Selling a House in London, Ontario: The Complete Step-by-Step Guide

Selling a house is a sequence of decisions, and most of the ones that affect your result happen before the sign goes on the lawn. This guide walks through the whole process in Ontario in the order it happens, using what the Real Estate Council of Ontario (RECO), the Canada Revenue Agency (CRA) and our local real estate board publish. Where the rules belong to your lawyer or accountant, we say so.

The London market you are selling into

Start with the conditions, because they shape every later step. The London and St. Thomas Association of REALTORS® (LSTAR) reported the following for September 2026:

• 561 sales, up 5.3% from September 2025 and up from 526 in August
• a composite benchmark price of $552,500 and a single-family benchmark of $600,700
• an average sale price of $611,509
• 5.9 months of inventory
• a sales-to-new-listings ratio of 34.7%

LSTAR notes that the Canadian Real Estate Association treats a ratio between 45% and 65% as a balanced market, and its 2026 chair said the marketplace “continued to show signs of a buyers’ market.” In plain terms, buyers have choice right now. Homes still sell, as 561 sales in a month shows, but a seller competes with other listings on price, condition and presentation. Our London housing market page explains these measures and keeps the latest figures in one place.

Step 1: Choose an agent, and understand who they work for

In Ontario, real estate agents and brokerages must be registered with RECO. Before an agent provides services, they are required to walk you through the RECO Information Guide, a short document that explains your options. It is worth reading properly, not just initialling.

The guide describes two kinds of representation:

• Brokerage representation: the brokerage and all of its agents represent you.
• Designated representation: one or more named agents represent you, while the rest of the brokerage must treat you impartially. This option was introduced on December 1, 2023, and RECO notes it reduces the likelihood of multiple representation.

Multiple representation is when the same brokerage or designated representative acts for more than one client with competing interests in a transaction, for example you and the buyer of your home. RECO says it is not permitted unless every client involved agrees in writing after receiving written disclosure, and that you can refuse. If you agree, the agent can no longer advise you on the price you should accept. Ask any agent you interview how they handle it.

When you compare agents, ask for recent sales near you, a written marketing plan and a clear explanation of fees. Our guides on finding an agent you can trust and comparing REALTORS® in London list questions to ask, and our why list with us page sets out how our team works.

Step 2: Sign the representation agreement

When you hire a brokerage to sell, you sign a seller representation agreement, usually called a listing agreement. RECO’s guide says the agreement must be put in writing and presented to you as soon as possible. Read these parts closely:

• The property and the services. The agreement identifies the property and must clearly set out the services you will receive. RECO points out there is no standard set of services, so do not assume something is included if it is not written down.
• The expiry date. It must appear prominently on the first page. There is no standard term.
• The holdover clause. Most agreements have one. It can require you to pay the brokerage if the home sells within a set period after the agreement expires. RECO says there is no minimum or set length, so make sure you agree with the period before you sign.
• Termination. The agreement should list when it can be ended and any costs that apply.
• What you will pay. This deserves its own section.

What is the commission for selling a house in Ontario?

The honest answer is that there is no set commission. RECO’s Information Guide states that you and the brokerage decide the amount you will pay, and that the amount is not fixed or approved by RECO, any government authority, or any real estate association or real estate board.

According to the guide:

• You can agree to a fixed dollar amount, a percentage of the sale price, or a combination of both.
• The agreement cannot set an amount based on the difference between the listing price and the selling price.
• A seller’s agreement needs to show clearly the amount you will pay your own brokerage (or how it is calculated), and separately the amount, if any, you agree to pay to compensate the buyer for their brokerage fees.
• It must also say how those amounts might change, including if you consent to multiple representation.

We are not quoting a percentage here because no authoritative source publishes one, and any figure you read online is one brokerage’s price or someone’s estimate. Brokerages offer different service levels at different prices. RECO notes, for example, that some sellers sign an agreement only to have their property advertised on a local listing service. At the federal level, the Competition Bureau has been gathering information on the Canadian Real Estate Association’s commission rules, which is another sign that how agents are paid is a live question.

What to do with this: ask each agent for their fee in writing, what it covers, what you would offer toward a buyer’s brokerage fees and why, and what happens to the fee in multiple representation. Then compare the whole package, including the marketing plan and the agent’s record, not the fee alone.

Step 3: Set the price from comparable sales

A list price is an opinion backed by evidence. The evidence is recent sales of similar homes nearby, adjusted for differences in size, lot, condition and updates, and then checked against the homes currently for sale that a buyer will see alongside yours.

Two cautions for the current market. First, the LSTAR benchmark and average prices describe the whole region, not your street. In September 2026 the average price was $704,858 in London North and $608,872 in London South, and those are still broad areas. Second, with 5.9 months of inventory, a home priced above what recent sales support can sit while better-priced listings sell around it.

A free home valuation from our team gives you a price range built from current sold data for your neighbourhood, with the comparable sales shown so you can check the reasoning.

Step 4: Prepare the home

Preparation is the part you control completely. In order of usual payoff: fix what is broken, clean thoroughly, clear surfaces and storage, repaint tired rooms in a neutral colour, and tidy the front entrance and yard. Leave larger projects until you have asked whether a buyer will pay for them.

We have covered this in detail in our checklist for preparing your London home for sale and our guide to what adds the most value when selling. If you are listing between November and March, read selling a home in winter as well.

Gather your paperwork at this stage too: your property tax bill, utility costs, a survey if you have one, receipts and permits for renovations, and rental contracts for items such as a water heater. Buyers and their lawyers ask for these, and having them ready avoids delays later.

Step 5: List on the MLS® System

Once the home is ready and photographed, your brokerage enters the listing on the local MLS® System, which for our area is operated by LSTAR. That is how the listing reaches other REALTORS® and their buyers. Your agent’s marketing plan sits on top of that: photography, floor plans, online advertising, signage and open houses, as set out in your agreement.

Before the listing goes live, check the details yourself. Room measurements, inclusions and exclusions, taxes and possession preferences all end up in front of buyers, and errors create problems at the offer stage.

Step 6: Showings

Make the home easy to see. Keep it clean and bright, be flexible with appointment times, and leave during showings so buyers can talk freely. Secure valuables, prescriptions and personal documents. Ask your agent to collect feedback after showings and to report weekly on activity and on new competing listings. If showings are steady but no offers arrive, or showings are few, the market is telling you something about price or presentation, and it is better to respond early.

Step 7: Offers

An offer in Ontario is made on an Agreement of Purchase and Sale. It sets the price, the deposit, the closing date, what is included, and any conditions and deadlines. Conditions and irrevocable deadlines are set in the Agreement of Purchase and Sale itself, so ask your lawyer how they apply before you sign anything.

Look at the whole offer, not only the price. A slightly lower price with a closing date that suits you and fewer conditions can be the stronger offer. Your agent’s role is to explain each term, negotiate on your behalf and advise you, and the decision is always yours.

If more than one offer arrives, RECO’s guide explains the rules: every buyer who has made an offer is entitled to know the number of competing offers. Beyond that, you decide how much information about the offers, if any, is shared. Your agent needs your clear written direction before sharing the content of any offer, and personal or identifying information in an offer cannot be shared.

Step 8: Closing with a lawyer

In Ontario a real estate lawyer handles the closing. Hire one when you list rather than after you accept an offer, so they can review anything unusual about your title, mortgage or tenancy early. Before closing, ask your lawyer and your lender for written figures on legal fees and on paying out your mortgage, so your net proceeds are not a surprise. Your lawyer prepares the statement of adjustments, which settles items such as property tax between you and the buyer. City of London tax billing is explained in our property tax guide.

If you are also buying, the timing of the two closings needs planning. See should you buy before you sell and our guide to buying a house in London.

After the sale: report it to the CRA

Many sellers assume a principal residence needs no paperwork. The CRA says otherwise. If the home was your principal residence for every year you owned it, the gain is not taxed, but since 2016 you must report the sale on Schedule 3 of your tax return and file Form T2091(IND) to designate the property. A family can designate only one property per year. The CRA also says a home held for less than 365 days is generally treated as business income unless a life event applies. Our article on the principal residence exemption covers the details, and an accountant should confirm how the rules apply to you.

Where to start

1. Get a home valuation so you know your likely price range.
2. Interview agents and read the RECO Information Guide before you sign.
3. Ask for fees and services in writing.
4. Prepare the home, then list.

Selling outside the city? We also work in St. Thomas, Strathroy, Komoka and the surrounding communities, and the London community page has more local context.

This guide is general information, not legal, tax or financial advice. To talk through your own sale, contact us.