If you’re someone with a big network of family and friends, you may have thought about becoming a real estate agent. To become a real estate agent in Ontario, the process and education requirements may be different than say, Alberta or Saskatchewan. Realtors are governed by legislation that are applicable in their province or jurisdiction.
In Ontario, real estate salespeople, brokers and brokerages must adhere to the Real Estate and Business Brokers Act of 2002. RECO, the Real Estate Council of Ontario is responsible for enforcing the rules on the government’s behalf.
Steps To Become A Real Estate Agent in Ontario
Before 2021, aspiring real estate agents had to register with OREA, known as the Ontario Real Estate Association, who was responsible to administer the real estate training program.
Today, to become a real estate agent in Ontario, you must register with Humber College who RECO has partnered up with. Humber College will be offering online and in person courses. The course is estimated to take 6 months and 300 hours to complete.
1. Meet the Prerequisites
To apply for the program, you must be at least 18 years of age and at a minimum must have the following qualifications;
- Secondary School Diploma; or
- GED Certificate; or
- Equivalent Credentials; or
- Challenge an admission exam
The program can be taken at your own pace, meaning that there is no semester requirement unlike what you’d find in other college programs. In addition, you pay as you go which is more economical for the average Canadian.
2. Complete the Course Curriculum
The program consists of a pre-registration and a post registration phase. The pre-registration phase consists of 4 courses in addition to 2 mandatory in-person simulation sessions breaking down the real estate transaction.
The simulation is a new addition to the program and will allow students to practice real world situations pertaining to the real estate transaction. Students will be able to demonstrate their knowledge of the residential transaction and be provided instant coaching and mentorship on the spot.
Exam Locations
The four exams pertaining to the pre-registration course must be done all in-person. At the moment, exams can be written at:
| Exam Location | Testing Services | In-Class Sessions |
| Algonquin College | ✓ | ✓ |
| Loyalist College | ✓ | ✓ |
| St. Lawrence College | ✓ | ✓ |
| Durham College | ✓ | ✓ |
| Georgian College | ✓ | |
| Mohawk College | ✓ | ✓ |
| George Brown College | ✓ | |
| Humber College | ✓ | ✓ |
| St Clair College | ✓ | |
| Conestoga College | ✓ | ✓ |
| Fanshawe College | ✓ | ✓ |
| Cambrian College | ✓ | ✓ |
| Confederation College | ✓ | ✓ |
| Sault College | ✓ | ✓ |
| Northern College | ✓ |
Pre-Registration Phase
The pre-registration phase must be completed within a period of 24 months, including exams and the simulated sessions. In addition, there are time restrictions that individuals would have to adhere to. For example, courses 1 to 4 must be completed within 5 months and course number 5 must be completed within 1 month.
In order to you to proceed to the next course, you must complete the prior course. For example, to proceed to course #2, you must complete exam #1. Course extensions may be provided upon the submission of a formal request but approvals would be analyzed on a case by case basis. Keep in mind, if granted an extension, completing the program within 24 months still applies.
| Course | Fee |
|---|---|
| Course 1: Real Estate Essentials – eLearning | $525.00 |
| Exam 1: Invigilated Theory Exam | $100.00 |
| Course 2: Residential Real Estate Transactions – eLearning | $595.00 |
| Exam 2: Invigilated Theory Exam | $100.00 |
| Course 3: Additional Residential Real Estate Transactions – eLearning | $315.00 |
| Exam 3: Invigilated Theory Exam | $100.00 |
| Simulation Session 1: Residential Real Estate Transactions | $750.00 |
| Course 4: Commercial Real Estate Transactions – eLearning | $315.00 |
| Exam 4: Invigilated Theory Exam | $100.00 |
| Simulation Session 2: Commercial Real Estate Transactions | $600.00 |
| Course 5: Getting Started eLearning | $90.00 |
| Pre-Registration Phase Cost | $3,590.00 |
Post-Registration Phase
| Item | Fee |
|---|---|
| Compliance – eLearning | $300.00 |
| Elective Courses (two electives @ $135 each) | $270.00 |
| Post-Registration Phase Cost | $570.00 |
| Total Salesperson Program Fee | $4,160.00 |
The total cost of the program, not including any additional fees is $4,160.
Additional Fees
| Item | Fee |
|---|---|
| Program Application Fee | $75.00 |
| Examination Retake Fee | $100.00 |
| Simulation Session Remediation Day Fee | $50.00 |
| Optional in-class or virtual Facilitated Review Sessions (FRS/vFRS) for Course 2 (21 hours) | $280.00 |
| Optional in-class or virtual Facilitated Review Sessions (FRS/vFRS) for Course 3 (9 hours) | $120.00 |
| Optional in-class or virtual Facilitated Review Sessions (FRS/vFRS) for Course 4 (12 hours) | $160.00 |
| Drop/Transfer/Re-scheduling Fee | $50.00 |
| Credit Card Chargeback Fee | $30.00 |
3. Interview Brokerages
Once you’ve completed your pre-registration and post-registration courses, the next step would be to find a brokerage and register with RECO, the Real Estate Council of Ontario. Make sure that you contact and interview 3-4 different brokerages. It’s important to learn about the commission and split arrangements, what educational support the brokerage would offer you and how easy it is to navigate their systems. Brokerages often charge a monthly fee or a desk fee. Make sure you understand the fees and costs involved.
4. Register with RECO
After finding a brokerage to register with, the next step would be to complete the registration with RECO. There are fees involved which we’ve detailed below. Be aware that these fees are approximate and are subject to change. Please check with TREB and RECO for accurate membership costs.
| Description | Cost | Frequency | Comment |
| RECO Licensing Fee | $590 | Every 2 Years | Mandatory to be Licensed |
| TREB Courses: Orientation & MLS | Free | One-Time Only | Mandatory to Join TREB |
| LICENSING FEES | |||
| TREB Registration | $460 | One-Time Only | |
| CREA/OREA Registration | $400 | One-Time Only | |
| TREB Membership | $859.65 (incl. HST) | Renewed Annually | Renewed Annually on July 1st |
| CREA/OREA Fees | $474.60 (incl. HST) | Renewed Annually | Renewed Annually on January 1st |
| PRACTICING FEES | |||
| E & O Insurance | $445 (incl. HST) | Annually | Includes Deposit Protection and Commission Protection Plan |
The bottom line is that a real estate agent can be a rewarding career if you have a big network of family and friends. The upfront costs are expensive but it can be very rewarding in the long run. Upon a sale of a home or a condo, a real estate agent typically receives 2.5% of the sale price. Total cost to the seller would be 5% which 2.5% going to the buyer’s agent and 2.5% going to the sellers agent. This is often the norm but it can change depending on what the client has negotiated with their agent.If you’re helping a friend lease, the total compensation to you would be half month’s rent.
If you have any additional questions on how to become a real estate agent in Ontario or if you’re looking to either buy/sell/invest in a property, contact us.
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