Closing costs in Canada: what you'll pay and land transfer tax by province

The short answer

Closing costs are the cash you pay on top of your down payment to complete a purchase. The biggest one in most provinces is land transfer tax. On a $600,000 home our estimates run from about 0.7% to 3.3% of the price before any first-time buyer rebate, depending on where you buy.

A first-time buyer in Ontario (outside Toronto) putting $60,000 down on a $600,000 home would need about $8,514 for closing: $4,475 of land transfer tax after the refund, $1,339 of sales tax on the mortgage insurance premium, and our estimates for legal fees, title insurance and an inspection.

What closing costs include

Land transfer tax or registration fees

Most provinces charge a tax when ownership changes, based on the price or assessed value. Alberta, Saskatchewan and Newfoundland and Labrador charge registration fees instead, which are much smaller. The next section has the amount for every province.

Legal or notary fees

A lawyer (or a notary in Quebec) checks title, registers the transfer and the mortgage, holds the funds and pays out the seller. Fees plus disbursements such as search and registration costs vary by firm and by how complex the deal is. We use $1,800 as a planning estimate; get a written quote.

Title insurance

Title insurance protects against problems with ownership records, such as fraud or survey issues. Many lenders ask for it. We use $350 as an estimate; the premium is a one-time cost.

Home inspection and appraisal

An inspection is optional but common for resale homes. A lender may order an appraisal to confirm the value, and some pass that cost on. We combine them at $550 as an estimate.

Provincial sales tax on mortgage insurance

With less than 20% down, your mortgage must be insured. The premium itself is added to the loan, but in Ontario (8%), Quebec (9%) and Saskatchewan (6%) provincial sales tax applies to the premium, and CMHC says that tax cannot be added to the loan. You pay it in cash at closing. Quebec's rate rises to 9.975% for premiums paid from January 1, 2027.

Adjustments

On closing day your lawyer settles costs the seller has prepaid or owes, such as property tax, condo fees or a fuel tank. If the seller paid the full year's property tax, you reimburse the days after closing. The amount depends on dates and bills, so it is not in our estimate.

Costs that are easy to forget

• Home insurance, which lenders generally require from closing day.
• Moving, utility connections, and basic tools or repairs in the first months.
• For new builds: GST or HST (see the first-time buyer GST rebate) and any extra charges set out in the builder's agreement.

Land transfer tax by province on a $600,000 home

Same price everywhere, $60,000 down. Alberta, Saskatchewan and Newfoundland and Labrador amounts include the fee to register the mortgage. Territories are not covered.

For your own price and city, use the closing costs calculator, or open your province on the provinces page.

How each province charges it

• Ontario: 0.5% on the first $55,000, 1% from $55,000 to $250,000, 1.5% from $250,000 to $400,000, 2% from $400,000 to $2,000,000, 2.5% above $2,000,000. Toronto adds its own municipal land transfer tax on similar bands, so Toronto buyers pay twice: $16,950 on $600,000 for a repeat buyer.
• British Columbia: property transfer tax of 1% on the first $200,000, 2% from $200,000 to $2,000,000, 3% from $2,000,000 to $3,000,000, 5% above $3,000,000 (the top band includes BC's further tax on residential value above $3,000,000).
• Manitoba: 0% on the first $30,000, 0.5% from $30,000 to $90,000, 1% from $90,000 to $150,000, 1.5% from $150,000 to $200,000, 2% above $200,000.
• Quebec: transfer duties (often called the welcome tax) of 0.5% on the first $62,900, 1% from $62,900 to $315,000, 1.5% above $315,000 in 2026. Brackets are indexed every January, and many municipalities set higher rates on the upper part of the price. Montréal's 2026 bands climb to 4% above $3,113,000.
• New Brunswick: NB charges 1% of the greater of the price or the assessed value.
• Nova Scotia: deed transfer tax is set by each municipality; Halifax charges the rate shown in the table. Non-residents of Nova Scotia pay an extra 10% provincial deed transfer tax (not included).
• Prince Edward Island: real property transfer tax on the greater of the price or assessed value, with an exemption for first-time buyers.
• Alberta, Saskatchewan and Newfoundland and Labrador: no land transfer tax. You pay land titles or Registry of Deeds fees on the transfer and on the mortgage. In Calgary, our full closing estimate for the same purchase is about $3,960.

First-time buyer relief

• Ontario: a refund of up to $4,000. You must be a Canadian citizen or permanent resident, move in within nine months, and never have owned a home anywhere. On a $600,000 home the refund cuts the provincial tax to $4,475.
• Toronto: a separate rebate of up to $4,475 on the municipal tax. With both, a first-time buyer in Toronto pays $8,475 on $600,000 instead of $16,950.
• British Columbia: first-time buyers are exempt on homes up to $835,000, a saving of up to $8,000. The exemption shrinks to zero at $860,000. Newly built homes have a separate exemption up to $1,100,000, phasing out by $1,150,000.
• Prince Edward Island: first-time buyers can be fully exempt, with no price cap in the Act, if every purchaser meets the residency, first-home and occupancy conditions. On $600,000 that saves $6,000.
• Other provinces: we found no provincial first-time exemption from transfer tax in Manitoba, New Brunswick, Nova Scotia or Quebec. Alberta, Saskatchewan and Newfoundland and Labrador don't have the tax to begin with.

Federal programs such as the FHSA and Home Buyers' Plan help with the down payment rather than closing costs. See first-time home buyer programs.

How to budget for closing

1. Work out the transfer tax or fees for your exact price and city in the closing costs calculator.
2. If you are putting less than 20% down in Ontario, Quebec or Saskatchewan, add the sales tax on the insurance premium.
3. Get written quotes for legal fees, title insurance and an inspection, and replace our estimates with them.
4. Leave room for adjustments, moving and the first months of home insurance and utilities.
5. Make sure a lender can see you have these funds as well as the down payment. Your total cash to close is the down payment plus all of the above.