How much is land transfer tax in Toronto?

If you buy a home in the City of Toronto, you pay land transfer tax twice: once to the Province of Ontario and once to the city, through the Municipal Land Transfer Tax, or MLTT. Buy the same house across the border in Mississauga, Vaughan or Markham and you pay only the provincial tax. That double hit is why closing costs in Toronto are noticeably higher than elsewhere in the GTA.

Both taxes are calculated on the purchase price using marginal brackets, the same way income tax works: each slice of the price is taxed at its own rate. The tax is due on closing, and your real estate lawyer pays it on your behalf when the deed is registered. It cannot be added to your mortgage, so you need the cash ready alongside your down payment.

Ontario land transfer tax brackets

For a home with one or two single-family residences, the provincial rates are:

Toronto municipal land transfer tax, including the new luxury tiers

For residential properties with one or two single-family residences, Toronto’s MLTT uses the same brackets and rates as the province up to $3 million. Above that, the city has a set of luxury tiers that rose for transactions closing on or after April 1, 2026:

Those upper tiers affect a small slice of the market, mostly detached homes in neighbourhoods like Rosedale, Forest Hill, the Bridle Path and parts of Lawrence Park. For the typical condo or semi, only the standard brackets apply.

First-time buyer rebates: provincial and Toronto

First-time buyers can claw back a meaningful chunk of both taxes:

• Ontario refund: up to $4,000. That fully covers the provincial tax on a home priced up to about $368,000.
• Toronto MLTT rebate: up to $4,475. That fully covers the city tax on a home priced up to $400,000.

Together, that is up to $8,475 off your closing costs. On most Toronto purchases, the rebates reduce your bill rather than eliminate it.

To qualify for the provincial refund, you generally must:

• Be at least 18 years old.
• Be a Canadian citizen or permanent resident, or become one within 18 months of the purchase.
• Move into the home as your principal residence within nine months of the purchase.
• Never have owned a home, or an interest in one, anywhere in the world, and your spouse must not have owned a home while you were together.

Toronto’s rebate uses similar criteria. If you buy with someone who is not a first-time buyer, and you are not spouses, the refund is reduced to your ownership share. Most buyers claim both rebates at closing through their lawyer. If you miss it, Ontario allows you to apply for the refund within 18 months after registration, including online through the Ministry of Finance.

Worked examples: $900,000 and $1.2 million homes

Here is what the math looks like for two common Toronto price points, such as a two-bedroom condo downtown or a semi in East York.

$900,000 home

• First $55,000 at 0.5%: $275
• $55,000 to $250,000 at 1.0%: $1,950
• $250,000 to $400,000 at 1.5%: $2,250
• $400,000 to $900,000 at 2.0%: $10,000
• Ontario LTT: $14,475
• Toronto MLTT: $14,475

$1.2 million home

• First $55,000 at 0.5%: $275
• $55,000 to $250,000 at 1.0%: $1,950
• $250,000 to $400,000 at 1.5%: $2,250
• $400,000 to $1,200,000 at 2.0%: $16,000
• Ontario LTT: $20,475
• Toronto MLTT: $20,475

A handy shortcut: for any home priced between $400,000 and $2 million, the provincial tax equals 2 per cent of the price minus $3,525. In Toronto, double that figure to include the MLTT. For a $1 million semi in Leslieville, that is $16,475 provincial, or $32,950 in total before any first-time buyer rebates. Your lawyer will calculate the exact amount, but the shortcut is useful when comparing listings.

The Mississauga column shows the cost of buying outside the city limits: with no municipal tax, a first-time buyer there pays only the provincial tax minus the $4,000 refund.

Other closing costs to budget for

Land transfer tax is the biggest closing cost for most Toronto buyers, but it is not the only one. Plan for:

• Legal fees and disbursements for your real estate lawyer, including title searches and registration.
• Title insurance, usually arranged by your lawyer.
• Home inspection, especially for older houses.
• Property tax and utility adjustments, reimbursing the seller for anything they prepaid past your closing date.
• Provincial sales tax on mortgage default insurance. If your down payment is under 20 per cent, Ontario charges 8 per cent PST on the insurance premium, payable in cash at closing.
• Condo status certificate review and, for new builds, possible HST and development charge adjustments. Ask your lawyer what applies to your contract.
• Moving costs and immediate repairs or furniture.

Foreign buyers should also know that Ontario charges a separate 25 per cent Non-Resident Speculation Tax on residential purchases, on top of regular land transfer tax, unless an exemption applies.

The bottom line

In Toronto, you pay Ontario land transfer tax and the city’s MLTT, which are identical up to $3 million, so the total is roughly double what you would pay in the 905. A $900,000 home costs $28,950 in land transfer tax and a $1.2 million home $40,950, before rebates. Eligible first-time buyers can save up to $8,475 combined. Since the money is due in cash on closing day, build it into your savings plan early and confirm your numbers with your lawyer before you firm up an offer.

Frequently asked questions

Do you pay land transfer tax twice in Toronto?

Yes. Buyers in the City of Toronto pay Ontario's land transfer tax plus the Toronto Municipal Land Transfer Tax. Buyers elsewhere in Ontario pay only the provincial tax.

How much is the first-time buyer land transfer tax rebate in Toronto?

Eligible first-time buyers can get up to $4,000 back on the provincial tax and up to $4,475 on Toronto's municipal tax, for a combined maximum of $8,475.

Can land transfer tax be added to my mortgage?

No. Land transfer tax is a closing cost paid in cash on closing day, usually through your real estate lawyer, so it must be saved separately from your down payment.

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Information current as of October 2026. Rates, fares and rules change: check official sources (ontario.ca, toronto.ca, ttc.ca) before making decisions.