Understanding Ontario Land Transfer Tax

When you buy a property in Ontario, you pay a provincial Land Transfer Tax (LTT) on closing. This calculator shows you exactly how much to budget — and whether you qualify for a first-time buyer rebate.

How Ontario Land Transfer Tax Works

Ontario’s LTT is calculated on a sliding scale based on the purchase price:

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

On a $700,000 home in Guelph, that works out to approximately $10,475 in land transfer tax — a meaningful closing cost that catches many buyers off guard.

First-Time Home Buyer LTT Rebate

If you’re a first-time buyer purchasing a home in Ontario (outside Toronto), you may qualify for a provincial LTT rebate of up to $4,000. This eliminates the tax entirely on purchases up to approximately $368,000, and reduces it by $4,000 on more expensive homes. Toronto levies its own separate municipal LTT, which carries its own rebate — ask us if you’re buying in the GTA.

What the Calculator Shows You

Enter the purchase price to instantly see your LTT amount, any applicable first-time buyer rebate, and your net tax payable. This should be part of every buyer’s closing cost budget.

Questions about what you’ll owe on closing? Talk to a Skip The Bank mortgage broker — we walk every client through the full cost of buying before they make an offer.