How to Switch Brokerages in Ontario Without Missing a Deal: The RECO Transfer Guide

Most agents get the order of operations wrong. I'm a lawyer and a Broker of Record - I've signed both sides of these transfers. Here's the sequence, start to finish.

Step 1: read your contract before you decide anything

Penalties. Auto-renew provisions. Minimum notice. Your independent contractor agreement decides how expensive the door is - read it before you touch the handle.

Sometimes leaving has a price, and paying it is a straight business decision. It can also be a game of chicken: most brokerages won't sue a departing agent - suing your own people is a terrible look. But 'probably won't' isn't 'can't'. Know your exposure before you move. As the McDonald's movie put it - contracts, like hearts, are made to be broken. You just might have to pay.

Step 2: sign the new deal, then talk

Decision made? Sign with the new brokerage before you resign. Unsure your current shop will release you cleanly? Make the new contract conditional on your release.

Then sit down with your managing broker. Straight, professional, no theatrics. Never burn a bridge - this business is small at the top, and you will sit across from these people on a future deal. The devil you know beats the one you don't.

Step 3: sort your listings and buyer reps

Listings and buyer representation agreements belong to the brokerage. Standard play: cancel and re-sign at the new office. On the cancellation form, keep the reason clean and boring - it's the brokerage's paperwork, and your original contract already says what happens to deals in flight. Nothing funny in writing. Ever. That's the lawyer talking.

Step 4: transfer day

Resignation goes out, if not already tendered. The receiving broker logs into myweb.reco.on.ca, completes the transfer, uploads the resignation, pays the fee. Confirmation emails follow. The RECO side is effectively immediate.

One exception: a renewal application in process. Then it's disband, transfer, renew under the new brokerage - expect some administrative drag.

Step 5: the board

If the brokerage is in organized real estate, your membership transfers next - TRREB normally turns it around in a couple of hours. They call to collect payment. Answer the phone.

Step 6: the fun part

Signs, marketing, the announcement, onboarding. A good office is driving this before you've unpacked.

One tip worth the whole article

Don't transfer on a Friday. If TRREB is delayed, you spend the weekend locked out of your forms, your listings, and your lockboxes.

Quick answers

How fast is the RECO transfer?

Effectively immediate once the receiving broker files on MyWeb. Exception: a renewal application in process - disband it, transfer, then renew under the new brokerage.

How long does the TRREB transfer take?

A couple of hours, normally. They call to collect payment - miss the call, add a day.

Do I lose my listings if I switch brokerages?

They belong to the brokerage, but the standard play is cancel and re-sign at the new office. Keep the cancellation paperwork clean.

Do I still get paid on deals that haven't closed?

Yes - under the agreement you signed at the old brokerage. Which is one more reason Step 1 is Step 1.

Considering the GTA? I walk transferring agents through this personally - lawyer and Broker of Record, same phone number. 905-824-0788. No pitch. Just the process.

Ricky Rathore, ABR, SRS, FRI

Founding Partner and Lawyer

Broker of Record and Owner - RE/MAX Metropolis Realty, Brokerage

A note from the lawyer: this is general information, not legal advice, and reading it doesn't make me your lawyer. Rules change and every situation differs - confirm current requirements with RECO and get advice on your own facts before you act.