Buying a home is one of life’ s biggest investments— and if you’ re house hunting in Ontario, it’ s wise to look beyond the listing price. From taxes to legal fees, the true cost of homeownership includes several key expenses that can add up quickly if you’ re not prepared.
One of the most significant is Ontario’ s Land Transfer Tax( LTT), which is calculated on a tiered scale. Expect to pay 0.5 % on the first $ 55,000 of the purchase price, 1 % up to $ 250,000, and up to 2.5 % for properties over $ 2 million. First-time buyers can breathe a little easier— there’ s a rebate of up to $ 4,000 available to help ease that initial cost.
While sellers typically cover real estate commissions, buyers should still set aside around 1.5 % of the home’ s purchase price to cover closing costs. These may include title insurance, land registration fees, and property tax adjustments. Legal fees can range from $ 1,000 to $ 3,000 depending on the complexity of the transaction.
A word of caution: mortgage brokers are generally compensated by lenders— not by you. If one tries to charge you a fee, that’ s a red flag.
Some agents go a step further. As a licenced real estate and mortgage agent, I streamline both sides of the process— from search to financing— and rebate 25 % of my commission back to you in cash after closing. It’ s a simple way to save money while securing the home you love.
One Percent Realty, www. ontario. onepercentrealty. com
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