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Closing Cost Calculator (Canada)
Closing costs are the cash you need on completion day, on top of the down payment. In Canada they typically run 1.5% to 4% of the purchase price, and land transfer tax is usually the largest single item. This calculator adds up every closing cost for your province — transfer tax, legal fees, title insurance, inspection, appraisal, property tax adjustments, provincial sales tax on default insurance and GST on new construction — and shows the total cash required.
Short answer
How much are closing costs in Canada?
Closing costs typically run about 1.5% to 4% of the purchase price and are paid on top of the down payment from your own resources. The biggest single item in most provinces is land transfer or property transfer tax, followed by legal fees, title insurance, appraisal, inspection and property tax adjustments. Alberta buyers pay noticeably less because the province charges registration fees instead of a transfer tax.
Your purchase
20% or more down — no default insurance
Licensed in British Columbia, Alberta and Ontario.
Cash needed at closing
$16,625
2.2% of the purchase price, on top of the down payment
- Land transfer tax
- $11,475
- Legal fees & disbursements
- $1,500
- Title insurance
- $350
- Home inspection
- $600
- Appraisal
- $400
- Property tax & utility adjustments
- $800
- Moving costs
- $1,500
Estimates only. Legal fees, adjustments and rebate eligibility vary by transaction — confirm the final figures with your lawyer or notary before completion.
Results are estimates for general guidance only and do not constitute an offer of credit. Actual figures depend on lender policy, credit history, and verified documentation. Call (604) 780-5173 for exact numbers.
Key takeaways
- Budget 1.5% to 4% of the purchase price for closing costs, separate from the down payment.
- Land transfer tax is the biggest item everywhere except Alberta and Saskatchewan, which charge only registration fees.
- Closing costs cannot be added to the mortgage — they must be paid in cash through your lawyer or notary.
- Most lenders want to see 1.5% of the purchase price available for closing on top of your down payment.
- First-time buyer rebates can remove several thousand dollars in BC, Ontario, Toronto and PEI.
- On a home under 20% down, the provincial sales tax on the insurance premium is always payable in cash even though the premium itself is added to the mortgage.
What closing costs include
Closing costs are every charge that falls due on the completion date. Some are set by the province, some by your lawyer, and some depend on the property itself. The list below covers a standard resale purchase; a new build adds GST and often development or occupancy charges from the builder.
- Land transfer tax — provincial, and municipal too in Toronto and parts of Quebec
- Legal fees and disbursements — typically $1,200 to $2,500
- Title insurance — usually $250 to $500
- Home inspection — $400 to $800, paid before closing
- Appraisal — $300 to $600, sometimes covered by the lender
- Property tax and utility adjustments reimbursing the seller for what they prepaid
- PST on the default insurance premium where the province charges it
- GST at 5% on new construction, with a partial rebate below $450,000
- Moving costs, utility hookups and any immediate repairs
How closing costs differ by province
The province you buy in changes the total more than anything else. Buying an $800,000 home in Toronto costs roughly $25,000 in transfer tax alone once the municipal tax is added. The same purchase in Calgary costs a few hundred dollars in registration fees.
British Columbia charges 1% on the first $200,000, 2% to $2 million and 3% above that, with an extra 2% over $3 million. Ontario runs a graduated scale to 2.5%, and Toronto mirrors it. Manitoba, Quebec, Nova Scotia and the Maritimes each have their own rates. Alberta and Saskatchewan have no transfer tax at all.
The costs buyers most often forget
Property tax adjustments surprise people. If the seller has already paid the year's taxes, you reimburse the portion covering your ownership — on a home with $6,000 annual taxes closing in September, that is roughly $2,000 due on the spot.
The provincial sales tax on default insurance is the other one. The premium itself gets added to the mortgage, but in BC, Ontario, Quebec, Saskatchewan and Manitoba the tax on it does not. On a $500,000 mortgage with 5% down in Ontario, that is roughly $1,600 in cash.
Reducing what you need at closing
First-time buyer programs are the largest lever. BC removes property transfer tax entirely below $500,000 with partial relief to $835,000. Ontario refunds up to $4,000 and Toronto adds up to $4,475 more. PEI exempts first-time buyers outright.
Beyond that, some lenders cover appraisal costs, some lawyers quote flat fees well below the average, and title insurance can replace a more expensive survey. Ask your broker which of your lender's costs are negotiable before you sign the commitment.
Worked example
Example: $800,000 home in Ontario with 20% down
| Purchase price | $800,000 |
|---|---|
| Down payment (20%) | $160,000 |
| Ontario land transfer tax | $12,475 |
| Legal fees and disbursements | $1,500 |
| Title insurance | $350 |
| Home inspection | $600 |
| Appraisal | $400 |
| Tax and utility adjustments | $800 |
| Moving | $1,500 |
| Cash needed at closing | about $17,625 |
Closing costs come to roughly 2.2% of the purchase price. Add the down payment and the buyer needs about $177,600 in cash. If the same home were in Toronto, the municipal land transfer tax would add another $12,475.
Frequently asked questions
How much are closing costs in Canada?
Typically 1.5% to 4% of the purchase price. On an $800,000 home that is roughly $12,000 to $32,000, driven mostly by the province's land transfer tax. Alberta and Saskatchewan sit at the low end because they charge registration fees rather than a transfer tax.
Can closing costs be added to the mortgage?
No. They are paid in cash on the completion date through your lawyer or notary. The only exception is the default insurance premium on a mortgage with less than 20% down, which is added to the balance — but the provincial sales tax on that premium is still due in cash.
How much are closing costs on a $500,000 house in Ontario?
Ontario land transfer tax is $6,475, and with legal fees, title insurance, inspection, appraisal and adjustments the total is usually $10,000 to $12,000. A first-time buyer gets up to $4,000 of the transfer tax refunded, bringing it closer to $6,500.
Who pays closing costs, the buyer or the seller?
The buyer pays land transfer tax, their own legal fees, title insurance, inspection and appraisal. The seller pays realtor commission, their own legal fees, any mortgage discharge fee and a prepayment penalty if they break their mortgage early.
Do I pay GST when buying a house in Canada?
Only on new construction or a substantially renovated home, at 5% of the price. Resale homes are exempt. A partial GST rebate applies below $450,000, and several provinces add their own new-housing rebate on the provincial portion.
How much cash do I need in total to buy a home?
The down payment plus closing costs. On a $700,000 purchase with the minimum $45,000 down, plan on $57,000 to $70,000 in total depending on the province. Lenders verify a 90-day history for the down payment and want to see closing funds available as well.
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