Ontario Land Transfer Tax + First-Time Buyer Rebate Calculator
Estimate Ontario provincial land transfer tax and the first-time buyer rebate.
Before you use this tool
What it estimates
Estimate Ontario provincial land transfer tax and the first-time buyer rebate.
Who it is for
First-time and repeat buyers calculating closing cash requirements.
Numbers you need
Purchase price and whether the buyer is a first-time home buyer.
What the result means
The tool estimates Ontario provincial land transfer tax and the configured first-time buyer rebate.
Next step
Treat this as one closing-cost estimate and review the rest of your buying numbers before making decisions.
Review my mortgage numbersEstimated Ontario land transfer tax
Gross tax
$11,475
Rebate
$0
Net estimate
$11,475
This calculator estimates Ontario provincial land transfer tax only. Municipal land transfer tax, legal fees, title insurance, adjustments, lender requirements, and other closing costs may also apply.
How land transfer tax works in Ontario
When you buy a home in Ontario, you generally pay provincial land transfer tax when the property purchase closes. The tax is usually paid by the buyer as part of the closing process. Your real estate lawyer will normally calculate the amount, collect the required funds from you, and handle the payment when the transfer of ownership is registered.
For Ottawa homebuyers, there is an important difference compared with buying in Toronto: Ottawa does not currently charge a separate municipal land transfer tax. Toronto has its own municipal land transfer tax in addition to Ontario's provincial tax.
Ontario land transfer tax is calculated using marginal tax brackets. This means that different portions of the purchase price are taxed at different rates. A higher tax rate does not apply to the entire purchase price just because the home enters a higher bracket. Instead, each part of the price is taxed at the rate for that bracket.
A calculator can provide a useful estimate of the land transfer tax that may apply to your purchase. Your actual closing costs and eligibility for any refund should be confirmed with your real estate lawyer.
First-time buyer rebate
First-time homebuyers in Ontario may qualify for a refund of some or all of the provincial land transfer tax they would otherwise pay. The maximum Ontario refund is currently $4,000 for eligible purchases. In practice, this means eligible first-time buyers generally pay no Ontario land transfer tax on homes up to $368,000.
Generally, a buyer must be at least 18 years old, must not have previously owned a home or an interest in a home anywhere in the world, and must occupy the purchased home as their principal residence within nine months of the transfer. Other rules may apply, including rules involving a spouse's past home ownership and the buyer's citizenship or permanent resident status.
Eligibility can depend on the specific facts of the purchase and the people taking ownership of the property. A calculator may estimate the potential refund, but it does not determine legal eligibility. Confirm your eligibility and the refund process with your real estate lawyer before closing.
Frequently asked questions
Does Ottawa have a municipal land transfer tax?
No. Ottawa does not currently charge a separate municipal land transfer tax. Homebuyers in Ottawa generally pay the Ontario provincial land transfer tax, subject to any available refund or exemption. Toronto has a separate municipal land transfer tax in addition to the provincial tax. Confirm your closing costs with your real estate lawyer.
How much is the first-time buyer rebate in Ontario?
Eligible first-time homebuyers may receive an Ontario land transfer tax refund of up to $4,000. The actual refund may be lower depending on the tax payable and the circumstances of the buyers taking title. Eligibility rules can be detailed, so confirm your situation with your real estate lawyer.
When do I pay land transfer tax?
Land transfer tax is generally dealt with when your home purchase closes and ownership is transferred. The buyer's real estate lawyer will normally calculate the tax, include it in the required closing funds, and handle payment as part of registering the transfer. Confirm the exact amount and payment process with your real estate lawyer.