Short answer: On a $700,000 sale in Montreal, expect about $32,200 in brokerage commission and tax (a 4% commission plus GST and QST), $800 to $1,500 for your own notary if you use one, any prepayment penalty on your mortgage, and whatever you choose to spend on preparation. The welcome tax is paid by the buyer, not the seller.

Most sellers think about their gross sale price. The number that matters is the net - what you walk away with after all transaction costs are paid. Here is a transparent breakdown of every cost typically involved in selling a Montreal property.

Broker Commission

In Quebec, real estate broker commissions are negotiable and not regulated at a fixed rate. My fee is 4% of the sale price, split between the listing broker and the buyer's broker, and GST and QST apply on top of it. On a $700,000 sale: $28,000 in commission, plus $1,400 GST and $2,793 QST, for about $32,200 in total.

This is the largest single cost of selling, and it is also the one that most directly affects how well your property is marketed and negotiated. A broker who reduces their commission may also reduce their marketing investment and negotiating effort.

Notary Fees (Seller)

The seller's notary (if separate from the buyer's, which is common) handles the discharge of the existing mortgage and preparation of the deed of sale on the seller's side. Fees are typically $800–$1,500.

Mortgage Discharge Penalty

If you are selling before the end of your mortgage term, your lender will assess a prepayment penalty. For fixed-rate mortgages, this is typically the greater of 3 months' interest or the Interest Rate Differential (IRD) - which can be substantial in certain interest rate environments. Get a discharge quote from your lender before listing so this number is not a surprise at closing.

Pre-Listing Preparation Costs

Depending on the property's condition: professional cleaning ($300–$700), painting ($1,000–$5,000+), staging consultation ($300–$600), minor repairs ($500–$2,000+). These costs are optional in a technical sense but typically return 3–10x their value in sale price. Budget them as investments, not expenses.

Capital Gains (If Applicable)

If the property was your principal residence for all years of ownership, the sale is exempt from capital gains tax in Canada. If the property was a rental or investment property for some or all of the ownership period, capital gains tax applies on the proportional gain. This is a significant consideration for plex sellers - consult an accountant before listing if your property was not exclusively owner-occupied.

Your Net Proceeds Calculation

Sale price − commission − GST and QST on commission − seller notary fees − mortgage discharge penalty − pre-listing costs − capital gains tax (if applicable) − moving costs = net proceeds. Run this calculation with real numbers before committing to a list price, and share it with your financial advisor if the proceeds are funding a subsequent purchase.