Sell a $950,000 home with a $380,000 mortgage in Ontario and you keep $511,325 after commission, the sales tax on it and $5,000 of other costs. The commission and its HST take $53,675 of the price, more than anything else on the list.
Where does the sale money go?
Net proceeds are the cash left once the deal closes. The buyer’s money pays off your lender first, then the agents and the lawyer, and what remains is yours. If the home wasn’t your main residence, tax on the gain comes due later, and the tool shows that too.
| Line | Default amount |
|---|---|
| Sale price | $950,000 |
| Mortgage payoff | $380,000 |
| Commission, 5% total | $47,500 |
| HST on commission, Ontario | $6,175 |
| Legal, staging, repairs and penalty | $5,000 |
| Net proceeds | $511,325 |
What would I keep on a $950,000 sale?
Begin with the $950,000 sale in Ontario, the $380,000 payoff and a 5% total commission. Commission is $47,500 and the HST on it is $6,175. Legal fees of $2,000 plus $3,000 for staging, repairs and moving make $5,000. Take all of that off the price and you keep $511,325.
Switch the province to British Columbia and the sales tax on the commission drops to $5,700, so you keep $511,800. Same sale, $475 more in your pocket.
Now untick the main residence box. Say $600,000 is what you paid plus buying costs and improvements, and your other income is $90,000. The capital gain is $297,500, the tax on it is $65,405, and your net proceeds fall to $445,920. That $65,405 gap is why residence status matters so much.
What do sellers usually get wrong?
The nastiest surprise is a prepayment penalty on a mortgage that isn’t up for renewal. Type it into the penalty field, or your total will come out too high. Sellers also forget that the rate an agent quotes leaves out sales tax.
The calculator doesn’t cover the cost of your next home, the moving truck or rent between closings. It doesn’t model partial years as a principal residence, or the tax result of renting out part of the home. And a rough guess at the cost basis is easy to get wrong, since improvements and buying costs both count. Keep the receipts.
Selling at a loss, or owning the home with someone else? Your result will differ from a single seller’s.
Which calculators help next?
To try other commission rates, the real estate commission calculator lists totals from 4% to 6%. A taxable gain can be modelled further in the capital gains tax calculator. Breaking a mortgage early costs money, and the mortgage penalty calculator puts a number on it. If you’re also buying, the closing costs calculator covers the cash needed on that side.
Where the numbers come from
Sales tax on the commission uses the rate for the province you pick. Tax on a capital gain uses the 2026 tax tables built into the calculator, applied on top of the other income you enter. Legal fees, staging and moving are planning figures, so swap in real quotes. This website has no link with any government body, and an accountant should confirm any gain before you file.
Frequently asked questions
How much will I keep from a $950,000 sale?
With a $380,000 payoff and 5% commission in Ontario, $511,325. That includes $6,175 of HST on the commission.
Is there tax when I sell my home?
Not if it was your main home for every year you owned it. Otherwise the calculator adds tax on the capital gain.
Does sales tax apply to the commission?
Yes. In Ontario it's 13% of the commission, or $6,175 in the example. In British Columbia it's $5,700.
What if I break my mortgage early?
Enter the penalty in the calculator. It comes off your proceeds along with the other costs.
What counts toward the cost of the home?
What you paid, plus buying costs and improvements. A higher cost means a smaller gain and less tax.
Sources and updates
Updated: . How we check rates · Editorial team · Updates
Estimate only. These figures are a planning estimate, not tax, legal or accounting advice. Tax-Services.ca is an independent publisher: we don't prepare or file tax returns, and we don't offer tax, legal or accounting services. We have no connection with the Canada Revenue Agency, Revenu Québec or any provincial government. Your real amounts depend on details this tool cannot see, so confirm them with an official source or a qualified professional before you act.