balance.
Many property sellers try and turn to the internet to sell their properties on their own as a For Sale By Owner to avoid paying a commission. This can be a very risky endeavor as the internet is full of new and evolving threats and scams.
If you are thinking of selling your property privately online? You may want to check if someone else is also selling it, and at a huge discount to lure unsuspecting buyers into a scam.
It seems easy enough to rent your property online, so why can you not sell it as well? This is the reasoning for many private sellers turning to the internet, and especially those who think they are saving a lot on the commission through this process.
However, as more and more sellers are discovering, it is not that easy. An Ottawa-based private seller revealed this week that she found her house for sale on another site at almost half the listed price. Interested buyers, primarily international, are sent official looking legal documents and encouraged to lodge a deposit for a ‘quick sale.’
This is just a sample of the new financial and real estate scams turning up all the time. Internet scam operators are getting more and more cleaver every day and the creativity and sophistication of scams do seem to get better and better.
Tracking the scams is difficult as many of the service providers are not based in Canada, When advising online sellers should be extra vigilant and cautious. Or better yet hire a local Real Estate Professional to handle the sale of your property. There is a lot of money on the line and in the effort to save on the commission you may put yourself in a very bad situation that ends up costing much more then the money trying to be saved.