How much are closing costs in Ontario?

Closing costs in Ontario typically range from 2.5% to 4% of the purchase price. On a $600,000 home in Ontario (outside Toronto), expect $13,000–$17,000 in closing costs. In Toronto, add the Municipal Land Transfer Tax — total closing costs jump to $19,000–$24,000 on the same home. The biggest cost is the Ontario Land Transfer Tax, followed by legal fees, title insurance, and home inspection.

How much is the Ontario Land Transfer Tax on a $500,000 home?

The Ontario Land Transfer Tax on a $500,000 home is $6,475. The tax is calculated on a graduated scale: 0.5% on the first $55,000, 1.0% on $55,001–$250,000, 1.5% on $250,001–$400,000, and 2.0% on $400,001–$2,000,000. First-time buyers can claim a rebate of up to $4,000, reducing the LTT to $2,475.

Do first-time buyers pay Land Transfer Tax in Ontario?

First-time buyers receive a rebate of up to $4,000 on the Ontario Provincial LTT, which fully covers the tax on homes up to $368,000. On homes above $368,000, the rebate still saves $4,000 but you pay the difference. In Toronto, first-time buyers also receive a city LTT rebate of up to $4,475. Combined, a first-time buyer in Toronto can save up to $8,475 in land transfer tax.

How much is the Toronto Land Transfer Tax?

Toronto charges a Municipal Land Transfer Tax on top of the Ontario provincial LTT. The Toronto LTT mirrors the provincial rate structure. On a $700,000 home, the Toronto Municipal LTT is $10,475 — combined with the provincial LTT, total land transfer taxes are $20,950. First-time buyers in Toronto can claim a rebate of up to $4,475 off the municipal portion.

What are the legal fees for buying a house in Ontario?

Legal fees for a residential purchase in Ontario typically range from $1,500 to $2,500 depending on the property and transaction complexity. Most real estate lawyers charge a flat fee. This usually includes the title search, document preparation, registration, and closing disbursements. Condo purchases may cost slightly more due to status certificate review. Always ask for an all-inclusive quote upfront.

Do I pay HST on closing costs in Ontario?

You pay 8% Ontario PST on CMHC/Sagen/Canada Guaranty mortgage insurance premiums (this can add $800-$2,500 to closing costs on insured mortgages). Legal fees and most other professional services include HST in their quotes. The Land Transfer Tax itself is not subject to HST.

Closing Costs in Ontario — Calculator & Guide (2026)

Key takeaways:

Ontario Land Transfer Tax is $6,475 on a $500,000 home; $8,475 on a $600,000 home.
First-time buyers receive up to $4,000 LTT rebate (plus $4,475 Toronto rebate if buying in the city).
Toronto buyers pay double LTT (provincial + municipal) — expect $12,950 in land transfer taxes alone on a $500K home.
Budget 2.5-4% of purchase price for total closing costs in Ontario (higher in Toronto).
PST applies to CMHC insurance premiums in Ontario — add 8% to your insurance premium cost.

Ontario has some of the highest closing costs in Canada, primarily due to the provincial Land Transfer Tax — and in Toronto, the additional Municipal Land Transfer Tax. Here is a complete breakdown with exact dollar amounts.

Ontario Land Transfer Tax (Provincial)

The Ontario LTT uses a graduated rate structure:

Purchase Price Portion	Tax Rate
First $55,000	0.50%
$55,001 to $250,000	1.00%
$250,001 to $400,000	1.50%
$400,001 to $2,000,000	2.00%
Over $2,000,000	2.50%

Provincial LTT examples

Purchase Price	LTT Calculation	Total Provincial LTT
$400,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%)	$4,475
$500,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%) + ($100K × 2.0%)	$6,475
$600,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%) + ($200K × 2.0%)	$8,475
$700,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%) + ($300K × 2.0%)	$10,475
$800,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%) + ($400K × 2.0%)	$12,475
$1,000,000	($55K × 0.5%) + ($195K × 1.0%) + ($150K × 1.5%) + ($600K × 2.0%)	$16,475

Toronto Municipal Land Transfer Tax (City)

Buyers in the City of Toronto pay a second LTT on top of the provincial tax:

Purchase Price Portion	Municipal Tax Rate
First $55,000	0.50%
$55,001 to $250,000	1.00%
$250,001 to $400,000	1.50%
$400,001 to $2,000,000	2.00%
Over $2,000,000	2.50%

Combined LTT in Toronto

Purchase Price	Provincial LTT	Toronto Municipal LTT	Total LTT
$400,000	$4,475	$4,475	$8,950
$500,000	$6,475	$6,475	$12,950
$600,000	$8,475	$8,475	$16,950
$700,000	$10,475	$10,475	$20,950
$800,000	$12,475	$12,475	$24,950
$1,000,000	$16,475	$16,475	$32,950

First-time buyer LTT rebates in Ontario

Provincial rebate

Detail	Amount
Maximum rebate	$4,000
Fully covers LTT on homes up to	$368,000
Available to	Canadian citizens or permanent residents who have never owned a home anywhere in the world
Applied	At closing (reduces cash needed) or claimed after

Toronto Municipal rebate

Detail	Amount
Maximum rebate	$4,475
Fully covers city LTT on homes up to	$400,000
Available to	Same criteria as provincial — must be a first-time buyer

First-time buyer LTT savings

Purchase Price	Provincial LTT	Rebate	Toronto LTT	Rebate	Net LTT After Rebates
$400,000 (outside TO)	$4,475	–$4,000	—	—	$475
$500,000 (outside TO)	$6,475	–$4,000	—	—	$2,475
$600,000 (outside TO)	$8,475	–$4,000	—	—	$4,475
$400,000 (Toronto)	$4,475	–$4,000	$4,475	–$4,475	$475
$500,000 (Toronto)	$6,475	–$4,000	$6,475	–$4,475	$4,475
$700,000 (Toronto)	$10,475	–$4,000	$10,475	–$4,475	$12,475

Complete Ontario closing cost estimate

Scenario 1: $500,000 home outside Toronto (first-time buyer, 10% down)

Cost	Amount
Ontario Land Transfer Tax	$6,475
First-time buyer LTT rebate	–$4,000
Legal fees	$2,000
Title insurance	$400
Home inspection	$500
Property tax adjustment	$1,200
PST on CMHC premium (8% × $13,950)	$1,116
Home insurance (first year)	$1,800
Moving costs	$2,500
Total closing costs	$11,991

Scenario 2: $700,000 home in Toronto (first-time buyer, 5% down)

Cost	Amount
Ontario Land Transfer Tax	$10,475
Provincial first-time buyer rebate	–$4,000
Toronto Municipal LTT	$10,475
Toronto first-time buyer rebate	–$4,475
Legal fees	$2,200
Title insurance	$450
Home inspection	$550
Property tax adjustment	$2,000
PST on CMHC premium (8% × $26,200)	$2,096
Home insurance (first year)	$2,400
Moving costs	$3,000
Total closing costs	$25,171

Scenario 3: $600,000 home in Ottawa (repeat buyer, 20% down)

Cost	Amount
Ontario Land Transfer Tax	$8,475
First-time buyer rebate	$0 (not eligible)
Legal fees	$2,000
Title insurance	$400
Home inspection	$500
Property tax adjustment	$1,500
PST on CMHC premium	$0 (20% down = no insurance)
Home insurance (first year)	$2,000
Moving costs	$2,500
Total closing costs	$17,375

Ontario-specific considerations

Non-resident speculation tax

Non-Canadian buyers pay an additional 25% Non-Resident Speculation Tax on the purchase price. This applies across all of Ontario.

New build HST

New construction homes in Ontario include 13% HST. Builders typically include the HST in the listed price, and the federal portion (5%) may qualify for a partial rebate (GST New Housing Rebate) on homes under $450,000.

Condo-specific costs

Status certificate review fee: $100 (paid to the condo corporation)
Reserve fund status: Your lawyer should review the reserve fund study
Condo insurance: Your unit’s insurance may cost less, but the condo fees include building insurance