Net proceeds from selling
What you walk away with after paying off the mortgage, commission + HST, legal, staging / repair, and any prepayment penalty.
Your scenario
Result
What you actually walk away with after selling
The headline sale price is rarely the cheque you take home. Selling a Canadian home involves a stack of costs that come out of the proceeds before anything reaches your bank account. This calculator runs the full subtraction so you can plan accurately.
The biggest deductions
- Mortgage payoff — the lender takes their full balance plus accrued interest to the closing date. If you're mid-term on a fixed mortgage, add the prepayment penalty.
- Real estate commission + HST — typically 4-6% of price total (buyer agent + seller agent), plus HST (13% in Ontario, 5% GST in AB/BC, 15% HST in Atlantic provinces).
- Legal fees — $1,500-$2,500 including disbursements.
- Staging + repairs — variable. Spending $3-5k on staging often pays back 5-10x in higher sale price.
- Prepayment penalty — only if you have a closed mortgage and aren't porting. Use our break penalty calculator.
Smaller line items
- Discharge fees (lender: $200-$400)
- Status certificate (condo seller: $100-$300)
- Tax + utility adjustments (could be in either direction)
- Moving costs (separate budget)
Commission negotiation
Canadian commission is negotiable. Standard is 4-6%, but in hot markets sellers often negotiate down to 3.5-4% total. In slow markets, full 5% is sometimes the cost of finding any buyer. The HST applies to whatever rate you negotiate.
If you're also buying
Net proceeds become your new down payment. Run the down payment + CMHC calculator on the purchase to verify the math closes the gap. If proceeds fall short, consider porting the existing mortgage (see blended rate calculator) or bridge financing.
Tax implications
If the home was your principal residence the entire ownership period, the gain is fully exempt under the Principal Residence Exemption. Rental properties + flips trigger capital gains — see our capital gains tax calculator.
Related
Questions about this calculator
- How do I calculate net proceeds from selling a home in Canada?
- Sale price minus the mortgage payoff, real estate commission, legal fees, any prepayment penalty, and adjustments for prepaid property tax or condo fees. What remains is what actually reaches your account, and it is usually less than sellers expect.
- What is real estate commission in Canada?
- Commonly around 3% to 5% of the sale price, split between the listing and buying brokerages, plus GST or HST on the commission itself. It is normally the single largest deduction and is negotiable more often than sellers assume.
- Will I owe a mortgage penalty when I sell?
- If you discharge mid-term, yes — three months' interest on a variable, or the interest rate differential on a fixed. Porting the mortgage to your next property avoids it entirely, which is worth asking about before you list.
- Do I pay tax on the profit?
- Not on a principal residence, under the principal residence exemption, though the sale must still be reported on your return. A rental or secondary property is a capital gain, with half of it taxable. Talk to an accountant before assuming which applies.