Reviewed September 11, 2026. General planning information; confirm eligibility and costs for your transaction.
Build an itemized budget
Your down payment is only part of the cash needed. Request quotes for legal fees, disbursements, title insurance, appraisal, inspection and any status certificate. Also budget for adjustments, moving, any brokerage fees you owe, and a reserve. New builds, foreign-buyer taxes and unusual transactions can add substantial costs.
| Illustrative $750,000 Toronto resale | Amount |
|---|---|
| Down payment (10%) | $75,000 |
| Ontario land transfer tax | $11,475 |
| Toronto land transfer tax | $11,475 |
| Full eligible first-time buyer rebates | −$8,475 |
| Ontario 8% tax on $20,925 mortgage insurance premium (25 years) | $1,674 |
| Illustrative legal/title/inspection/appraisal allowance | $2,900 |
| Toronto administration fee including HST | $115.89 |
| Estimated cash including down payment | $94,164.89 |
What the example assumes
This is a planning example with a traditional 10% down payment and 25-year insured mortgage. The insurance premium is financed; its Ontario tax is paid in cash. A 30-year insured loan has a different premium. The $2,900 allowance is not a supplier quote, and may not cover your costs. Adjustments and the additional costs listed above are excluded. Without eligibility for either rebate, add $8,475.
Toronto and provincial taxes
Both apply to most purchases inside Toronto. Their higher-value brackets differ, so “double the provincial tax” is not a reliable formula for every price. On the same $750,000 purchase outside Toronto, the municipal tax saving is $11,475 before rebates or $7,000 if the Toronto rebate would otherwise have been fully available; the Toronto administration fee is also avoided. See Toronto’s tax schedule.
Insurance and closing adjustments
The premium depends on loan-to-value and the insurance program. Ontario’s tax on the premium cannot be financed into the mortgage. Your lawyer also calculates adjustments for prepaid property tax and other items under the purchase agreement. Get an estimate early, then confirm the final statement. Review the CMHC premium schedule.
Make the estimate specific
Use the calculator to compare scenarios. Select rebates only after confirming eligibility. Then replace allowances with written quotes and confirm the purchase’s tax treatment with your lawyer.
Toronto land transfer tax, bracket by bracket
Toronto buyers pay municipal land transfer tax in addition to the provincial tax. These are the municipal rates for a single-family residence of one or two units, effective April 1, 2026.
| Portion of purchase price | Municipal rate |
|---|---|
| Up to $55,000 | 0.5% |
| $55,000.01 – $250,000 | 1.0% |
| $250,000.01 – $400,000 | 1.5% |
| $400,000.01 – $2,000,000 | 2.0% |
| $2,000,000.01 – $3,000,000 | 2.5% |
| $3,000,000.01 – $4,000,000 | 4.40% |
| $4,000,000.01 – $5,000,000 | 5.45% |
| $5,000,000.01 – $10,000,000 | 6.50% |
| $10,000,000.01 – $20,000,000 | 7.55% |
| Over $20,000,000 | 8.60% |
There is also an MLTT administration fee of $102.56 plus HST on each transaction, small, but it belongs in an itemised budget rather than arriving as a surprise. City of Toronto: MLTT rates and fees
First-time buyer rebates reduce the tax, but rarely erase it
Ontario refunds up to $4,000, and no provincial land transfer tax is payable on the first $368,000 of consideration for an eligible home. Ontario: land transfer tax refunds Toronto rebates up to $4,475 on substantially the same conditions. City of Toronto: MLTT rebate opportunities
Both require you to be at least 18, a Canadian citizen or permanent resident, and never to have owned an eligible home anywhere in the world, and a spouse’s ownership during the marriage disqualifies both of you. You must occupy the home as your principal residence within nine months, and apply within 18 months. At Toronto condo prices the combined rebates usually offset a meaningful share of the tax without eliminating it, so budget the net figure rather than assuming zero.
The mortgage insurance premium, and the tax on it
If your down payment is under 20%, mortgage loan insurance is generally required, and the premium is a percentage of the loan that climbs as the down payment falls.
| Loan-to-value | Premium rate |
|---|---|
| Up to 65% | 0.60% |
| 65.01% – 75% | 1.70% |
| 75.01% – 80% | 2.40% |
| 80.01% – 85% | 2.80% |
| 85.01% – 90% | 3.10% |
| 90.01% – 95% | 4.00% |
| 90.01% – 95% (non-traditional down payment) | 4.50% |
The part that catches Ontario buyers
The premium itself is normally added to the mortgage. The Ontario provincial sales tax on that premium is not. CMHC states plainly that “the provincial sales tax cannot be added to the loan amount.” It is due in cash at closing, and on a high-ratio purchase it is not a trivial line. CMHC: mortgage loan insurance cost
Do I pay two land transfer taxes in Toronto?
Most purchases inside Toronto attract both Ontario and Toronto land transfer taxes. Eligible rebates and the higher-value tax brackets must be calculated separately.
Does this estimate cover every closing cost?
No. It is a resale planning example that excludes adjustments, moving, any brokerage fees owed, foreign-buyer taxes and new-build costs. Request a transaction-specific estimate.