Land Transfer Tax Calculator – Estimate Your Closing Costs

 

How to calculate land transfer tax

Buying a home is exciting, but it comes with additional costs beyond your down payment. At closing you will typically need to cover legal fees, appraisal and title costs, and taxes charged by the province or municipality. One of the most significant of these is the land transfer tax (LTT) or, in some jurisdictions, a land transfer fee.

Land transfer taxes apply when property changes hands and are usually paid by the buyer as a one-time cost at closing. Alberta, Saskatchewan and Canada’s three territories do not charge an LTT in the same way as other provinces; instead they typically assess registration or transfer fees. Despite the different names, the effect is similar: buyers face an upfront charge that depends on the property price and local rules. Below is an overview of how land transfer taxes and fees work, how they are calculated, and where rebates or exemptions may apply.

• What is a land transfer tax?
• How is land transfer tax calculated?
• Land transfer taxes at a glance
• Land transfer taxes and fees by province and territory
• Cities that charge additional municipal land transfer tax
• What is a first-time home buyer rebate?
• First-time home buyer land transfer tax rebates
• Other land transfer tax rebates
• Land transfer tax exemptions

What is a land transfer tax?

Land transfer tax is usually charged as a percentage of a property’s sale price and is payable when the transaction closes. It forms part of your closing costs, so you should have funds available to cover it on possession day.

Most provinces use a marginal tax rate structure where the tax rate increases for higher value bands of the purchase price. In Alberta, Saskatchewan and the territories, buyers generally pay lower registration-style fees instead of a percentage tax. Municipalities such as Toronto and Montreal impose their own municipal land transfer taxes in addition to provincial charges; those municipal rules differ from the surrounding province. A land transfer tax calculator can quickly estimate what you’ll owe based on the purchase price and location.

How is land transfer tax calculated?

Every province and territory in Canada assesses a charge when property transfers. Most jurisdictions use a marginal percentage scale applied to bands of the purchase price; others use fixed fees or a combination of fixed and percentage-based amounts. In provinces that call it a land transfer fee, the charge is often accompanied by a mortgage registration fee based on the mortgage amount.

To estimate the total cost, enter the purchase price and other details into a land transfer tax calculator for the relevant province or municipality. Depending on the property value, the tax can add thousands to your closing costs.

Land transfer taxes at a glance

The table below summarizes the estimated land transfer tax or fee for each province and territory, plus Toronto and Montreal where municipal charges apply. The example figures are based on a property price of $696,166, representative of the national average home price in recent national statistics.

Province	Land transfer tax	Fees	First-time home buyer (FTHB) & other rebates
Alberta	$0	Estimated land transfer fee: $278.47. Plus mortgage registration fee based on mortgage amount.	n/a
British Columbia	$11,923 (provincial)	n/a	FTHB rebate: Full refund for homes purchased for $500,000 or less; partial refund for homes between $500,001 and $525,000. Newly built homes exemption available up to specified thresholds.
Manitoba	$11,573 (provincial)	n/a	n/a
New Brunswick	$6,961.66 (provincial)	n/a	n/a
Newfoundland & Labrador	$2,883 (provincial)	n/a	n/a
Nova Scotia	$10,442 (municipal)	n/a	n/a
Ontario (outside of Toronto)	$10,398 (provincial)	n/a	FTHB rebate: Up to $4,000.
Toronto	$20,797 (provincial & municipal)	n/a	FTHB rebate: Up to $4,000 from the province and up to $4,475 from the city, for a total potential refund of $8,475.
Prince Edward Island	$6,962 (provincial)	n/a	FTHB rebate: Full refund for homes purchased for $200,000 or less.
Quebec (outside of Montreal)	$8,942 (municipal)	n/a	n/a
Montreal	$9,923 (municipal)	n/a	n/a
Saskatchewan	$0	Estimated land title transfer fee: $2,134.	n/a
Northwest Territories	$0	Estimated land transfer fee: $1,067. Plus mortgage registration fee based on mortgage amount.	n/a
Nunavut	$0	Estimated land registration fee: $1,067. Plus mortgage registration fee based on mortgage amount.	n/a
Yukon	$0	Land transfer fee of $350. Plus a mortgage registration fee and possible assurance fee.	n/a

Land transfer taxes and fees by province and territory

Alberta

Alberta does not impose a provincial land transfer tax. Instead, buyers pay a transfer of land registration fee and a mortgage registration fee. The transfer fee covers administrative title changes and is charged as $50 plus $2 for every $5,000 of property value. The mortgage registration fee is charged as $50 plus $1.50 for every $5,000 of the mortgage principal.

British Columbia

In British Columbia the property transfer tax is calculated on a marginal scale based on the purchase price. Current provincial rates are:

• 1% on the first $200,000
• 2% on the portion from $200,001 to $2,000,000
• 3% on the portion over $2,000,000

Manitoba

Manitoba charges LTT based on value and applies a flat registration fee of $70 for all transactions. The marginal rates are:

• No tax on the first $30,000
• 0.5% on the portion from $30,001 to $90,000
• 1.0% on the portion from $90,001 to $150,000
• 1.5% on the portion from $150,001 to $200,000
• 2.0% on any amount over $200,000

New Brunswick

New Brunswick applies a flat 1% charge on the purchase price of a property rather than a marginal scale.

Newfoundland & Labrador

In Newfoundland and Labrador the transfer tax calculation is governed by statute. Buyers pay a base amount for low-value transfers and a per-dollar rate beyond a threshold:

• $100 if the property value or mortgage is less than $500
• $0.40 for every $100 of property value or mortgage amount above $500

Nova Scotia

Nova Scotia charges a municipal deed transfer tax (DTT). Rates vary by municipality, but most municipalities set rates between 1% and 1.5% of the purchase price.

Ontario

Ontario applies a marginal land transfer tax with the following bands:

• 0.5% on the first $55,000
• 1.0% on the portion from $55,001 to $250,000
• 1.5% on the portion from $250,001 to $400,000
• 2.0% on the portion from $400,001 to $2,000,000
• 2.5% on any amount over $2,000,000

Ontario also applies a 25% non-resident speculation tax for certain buyers who are not Canadian citizens or permanent residents and who purchase property within the Greater Golden Horseshoe Region.

Prince Edward Island

Prince Edward Island’s real property transfer tax is calculated as a flat 1% of the purchase price.

Quebec

Quebec’s transfers are administered at the municipal level. Taxable value in Quebec is the greater of the purchase price, the amount on the deed, or the municipal assessment. Municipal rates typically follow a scale such as:

• 0.5% on the first $58,900
• 1.0% on the portion from $58,901 to $294,600
• 1.5% on any amount over $294,600

Saskatchewan

Saskatchewan charges land title or abstract transfer fees rather than a traditional LTT. Fees are tiered by value:

• No fee for values under $500
• $25 for values between $500 and $6,300
• 0.3% of the total value for amounts over $6,300

Mortgage registration fees also apply.

Northwest Territories

The Northwest Territories charges land transfer and mortgage fees based on value. Example calculations include $2 for each $1,000 in value up to $1,000,000 (minimum $100) and a higher stepped schedule for larger values. Mortgage registration fees are calculated on a similar per-thousand basis with a minimum charge.

Nunavut

Nunavut charges a land registration fee and a mortgage registration fee. For properties $1,000,000 or less the land registration fee is $1.50 per $1,000 (minimum $60); for higher values a higher base plus per-thousand rate applies. Mortgage registration fees are typically $1 per $1,000 with a minimum amount.

Yukon

Yukon combines several levies to form the total transfer charge: an assurance fee when the declared value has increased since the last transfer, a flat land transfer fee that varies by price band, and a separate mortgage registration fee that increases with larger mortgages. Bands range from modest flat fees for lower-value properties to higher fixed fees for very high-value transactions.

Cities that charge additional land transfer tax

Toronto

Toronto is one of the few Canadian cities that levies a municipal LTT in addition to the provincial tax. Its municipal rates are marginal and increase with value, and are applied on top of Ontario’s provincial land transfer tax.

• 0.5% on the first $55,000
• 1% on $55,001 to $250,000
• 1.5% on $250,001 to $400,000
• 2% on $400,001 to $2,000,000
• 2.5% on $2,000,001 to $3,000,000
• 3.5% on $3,000,001 to $4,000,000
• 4.5% on $4,000,001 to $5,000,000
• 5.5% on $5,000,001 to $10,000,000
• 6.5% on $10,000,001 to $20,000,000
• 7.5% on amounts $20,000,000 and over

Montreal

Montreal applies municipal LTT based on a “base amount,” which is the greater of the purchase price, the deed amount, or an assessed market value adjusted by comparative factors for the year of the sale. Because Montreal’s municipal schedule differs from other Quebec municipalities, higher-value properties may face additional bands and higher rates.

• 0.5% on the first $61,500
• 1% from $61,500 to $307,800
• 1.5% from $307,800 to $552,300
• 2% from $552,300 to $1,104,700
• 2.5% from $1,104,700 to $2,136,500
• 3.5% from $2,136,500 to $3,113,000
• 4% for $3,113,000 and higher

What is a first-time home buyer rebate?

Many provinces and some municipalities offer first-time home buyer rebates that reduce or eliminate land transfer tax for qualifying buyers. Eligibility rules vary, but these rebates can meaningfully reduce closing costs for people purchasing their first home. A land transfer tax calculator will typically show rebates automatically when you enter buyer details.

First-time home buyer land transfer tax rebates

Common maximum rebates across Canada include:

• Ontario: up to $4,000
• British Columbia: full refund for homes purchased for $500,000 or less; partial refund for homes between $500,001 and $525,000
• Prince Edward Island: full refund for homes purchased for $200,000 or less
• City of Toronto: up to $4,475 municipal refund (in addition to provincial rebate)

Typical eligibility conditions include never having previously owned a home, being a Canadian citizen or permanent resident, purchasing a residential property that will be your principal residence, being at least 18 years old, and occupying the home within a specified period after purchase. Provinces may have additional residency or tax-filing requirements.

Other land transfer tax rebates

Some jurisdictions provide other exemptions or rebates. For example, British Columbia offers a newly built home exemption that can fully refund the transfer tax for qualifying newly built homes up to a threshold and provides a phase-out range above that threshold.

Land transfer tax exemptions

Certain transfers are commonly exempt from land transfer tax. Typical exemptions include:

• Transfers between spouses
• Transfers to a family business corporation
• Transfers of farmland between family members
• Transfers of leases involving non-profits or charities
• Property transfers resulting from a marriage breakdown or separation

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