The real estate industry is one of the most rewarding careers, and many students in Canada consider it a career option. However, many people wonder, “How much do real estate agents in Canada actually make?”
With eye-catching property deals and million-dollar listings often making headlines, it is easy to assume that every agent is making a huge commission. However, this is not the reality; some agents make six-figure salaries, while others struggle to close deals.
While how much money real estate agents can make is in their control, the overall income depends on several factors, including:
Experience
Location
The state of the housing market
So, whether you are considering a career in real estate or just want to know about real estate agents’ salaries, this guide will answer all your questions. Without ado, let’s get started.
How Do Real Estate Agents Get Paid in Canada?
Unlike salaried jobs, traditionally, real estate agents in Canada work on a commission basis. It means their overall income depends on how many homes they sell or help buy. Here’s how it works:
✓ Commission-Based Earnings – Agents earn a percentage of the final sale price of a property. These commissions generally range from 3% to 7%, depending on factors such as location, experience, etc.
According to Indeed, the average annual salary of a real estate agent in Canada is approximately $106,062.
✓ Commission Splits – The total commission is typically split between:
The listing agent (who represents the seller).
The buyer’s agent (who represents the buyer).
How Much Commission Does A Realtor Make?
Factors like experience, market conditions, location, and the number of successful property sales/purchases can influence the percentage or amount of commission a real estate agent can make.
It has been found that entry-level agents earn less, starting at around $30,000 to $40,000. On the other hand, experienced agents with several years of experience can earn between $60,000 to $80,000.
Highly successful real estate agents, especially those operating in high-demand markets like Toronto or Vancouver, can earn over $100,000 annually.
How to Succeed as a Real Estate Agent in Canada?
Despite being a commission-based job, a career in real estate can be highly rewarding. However, it should be noted that success isn’t always guaranteed. Now, if you're considering or set on becoming a successful real estate agent in Canada, we highly recommend enrolling yourself in an online course that will help you pass the licensing exam efficiently.
With the proper, experience-based training from a reputable institution like BC School of Real Estate, you can maximize your earning potential and thrive in this exciting industry! With over 20 years of experience, we have guided over 10,000 students through their licensing exams, boasting a high success rate.
So, what are you waiting for? Join BC School of Real Estate’s online courses and take the first step toward a successful career now!
FAQs
1. How long does it take to become a licensed real estate agent in Canada?
Usually, it takes 6 months to 2 years. However, it depends on the laws of the state you are residing in, the education program, licensing requirements, etc.
2. Do real estate agents in Canada get a base salary?
Since most real estate agents in Canada work on a commission basis, their earnings depend on the number of successful transactions they complete. So, there is no base salary for real estate agents in Canada.
3. What are the expenses involved in becoming a real estate agent?
Besides licensing fees, real estate agents must cover ongoing costs such as marketing expenses, professional development courses, business-related expenses, etc.
