There are roughly 100,000 registered real estate salespeople and brokers in Ontario. That is one agent for every 145 people in the province. The sheer number of practitioners makes choosing the right one genuinely difficult — and the stakes are high. A real estate transaction is typically the largest financial decision most people will ever make. Choosing the wrong agent can cost you tens of thousands of dollars, months of frustration, and in the worst cases, a failed deal.
This guide gives you a practical framework for choosing a real estate agent in Ontario: the questions to ask, the red flags to watch for, what RECO registration actually means, how commissions work, and why local market knowledge matters more than most buyers and sellers realize.
First: What Is RECO and Why Does Registration Matter?
RECO — the Real Estate Council of Ontario — is the provincial regulatory body that licenses and regulates all real estate salespersons and brokers in Ontario. Every agent who works with buyers or sellers in Ontario must be registered with RECO. This is not optional; it is a legal requirement under the Trust in Real Estate Services Act (TRESA), which modernized Ontario's real estate regulations in 2023.
RECO registration means the agent has completed required education, passed provincial licensing exams, maintains errors and omissions (E&O) insurance through their brokerage, and is subject to RECO's Code of Ethics and disciplinary process. You can verify any Ontario agent's registration status at the RECO public registry at reco.on.ca — this takes about 30 seconds and should be your first step before signing any representation agreement.
RECO registration is a floor, not a ceiling. It tells you the agent is legally permitted to work in the industry. It does not tell you they are skilled, experienced, ethical beyond minimum requirements, or the right fit for your transaction. For that, you need to go deeper.
The 7 Questions to Ask Every Agent Before Signing
How many transactions have you completed in this specific area in the past 12 months?
Local transaction volume is the clearest proxy for genuine market knowledge. An agent who has closed 2–3 deals in your target neighbourhood in the past year will have meaningfully better insight into pricing, buyer behaviour, and deal terms than an agent who works the area occasionally. Ask for specifics — not just "I work all over the GTA" but actual transaction examples.
What is your average sale-to-list price ratio for your listings?
For sellers, this metric is revealing. An agent who consistently sells at 96–100% of list price is pricing correctly. An agent whose listings routinely sell at 88–92% is either pricing too high initially or not executing marketing effectively. Both situations cost sellers money. Ask for their list-to-sale data over the past 12 months — a confident agent will have it ready.
What is your average days on market for listings?
Days on market correlates directly to pricing accuracy and marketing effectiveness. In a balanced-to-buyer's market like Ontario in 2026, regional averages are 35–55 days. An agent with a personal average significantly above the regional average deserves an explanation. One consistently below the average is worth noting.
How do you communicate with clients, and how often?
Communication style is one of the most common sources of client frustration in real estate. Before you sign, establish expectations explicitly. Will they send weekly updates? Are they reachable on weekends? Do they use email, text, phone, or all three? The right answer varies by client — but there should be a clear, consistent answer. Vague responses to this question are a yellow flag.
Walk me through your marketing plan for my listing. What exactly are you doing beyond MLS?
This question separates agents who have a real marketing strategy from those who upload photos to MLS and wait. A substantive answer includes: professional photography, video or virtual tour, floor plan, digital advertising targeting (not just organic posting), email campaigns to buyer networks, broker open houses, and social media presence. If the agent's plan begins and ends with MLS, that is a problem in today's competitive listing environment.
Can I speak to two or three of your recent clients?
Any agent who hesitates to provide references should give you pause. References should come from recent clients — ideally within the past 12 months — with transactions similar to yours in type, price range, and geography. When you call those references, ask specifically: Would you hire this agent again? Were there any surprises or things you wished you had known? How did they handle a difficult moment in the transaction?
What is your commission, and what exactly does it include?
Commission is negotiable in Ontario. There is no fixed rate mandated by RECO or any other body. Typical total commissions (split between listing and buyer's agent) range from 3.5% to 5% of sale price, though this varies considerably. Get clarity on what the commission covers — professional photography, staging consultation, advertising budget — and what happens if the deal falls through. Understanding the financial structure of your relationship from the start prevents misaligned expectations later.
Red Flags to Watch For
Walk Away If You See These
- Pressure to sign a representation agreement immediately
- Can't produce recent local transaction examples
- Suggests a dramatically higher list price without data
- Resistant to you consulting a lawyer before signing
- Vague or dismissive about their marketing plan
- Won't provide references from recent clients
Green Flags: Signs of a Strong Agent
- Provides a CMA with recent comparable sales upfront
- Explains the buyer/seller agency relationship clearly
- Recommends you consult a real estate lawyer
- Has a written, specific marketing plan for your listing
- Gives honest market feedback, not just what you want to hear
- Available references from similar recent transactions
The Problem with Dual Agency in Ontario
Dual agency — where one agent or brokerage represents both the buyer and the seller in the same transaction — was significantly restricted under TRESA 2023. While multiple representation (two clients of the same brokerage) is still permitted in some forms, you should understand the fundamental conflict it creates.
When an agent represents both sides of a transaction, their fiduciary duty is inherently compromised. They cannot fully advocate for a buyer's interest in getting the lowest possible price while simultaneously advocating for a seller's interest in the highest price. In a multiple-representation scenario, agents are required to disclose this conflict and receive your informed consent — but that does not make the conflict disappear. Whenever possible, buyers and sellers benefit from having their own independent representation.
Why Local Market Knowledge Is Non-Negotiable
Real estate is intensely local. A market trend in Toronto's condo sector does not directly translate to Durham Region freehold detached pricing. Niagara Region's buyer-heavy dynamics are meaningfully different from the GTA's most competitive pockets. Within a city, a street can change the analysis — a home near a school boundary, flood zone, or flight path carries risks and advantages that only a locally active agent will recognize immediately.
Local knowledge affects buyers in offer strategy (what conditions matter, how aggressive to be, what hidden issues to watch for) and sellers in pricing (which comparable sales are truly comparable, how to frame the property's location advantages). An agent based three hours from your market, working from data alone, is at a structural disadvantage relative to one who has toured dozens of comparable properties in your neighbourhood over the past six months.
A note on experience vs. volume: A high-volume agent who closes 80 transactions per year may be excellent — or they may be spread too thin to give your deal the attention it deserves. A newer agent with fewer transactions may compensate with intensity, mentorship from a senior broker, and hunger to deliver. What matters most is whether this specific agent will be genuinely engaged in your specific transaction. Ask who handles day-to-day communication on their team, and make sure you are comfortable with that answer.
How Commissions Work in Ontario (Clearly Explained)
In a standard Ontario listing, the seller pays a total commission, which is split between the listing brokerage and the buyer's brokerage. As of 2024 and continuing in 2026, sellers are no longer required to offer a specific commission to cooperating buyer agents — the structure is more negotiable than it has historically been. Buyers may also now be asked to sign buyer representation agreements that outline the compensation their agent will receive.
The practical effect: when you hire a listing agent at a negotiated total commission of, say, 4%, and a buyer's agent brings a client to your property, the listing agent and buyer's agent will typically split that 4% according to agreed terms. As a buyer, if the commission offered to your agent is less than what you agreed to pay them in your buyer representation agreement, you may be responsible for making up the difference. This is worth discussing with your agent explicitly before touring homes.
Commission is not a dirty word — agents invest significantly in time, marketing, education, and brokerage fees. What matters is that you understand the structure, feel the value is reasonable, and have clarity on what you are paying for before you sign anything.
Jerold Morena is a licensed salesperson with TFN Realty Inc., serving buyers and sellers across the GTA, Durham Region, York Region, Niagara Region, Hamilton, and Thorold. No pressure, no obligation — just honest conversation about your real estate goals.
Talk to Jerold — Free Consultation