If you are looking to buy or sell real estate in Mississauga, you are likely spending a lot of time researching options to keep costs down as much as possible. But, are you researching the right areas?

First, it is important to understand the various costs associated with buying and selling real estate. The most common are home inspection fees, land transfer tax, title and deed searches, legal costs, and of course real estate commissions.

Understanding Real Estate Fees

Most people are aware that commission fees are generally the largest expense associated with real estate transactions, so they instinctively think the best way to save money is to look for real estate companies that charge little to no commissions. Initially this would appear to make the most sense, especially given how property prices have surged in the last couple of years.

However, before you worry about finding ways to save on real estate commission costs, or other realtor’s fees it is important to understand what these fees are, how payments are factored, and how much they will really cost you in the end.

Realtors make their money after a property has been sold. People assume that this fee is always a percentage based on the final selling price, and are surprised to learn that it can also be invoiced as a flat fixed rate, or an itemized list of service fees or hourly charges. The payment then gets distributed between the buying agent, the selling agent, and the brokerages they represent.

A lot of people also aren’t aware that although the seller is the person who physically pays the real estate fees for the services of both the buying and selling real estate agents, the buyer is actually the where the money comes from.

In Mississauga, real estate agents and brokers are permitted to determine their own commission rates and structures, but the average is between 3 and 8%. And, if you’re trying to calculate an estimate for what this may cost you in the end, don’t forget to add the 13% sales tax to any rates or fees your agent is likely to charge you.

Understanding the nuances of real estate fees, and knowing that agents and brokerages have the ability to set their own payment structures puts you in a better position to shop around for the best rates or discounted commission fees.

The Way You Shop Should Be An Advantage

Shopping around for the best prices is a good start, but have you considered how the way you shop could also be an advantage?

Shop2Save is an innovative online consumer buying and savings platform. They offer online shopping discounts as well as rewards for each dollar you shop with. Membership with Shop2Save which, by the way is completely free, is also a great place to start on with any real estate endeavours.

Not only can you earn cashback from Remax realtors in Mississauga, you can also earn cashback from arranging mortgages when you go through Dominion Lending Centres.