Real estate transactions in Ontario come with a lot of paperwork.  Aspects like sale price, deposit and closing date are pretty clear, but the “boiler plate” paperwork that is used in almost all deals also contains terms and conditions that are not well understood.

The aspect of the listing paperwork that is arguably the most misunderstood is the holdover period.  It is only really relevant when a seller fires their agent (or more broadly, the listing period is over) and then sells the home shortly thereafter – but in our current market we’re seeing a lot more of that!

While it can be difficult to get specific data on how often it takes place, we do know that as of July 2025, about 22% of listings in Canada were cancelled.  Some of those listings were relisted with the same listing agent, some were taken off the market for good and some were relisted with a new agent.  Within Toronto and the GTA, we’re seeing a definite increase in the number of listings that go from one listing brokerage to another, so anecdotally at least, there is more of it happening these days.

Let’s get into how holdover periods work, what you should know and how to best protect yourself.

Hold up.  Or over.

A holdover period is the number of days after your listing expires during which the listing brokerage can still claim commission if you sell to someone who was introduced to or shown your property during the listing. The exact number of days appears in the contract. There is no standard length in Ontario—it is negotiated before you sign.

The specific wording in the standard Ontario Real Estate Association (OREA) listing forms is as follows.

2. COMMISSION: In consideration of the Listing Brokerage listing the Property: 

• the Seller agrees to pay the Listing Brokerage a commission of ……………% of the sale price of the Property or ………………………………………
  ………………………………………………………………………………. (“total commission”) for any valid offer to purchase the Property from any source whatsoever obtained during the Listing Period, as may be acceptable to the Seller.
• the Seller authorizes the Listing Brokerage to co-operate with any other registered real estate brokerage (co-operating brokerage) and to offer to pay the co-operating brokerage a commission of…………….% of the sale price of the Property or……………………………………………………………………..
  Payment to the co-operating brokerage shall be made by the Listing Brokerage out of the total commission calculated above.

 The Seller further agrees that the total commission calculated above shall be payable to the Listing Brokerage even if there is no co-operating brokerage. The Seller further agrees to pay such commission as calculated above if an agreement to purchase is agreed to or accepted by the Seller or anyone on the Seller’s behalf within ……………………….. days after the expiration of the Listing Period (Holdover Period), so long as such agreement is with anyone who was introduced to the Property from any source whatsoever during the Listing Period or shown the Property during the Listing Period.

 If, however, the offer for the purchase of the Property is pursuant to a new agreement in writing to pay commission to another registered real estate brokerage, the Seller’s liability for commission shall be reduced by the amount paid by the Seller under the new agreement.

 The Seller further agrees to pay such commission as calculated above even if the transaction contemplated by an agreement to purchase agreed to or accepted by the Seller or anyone on the Seller’s behalf is not completed, if such non-completion is owing or attributable to the Seller’s default or neglect, said commission to be payable on the date set for completion of the purchase of the Property.

 Any deposit in respect of any agreement where the transaction has been completed shall first be applied to reduce the commission payable. Should such amounts paid to the Listing Brokerage from the deposit or by the Seller’s solicitor not be sufficient, the Seller shall be liable to pay to the Listing Brokerage on demand, any deficiency in commission and taxes owing on such commission.

 All amounts set out as commission are to be paid plus applicable taxes on such commission.

Simple, right?

There are a couple of key aspects to that wording that are worth clarifying.

• First off, you’ll note the description above references “introduced” and that has quite a broad definition. It covers buyers who came through showings (with your old agent or with other buyer agents), open houses, and even inquiries or marketing exposure routed through the listing.
• The referral‑of‑enquiries clause requires you to pass all buyer inquiries to the brokerage while the listing is active. If one of those inquiries becomes a sale during the holdover window, commission may be owed.
• If you relist with a new brokerage and sell during the first brokerage’s holdover window, your responsibility to the first brokerage is reduced by whatever you pay under the new agreement. Depending on the two fee structures, you might still owe a top‑up unless you plan ahead.  More on that shortly.

Why do holdovers even exist?

 A listing brokerage invests considerable resources when they represent a seller in listing their property.  In addition to the listing agent’s time (and the time of their support staff), listings often come with tangible expenses paid out on the assumption of a sale.  These are broadly related to marketing (photography, floorplans, websites, advertising) but can also include significant costs related to staging and even pre-list repairs or renovations to the home.

The holdover clause protects the brokerage’s right to be paid when their efforts generates the buyer but the deal is finalized after the listing ends.

Bluntly, it is in place to prevent an unscrupulous seller from hiring a listing agent, getting them to do the work to prepare for the listing, market the listing and find a buyer, and then fire their agent and do the deal with the same buyer without paying any commission.  That rarely happens, but it does on occasion and the holdover period exists to prevent it.

Is this something I need to be concerned about?

The holdover period typically only comes into play if your listing agent fails to sell the property AND you have the opportunity to do a private sale with someone who is aware of the property due to their efforts.

Here’s a few key points to consider.

1) A private sale soon after expiry can trigger commission

If someone who saw your home during the listing returns and you accept their offer within the holdover window, commission may apply—even if you negotiate directly.  So if things don’t work out with your agent and someone knocks on your door and says I came by an open house last month and liked the home and I’m interested in talking now, be aware that commission is likely still in play.

2) A returning buyer after expiry still means the listing agent likely gets paid

If there is a buyer who saw the home during your listing, perhaps even submitted an unsuccessful offer, decides that they want to try again and a deal is made (during the holdover period), then commission to the prior listing brokerage likely applies.

3) Relisting doesn’t automatically erase the first agreement

Selling under a new listing within the holdover window can still leave a partial obligation to the first brokerage. For example, if you hire an agent and agree to pay 5% commission on the sale of the home and then end up hiring a new agent who takes on the listing for 4% commission, you likely will still owe that “missing” 1% to your original listing brokerage.  This is only if it sells during that holdover period.

4) Expect a wide definition of “introduced”

Open houses, booked showings through co‑operating brokerages, and prospecting from the listing marketing all fit under the term “introduced”.  While it can be difficult to prove that a buyer was introduced to your listing via your former agent, it is often very clear.  Consider a situation where a deal takes place and the buyer’s name matches the name of a person who came through an open house.  That counts as introduced.  Or, what if the buyer was represented by a real estate agent that showed the property to that client – or another client – when you had it listed with your old agent?  Yes, that counts as introduced as well.  In a dispute over whether commission is owed, the brokerage will rely on that breadth of definition, so consider carefully how this new buyer knows your home is available for sale.

So, is there anything I should do to protect myself?

If you’re concerned about what the holdover period may mean to your planned approach to selling the home, then you can discuss with the listing agent you intend to hire about adjustments to the holdover period clause.

• Negotiate the length. Choose a window that matches your plan post‑expiry.  For example, if you were open to trying a spring listing with an agent for a couple of months but if it doesn’t result in a sale, you’d like to relist for sale on your own in the fall, then you made want a shorter holdover period.
• Narrow the scope. Limit holdover to named or documented prospects who were actually shown the property. Ask the brokerage to maintain and share a prospect list when the listing ends.  This is a good practice and while it requires the listing brokerage to keep track of activity, it narrows the possible problems you could encounter in terms of who is an actual prospect.
• Coordinate any relist. If you expect to relist quickly, set commission terms so you don’t pay twice (or owe a top‑up) if a holdover buyer appears.  This is particular relevant if your planned relist is with a lower cost (lower commission) listing agent.
• Document exposure. Keep a clean record of showings, open‑house sign‑ins, and inquiries. It keeps everyone honest and resolves disputes faster.
• Have your lawyer review changes. Small wording tweaks avoid big headaches later.

Remember that just like real estate commissions and other aspects of a listing agreement, the holdover period is not set in stone and can be negotiated.  That being said, your preferred listing agent may not be interested in agreeing to a holdover period structure that creates a higher risk of not getting paid for their efforts.

Holdover periods are there to protect the brokerage – and the listing agent – when their work and efforts produced your buyer. It’s fully negotiable—length and scope—and smart planning avoids surprise obligations.  Many listing agents gloss over the holdover period and its implications, but we always want our clients to be clear on what they’re signing and how it can impact their sale.  If you like the idea of working with agents who want a fair, clear approach to getting your home sold for the best price, then get in touch with us!

With over 70,000 real estate agents registered with the Toronto Regional Real Estate Board, there are bound to be differences in the level of experience and the approaches taken by agents in their work with sellers.

There are many reasons why a seller would choose a particular agent to list their property for sale, whether it is reputation, experience, commission, services provided or a recommendation from a trusted source.

Regardless of how an agent secured a listing, they have the same job.  Within the Refined team, we identify that job as having three components:

1. Price it properly.
2. Market it effectively.
3. Negotiate it aggressively.

The end result of your agent doing all of those things is the home selling quickly, for the most amount of money, with the least amount of stress.

Every listing agent has choices they need to make on how to market the property to bring in the right type of buyer.  Whenever we view listings that have stayed on the market for longer than average or sold for less than they should have, the common thread is how the listing agent chose to present the property.

It takes time, experience and a focus on learning what works (and what doesn’t work) in order to best present properties for sale.  We see listing agents fall within three levels of understanding how to present real estate, and if you look at real estate listings, you can often identify which of the three levels the listing agent has achieved.

Let’s review the three levels and see if you can identify which level most agents fall within based on your personal experiences.

Level One – That’s Not My Job

We’re calling this Level One, but it might more accurately be described as not having any understanding of how to present real estate.

The telltale indicator of an agent who is at this level is a focus on facts (often to an incomplete level) with no effort made to place those facts in context.

• A mostly filled-in MLS listing but any aspect that requires consideration or analysis is missing.
• Room dimensions but no detail as to features in the room, which bedroom is which, whether the kitchen and living room dimensions are shared or separate, etc.
• Photos taken by the agent with their cellphone, often in bad light and odd angles. No logical presentation of the order of the photos, with a close up shot of a scratched dining table followed by a basement bathroom photo, followed by the closet in the primary bedroom.
• The remarks section at the bottom of the MLS restates the same information as in the listing and provides no context. Is it a three bedroom bungalow perfect for empty nesters, is the backyard fully fenced, is it in a good school district or close to convenient retail and restaurants – you won’t know based on the listing.

While properties presented this way is often indicative of a new agent who hasn’t grasped that it is their job to help buyers understand the appeal of the home, there are sadly some experienced agents who still don’t think interpreting the facts is their job.

Level Two – A Good Grasp of the Basics

At this level, the listing agent has internalized the need to not just provide facts, but to provide other information that will be helpful to convincing a buyer this is their next home.

The telltale indicator of an agent who has reached this level is a more complete provision of all relevant facts, as well as sharing some aspects that may be relevant to a buyer’s attempt to see if it is a fit.

• A complete MLS listing, including fields that are not mandatory when you upload the listing.
• Floorplans that help buyers see not just the dimensions of the rooms, but also how the space flows so a buyer can see if the small bedroom is beside the primary bedroom and good for a young child or on another level with a sliding glass door to the back deck.
• Descriptions of the rooms themselves with highlighted features, such as the walk-in closet in the 2^nd bedroom, the solid surface counters in the kitchen or the heated floor in the primary ensuite bathroom.
• Lots of professional photos of the interior and exterior of the home, perhaps with a 3D virtual tour so that someone who likes the look of the listing can see how it feels to “walk” through the home online.
• Remarks for potential buyers that show the agent understands why a buyer might be looking at this home over others. If the home is located in a preferred school district or a short walk to a GO station and that is important to buyers looking in the area, they mention it.
• Additional remarks for purchasing agents that gives them more useful information, such as who it would be suitable for (whether it is bring your fussiest clients to this incredibly well-renovated family home, or this is perfect for your handyman or builder clients) so that it sets expectations and helps agents direct the right buyers to the home.

Agents who have reached this level tend to be working with full-service real estate brokerages where the focus is on quality and results rather than the lowest commission.  We have seen some well-done listings from discount brokerages but they tend to be the exception that proves the rule.

Level Three – There Is No Such Thing As One Size Fits All

The final level that a listing agent can reach is where they have learned the basics and the ways in which properties can be well presented to the public but have also learned that there is no such thing as one size fits all.

The telltale indicator of an agent who has reached this level is a comprehensive approach to the listing that has omitted irrelevant elements and added in unique or unusual aspects to the way it is presented.

• A detached house setup as an income property, where the listing agent has included an attachment with the financials for the property, including rental rates and existing lease terms, utilities, insurance and other costs and a net income calculation.
• An existing house in need of significant renovation where the listing agent has prepared two packages for prospective buyers. The first is focused on existing floorplans and dimensions and useful information for people considering buying to renovate the house, such as the high basement ceiling height, the existing separate entrance or the process for adding parking.  The second package is focused on buyers who would tear down and build a new home and includes a survey, buildable area on the lot and even plans for a new home that have been approved for the property.

The agents who know how to present a typical property and who recognizes when a new listing differs in significant ways from the typical property is able to provide the right information to attract a buyer who considers the differences valuable rather than a detraction.

In our experience working with buyers, we see the majority of listing agents fall somewhere between level one and two.  It is thankfully not that common to see that many listings fall under the level one category, as whenever we do see such listings we shake our head in dismay at the poor reflection it casts upon real estate agents.

While it does vary depending on the price point as well as the geographic area, in most urban areas in the GTA, the majority of listings fall in the level two category.  Some might be missing floor plans, others might not share useful information about the community that would help push a buyer into seeing the home, but generally they grasp that considering the property from a buyer’s perspective is helpful.

The final level is still relatively rare and we regularly encounter listing agents who are trying to do a good job for their sellers but have failed to realize that the standard approach isn’t suitable for a property that has other aspects worth considering.  Such listings often take a long time to sell as they are effectively targeting the wrong buyer pool and discouraging the right type of buyer from considering the property.

If you’re looking to sell a property, then we’d love to help make sure you put your best foot forward.  If that sounds appealing, get in touch!

If you’re considering selling your home, you have a choice between two commonly used approaches.

The first is old school.  Decide on a price you would take, list it for sale at that price, and hope someone will pay pretty close to that price.

The second is a relatively recent development in the last couple of decades.  While it happened on the rare occasion before then, it became increasingly common and even the predominant approach in a seller’s market.  It involves listing for a price that is significantly lower than the home is worth or that the seller would accept, having a marketing period of a week or so, and then reviewing (hopefully multiple) offers on a specific offer date.

In the shifting market we’re experiencing in Toronto and the GTA these days, both approaches are being used and it is a real topic of conversation as to which one is appropriate.  The answer varies depending on location, price point, housing type and other aspects, but we are definitely seeing a number of sellers that take the second approach and see if not work as planned.

What comes next is a function of how well they thought through their initial listing strategy and price.  Let’s go through the three options that sellers and their agent have when the home doesn’t sell on the offer date.

Option #1 – Raise The Price

In our opinion, this is the best next step that a listing agent can take, but it relies on a few things have been doing correctly.

If the listing strategy was properly thought through, the listing price was below market value.  A large part of the idea behind holding back on reviewing offers to a certain date is that you create a situation with multiple offers.

In order to receive multiple offers, you need lots of prospective buyers to view the property.  If it is listed below market value, you have buyers who see the listing and say, “That looks like a great home for that price, let’s check it out.”

While a good purchasing agent will be able to guide expectations for their client, there are new or inexperienced agents who can’t help their client understand the likely sale price for the property.  Such buyers end up putting in offers for the property that aren’t market value and won’t be accepted.  They do, however, serve to put pressure on other buyers to raise their offer price, often resulting in a good sale price for the seller.

If the listing agent understands the protocol on how holding back reviewing offers is supposed to work, they have listed well below market price.  Despite the property looking like a bargain, it failed to attract the price the seller was hoping for and now a change needs to take place.

They could lower the price even further and hold back reviewing offers until a later date, but that is quite risky.  If the market didn’t give them the price they wanted with their initial, below market value price, then going even lower is not likely to get them anywhere close to their desired sale price.

By raising their price to their desired sale price and accepting offers at anytime, the listing agent is telling the market that they didn’t get any offers close to that amount before (otherwise they would have dealt with it and sold on the offer date) and that they want a sale price close to their new, higher list price.

In essence, it’s going back to the way all homes used to be sold because the other approach didn’t work out.  There are, however, other options if their initial pricing strategy wasn’t thought through properly.

Option #2 – Keep The Price The Same

The second option is for the listing agent to remove the instructions to agents that they are holding back on reviewing offers until a certain date, say they will review offers anytime, yet keep the price the same.

This approach is an indication that the listing agent didn’t really think through their pricing strategy.  If they are willing to sell the home at the same price as when they were holding back on reviewing offers, they clearly have given up on getting more than that initial price for the home.

In theory, this could appeal to buyers who thought the home was worth exactly the list price but were scared off by the idea of a multiple offer situation or thought (rightly!) that the seller was saying they wanted more than that price.

In practice, we find that this just indicates to the market that the seller and their agent didn’t have a good grasp of what the home was actually worth and after trying to see if anyone would buy it for more, they are now willing to take less.

This often creates the perception that the home has something wrong with it and that the price is too high.  Regardless of whether either of these are true, the perception can certainly affect whether buyers are interested and at what price.

If the initial list price was actually what the seller was hoping to get, then the listing agent has made a mistake and has a tough road ahead.

Option #3 – Take The Property Off The Market

While keeping the price the same and getting a sale price the seller wants is challenging, it is definitely preferable to the third option for dealing with when a home doesn’t sell on the offer date.

While it isn’t common, we do occasionally see listings being terminated (and not coming back on the market) after the offer date.

This is the clearest indicator to us of a listing agent who managed to get the listing on the promise of a great, quick sale price.  When the offer date came and no offer came in with the price the seller wanted, they fired the listing agent.

It’s a frustrating circumstance for buyers, as they saw a home they liked and wanted to buy.  The agent they were working with had to rely on the listing agent doing their job well, which means informing their seller client of what a reasonable price would be for the home.  The buyer and their agent undoubtedly went into the process with the hope of coming to a deal, yet if the seller isn’t well served by their agent, that is not likely to happen.

When we act as a purchasing agent for a client in situations like this, it’s somewhat of a powerless situation for our side.  If the listing agent or their seller don’t have a grasp of the market and want an unreasonable amount, there is often nothing we can do to help our client get the property.  All of the logic in the world won’t influence a seller who is unreasonable and only listed their home on the promise of a crazy sale price.

It’s pretty clear that of the three options sellers have when their home doesn’t sell on the offer date, the first option is the most likely to get the home sold.  When the listing agent did their job properly, raising the price and accepting offers anytime is something they have prepared their client for and is likely to succeed.

When the listing agent didn’t do things properly, they are left with either continuing at the same price or having the listing terminated.  If they continue at the same price, it often sits for a length of time before the price is dropped to what the market will now pay for this stale listing.

If you are considering buying or selling, make sure you work with a Realtor who understands how pricing strategy plays into getting a home sold.  On the sale side, you want your agent to be clear about a path to getting you the price you want.  On the buy side, you want your agent to understand what is going to happen with a property you want to buy.  In either case, we’d love to help make your goals a realty and encourage you to get in touch with us to start the conversation.