When buying a home in Ontario you will most certainly have to deal with Ontario Land Transfer Tax. Where your real estate purchase is in the City of Toronto, you will have to pay in addition to the Ontario Land Transfer tax, Toronto Land Transfer Tax. Toronto also charges an additional $75.00 plus H.S.T. to administer the taking of the municipal Land Transfer Tax. Toronto is the only municipality in Ontario that has an additional real estate land transfer tax on real estate purchases.
It is important to consider the additional cost of the Land Transfer Tax when determining what you can afford as the Land Transfer Tax will be due and payable upon closing. Where the Purchasers are first-time home buyers, or where only one is a first-time home buyer then at the time of closing the purchaser is eligible to receive the applicable Land Transfer Tax Rebate in relation to their percentage of ownership. However, there are some key exceptions to watch out for that can cause one to become ineligible for the Land Transfer Tax Rebate.
How much are closing costs in Ontario? Use the closing cost calculator to determine the applicable Toronto closing costs and Ontario Closing costs. The closing cost calculator will assist you in estimating the additional Land Transfer Tax for both a home and a condominium. Be sure to check off whether you are a first-time home buyer and whether the home or condominium is in the City of Toronto.