Ontario Land Transfer Tax Calculator

Use this calculator to estimate the Ontario Land Transfer Tax you may pay when purchasing a home. Enter the purchase price and other details to see your estimated tax and determine whether you may qualify for the Ontario first-time homebuyer refund.

This calculator provides an estimate. Your actual Land Transfer Tax may vary depending on your circumstances, including whether you qualify for a first-time homebuyer refund.

Ontario Land Transfer Tax Help

What Is Land Transfer Tax?

Land Transfer Tax (LTT) is a provincial tax paid when you purchase or acquire an interest in land in Ontario. It is based primarily on the value of the consideration for the property, which is generally the purchase price.

Land Transfer Tax is an important part of your closing costs and should be included when calculating the total cash you will need to complete your purchase.

How Is Ontario Land Transfer Tax Calculated?

Ontario uses a graduated tax system. Different portions of the purchase price are taxed at different rates rather than applying one percentage to the entire purchase price.

First $55,000: 0.5%

$55,000.01 to $250,000: 1.0%

$250,000.01 to $400,000: 1.5%

$400,000.01 to $2,000,000: 2.0%

Over $2,000,000: 2.5% on the portion over $2 million for properties containing one or two single-family residences.

Ontario First-Time Homebuyer Refund

If you are buying your first home, you may be eligible for a refund of some or all of the Ontario Land Transfer Tax you pay, up to a maximum of $4,000.

For an eligible first-time buyer, the refund can eliminate the Ontario Land Transfer Tax on a qualifying purchase up to $368,000. On a higher-priced home, the maximum refund is $4,000.

Who Qualifies as a First-Time Homebuyer?

Ontario's first-time homebuyer refund has specific eligibility requirements. Generally, you must:

Be at least 18 years old.
Be a Canadian citizen or permanent resident of Canada, subject to the applicable rules.
Occupy the home as your principal residence within nine months of the transfer.
Never have owned an eligible home, or an interest in one, anywhere in the world.
Your spouse must not have owned an eligible home while they were your spouse, subject to specific exceptions.

If more than one person is purchasing the property and not everyone qualifies as a first-time homebuyer, the refund may be reduced.

When Do You Pay Land Transfer Tax?

Land Transfer Tax is generally paid when the transfer of the property is registered. Your real estate lawyer typically handles the payment as part of the closing process.

If you qualify for the first-time homebuyer refund and it is not claimed at registration, an application can generally be made to the Ontario Ministry of Finance within 18 months of the date of registration or disposition.

What About Toronto?

If you are purchasing a property within the City of Toronto, an additional Municipal Land Transfer Tax applies on top of the provincial Land Transfer Tax. Toronto also has its own first-time homebuyer rebate program.

For most buyers in Hamilton, Burlington and surrounding communities, the Ontario Land Transfer Tax is the applicable transfer tax.

Remember: Land Transfer Tax Is Only One Closing Cost

Land Transfer Tax is only one part of the money you need to budget for when buying a home. Other costs can include legal fees, title insurance, appraisal fees, home inspection costs, mortgage-related expenses and adjustments for property taxes or other prepaid expenses.

If you are planning a purchase, it is worth calculating your expected closing costs before you start shopping so you know how much cash you will actually need beyond your down payment.