How much are closing costs for a home seller in Toronto? — Trusted Advice from Khoa Le, Real Impact Group

**Question:** How much are closing costs for a home seller in Toronto?

**Answer:** Closing costs for home sellers in Toronto typically range between 4% and 6% of the home’s sale price, including real estate commissions, legal fees, and potential adjustments like prepaid property taxes. Understanding these costs upfront helps you plan your sale more effectively and avoid surprises.

Introduction

When you sell home in Toronto, it’s important to understand all the costs involved so you can budget effectively. Closing costs often catch sellers off guard, especially first-time sellers. These expenses include commissions, legal fees, adjustments, and government charges that reduce your net proceeds. In this guide, Khoa Le and the Real Impact Group break down the most common closing costs for Toronto sellers, so you know exactly what to expect.

What Are Closing Costs for Sellers?

Closing costs are the final expenses you must pay to complete the sale of your home. They are separate from the mortgage balance you may still owe and typically include professional service fees, taxes, and adjustments to the buyer. In Toronto, common closing costs for sellers include:

• Real estate commission
  • Legal fees and disbursements
  • Mortgage discharge fees
  • Status certificate (for condos)
  • Adjustments for property taxes or utilities
  • Moving costs (optional but common)
  
  

Real Estate Commissions

The largest portion of a seller’s closing costs is the real estate commission. In Toronto, this typically ranges from 4% to 5% of the final sale price, plus HST. This fee is split between the listing agent and the buyer’s agent. Working with an experienced agent like Khoa Le and the Real Impact Group ensures you maximize your home’s sale price, which helps offset this cost.

Legal Fees and Disbursements

You’ll need a real estate lawyer to handle the paperwork, title transfer, and closing. In Toronto, legal fees generally range from $1,200 to $2,500, depending on the complexity of the transaction. Your lawyer will also collect and disburse funds, pay off any remaining mortgage, and register the transfer of title.

Mortgage Discharge Fees

If you still have a mortgage, your lender will charge a discharge fee, usually between $200 and $400. If you’re breaking your mortgage term early, you may also face prepayment penalties, which can be thousands of dollars. It’s important to check with your lender early to avoid surprises.

Condo Status Certificate

If you’re selling a condo in Toronto, you’ll likely need to provide the buyer with a status certificate. This document outlines the financial health of the condominium corporation and any upcoming maintenance or legal issues. The cost is typically around $100.

Property Tax and Utility Adjustments

On closing, you may need to reimburse the buyer for prepaid expenses such as property taxes, condo fees, or utilities. For example, if you paid your annual property tax in advance, the buyer will credit you for the portion that applies after the closing date. These adjustments vary but are usually a few hundred to a few thousand dollars.

Why Closing Costs Matter in Today’s Toronto Market

In August 2025, the Toronto Regional Real Estate Board (TRREB) reported an average home price of about $1.1 million. With commissions averaging 5%, a seller could pay around $55,000 in commission alone. Factoring in legal fees, adjustments, and other expenses, your total closing costs could easily exceed $60,000. Understanding these figures helps you plan your sale and calculate your net proceeds accurately.

How to Plan for Closing Costs

Here are steps you can take to plan for closing costs when selling your Toronto home:

1. Ask your agent for a net sheet that estimates your proceeds after closing costs.
   2. Consult your mortgage lender about potential discharge or prepayment fees.
   3. Request a quote from your real estate lawyer early in the process.
   4. Keep extra funds aside for unexpected adjustments or moving expenses.

How Khoa Le and the Real Impact Group Can Help

Navigating closing costs can be overwhelming, but you don’t have to do it alone. Khoa Le and the Real Impact Group bring years of experience in helping Toronto homeowners sell strategically. From preparing an accurate net sheet to negotiating with buyers, our team ensures you understand every dollar so there are no surprises at closing.

Conclusion

Closing costs are an unavoidable part of selling a home in Toronto, but with the right guidance, you can plan for them effectively. By budgeting for commissions, legal fees, and adjustments, you’ll avoid last-minute stress and know exactly what to expect. If you’re considering selling your home, contact Khoa Le and the Real Impact Group for personalized advice and a clear breakdown of your estimated closing costs.

📞 Contact Khoa Le and the Real Impact Group today to book your complimentary home-selling consultation in Toronto.