Our real estate lawyers handle local and province-wide residential real estate purchases, sales, and mortgage-refinance transactions. Our lawyers and our Expedited Realty Services (ERS) department have years of experience providing home buyers and home sellers with a full range of real estate legal services for home purchases, home sales and mortgage transactions.
Siskinds ERS department offers you peace of mind by providing you with an all-inclusive, fixed-cost price* at the beginning of our hassle-free closing process. We won’t quote you a low legal fee and then nickel and dime you with disbursements that can triple your cost or more. With Siskinds ERS we will quote you the bottom line price, including all standard disbursements, allowing you to budget accordingly, limiting unexpected additional costs on closing. For a specific price quote please contact our ERS department at 226-213-7366 or by email at [email protected]. Alternatively, our front desk can be reached at 519-672-2121.
Land Transfer Tax
Land Transfer Tax (“LTT”) is payable to the Ontario government at the time we close a purchase transaction. It can also be payable if title is changing as part of a refinance. For properties located in Toronto there is an additional Municipal Land Transfer Tax (“MLTT”).
If an agreement of purchase and sale is entered into after November 14, 2016, and registration or the disposition occurs on or after January 1, 2017, the tax rates on the value of the consideration are as follows:
Amounts up to and including $55,000: - 0.5%
Amounts exceeding $55,000, up to and including $250,000: - 1.0%
Amounts exceeding $250,000, up to and including $400,000: - 1.5%
Amounts exceeding $400,000: - 2.0%
Amounts exceeding $2,000,000: - 2.5%
The additional tax on amounts exceeding $2,000,000 only applies where the land contains one or two single family residences.
The Toronto MLTT rates are the same as the LTT rates, meaning that if you are purchasing or refinancing in Toronto the transfer tax payments will be double that of the rest of the Province of Ontario. Toronto also charges an administration fee of $79.50 plus HST on top of the MLTT rate.
Purchasers who have never been on title to a property anywhere in the world before might be eligible for a transfer tax rebate. The maximum rebate in Ontario is $4,000, and in Toronto is $8,475 (being the $4,000 Ontario rebate and an additional $4,475 Toronto rebate). There are situations where a purchaser might not qualify for a rebate, even though the purchaser has never been on title to a property before. To qualify for a rebate the purchaser’s spouse cannot have owned a home, or an interest in a home, anywhere in the world while being the spouse of the purchaser. Purchasers must also be Canadian citizens or permanent residents of Canada to qualify. For more information please contact Siskinds ERS.
If any buyer, seller or mortgagor is not a Canadian resident then additional fees and procedures may apply.
A non-resident speculation tax equal to 15% of the purchase price applies on the purchase or acquisition of an interest in residential property located in the Greater Golden Horseshoe Region by individuals who are not citizens or permanent residents of Canada or by foreign corporations.
To comply with income tax requirements, 25% of the sale price of any property sold by a non-resident of Canada will be withheld, to ensure the payment of income tax liabilities. Those funds will only be released once the Canada Revenue Agency provides a Certificate confirming that no taxes remain outstanding. Additional legal fees will also apply if Siskinds ERS is required to coordinate with the Canada Revenue Agency. We would advise any non-resident seller to consult with an accountant prior to selling property in Ontario.
*Some exceptions apply. Please contact Siskinds LLP for more details. ERS pricing applies only to standard owner-occupied single-family residential transactions, where the property is connected to a municipal sewer and/or water system, and where the property is not bound on any side by water. All prices quoted are for standard transactions.