There are many closing costs related to buying a home including land or property transfer taxes, lawyer fees, inspection fees, and much more. They have to be paid upfront and, in most cases, can't be rolled into your mortgage. Find out your closing costs below and make sure you have the funds to buy your home.
Some closing costs vary considerably and are difficult to estimate. These apply only on a case-to-case basis and will be dependent on your unique situation.
If you are buying a newly constructed property, you may have to pay GST or HST on the home price, depending on your province.
However, this cost does not always apply to the homebuyer. The posted purchase price may or may not include GST/HST, and the cost of GST/HST may not be paid by the home buyer even when it does apply. Contact your seller or lawyer to determine whether GST/HST applies to you.
If the price of your new home is less than $450,000, you may be eligible for a federal GST/HST New Housing Rebate. Ask your lawyer if you are eligible.
Depending on the day of the month on which you close your purchase, you may need to pay an interest adjustment. The amount will depend on your mortgage terms and the length of time remaining in the month before your first mortgage payment. Contact your lender for specific details.
If you are buying a resale home, the previous owner will likely have already paid property tax for the year. You may need to reimburse a portion of the tax to the previous property owner.
The amount repaid will depend on the property tax amount and the length of time remaining until the end of the year. You can estimate the home's property tax using WOWA.ca Property Tax Lookup.Contact your lawyer for specific details.
Check out our updated guide on the different closing costs you may face. We will walk you through all the above costs and more such as title insurance, government registration fees, speculation taxes, and more.