Ontario Land Transfer Tax Calculator

How To Use Our Land Transfer Tax Calculator

For Ontario home buyers (as of 2026), a calculator is the fastest way to estimate your LTT and avoid surprises at closing.

1. Enter the purchase price
2. Choose location (Ontario LTT vs. Toronto MLTT if applicable)
3. Select first-time buyer status (if applicable)
4. Review your totals (Ontario LTT, plus MLTT if in Toronto)
5. Use the estimate to budget closing costs (legal fees, title insurance, inspections, adjustments, etc.)

What Is Land Transfer Tax In Ontario?

In Ontario, land transfer tax (Ontario LTT) is a provincial tax most buyers pay when they purchase real estate. It’s calculated based on the purchase price and is usually one of the biggest closing costs.

Ontario LTT generally applies to most property purchases in Ontario, including homes, condos, land, and commercial properties.

• Rule of thumb: Higher purchase price = higher tax.
• Mini example: If you buy a $500,000 home in Ontario, you’ll pay Ontario LTT based on a tiered (marginal) rate system—see the calculation section below.
• Important exception (where applicable): Some transfers may be exempt (for example, certain transfers between spouses in specific separation/divorce situations).

How Is Land Transfer Tax Calculated In Ontario?

Ontario LTT is calculated using marginal tax rates—each rate applies only to the portion of the price within that bracket (not the whole purchase price).

Ontario LTT rates (as of 2026):

• 0.5% for the first $55,000
• 1.0% for the amount from $55,000 to $250,000
• 1.5% for the amount from $250,000 to $400,000
• 2.0% for the amount from $400,000 to $2,000,000
• 2.5% for amounts over $2,000,000

Use the above rates in your calculations. For example, if you purchase a property for $500,000, the breakdown is as follows:

• First $55,000: 55,000 x 0.5% = $275
• $55,000 to $250,000: 195,000 x 1.0% = $1,950
• $250,000 to $400,000: 150,000 x 1.5% = $2,250
• $400,000 to $500,000: 100,000 x 2.0% = $2,000

Total Ontario LTT = $6,475

Who it applies to: Most buyers purchasing property in Ontario.

Important exception: If you’re buying in Toronto, you may also owe the Municipal Land Transfer Tax (MLTT) on top of Ontario LTT (see table below).

How Much Land Transfer Tax Do First-Time Home Buyers Pay?

For first-time home buyers in Ontario (as of 2026), you still pay Ontario LTT, but you may qualify for a rebate of up to $4,000, which can reduce what you owe at closing.

How it works:

• Calculate your Ontario LTT normally.
• If you qualify, subtract the first-time home buyer rebate (up to $4,000).
• The result is your estimated Ontario LTT payable.

Example based on the $500,000 example above:

• Ontario LTT = $6,475
• Potential first-time buyer rebate = up to $4,000
• Estimated Ontario LTT payable after rebate = $2,475 (if you qualify for the full rebate)

Important exception: if the property is in Toronto, first-time buyers may also have MLTT to consider, and Toronto has its own rebate rules.

Is Land Transfer Tax Paid By The Buyer Or Seller In Ontario?

In Ontario, land transfer tax is generally paid by the buyer, not the seller. Ontario LTT is typically due as part of the buyer’s closing costs when the property transfers into the buyer’s name.

• Example: If you’re buying a condo for $700,000, you (the buyer) budget for Ontario LTT plus legal fees and other closing costs—rather than expecting the seller to cover it.
• Important exception: on unusual private arrangements, parties can negotiate costs, but the tax is still tied to the transfer and is normally handled on the buyer’s side at closing.

When Do You Pay Land Transfer Tax In Ontario?

In Ontario, land transfer tax is usually paid on closing, when the deed/title transfers, and you take possession. Your real estate lawyer typically handles payment and registration as part of closing.

Does Land Transfer Tax Apply To New Builds Or Assignments?

Yes—In Ontario (as of 2026), land transfer tax generally applies to new builds and assignment purchases, because it’s triggered by the transfer of property ownership.

• New build example: You buy a pre-construction home and close two years later—the Ontario LTT is generally due at closing when the home is transferred to you.
• Assignment example: You purchase an assignment from the original buyer—Ontario LTT usually applies when the property ultimately transfers into your name.
• Important exception: assignment structures can get complicated (for example, what portion is treated as part of the purchase price). Your lawyer is the best person to confirm how the numbers apply in your specific contract.

Ontario LTT vs. Toronto MLTT

What Is The Most Common Budgeting Mistake Buyers Make In Ontario?

The most common mistake we see (especially with first-time buyers in Ontario) is budgeting for the down payment and mortgage costs—but underestimating closing costs, with land transfer tax being the biggest surprise.

What this looks like in real life:

• Buyers estimate “a few thousand” for closing, but Ontario LTT alone can be several thousand to five figures, depending on the purchase price, and Toronto can add another layer with MLTT.
• Buyers also forget to budget for other closing costs (legal fees, title insurance, home inspection, appraisal, adjustments), so the final cash needed on closing day feels higher than expected.