How much house can I afford in Toronto?
Toronto buyers pay land transfer tax twice, to Ontario and to the City, at matching rates up to $3,000,000 and higher City rates above that since April 1, 2026. On a $900,000 home that is $28,950, or $20,475 for a first-time buyer who gets both rebates ($4,000 and $4,475). The 2026 property tax rate is 0.767%, and any CMHC premium carries 8% sales tax.
Worked examples use 4.12%, the Bank of Canada's average effective rate on new insured 5-year-plus fixed mortgages (2026-08), and are recalculated whenever our rules or rates are updated.
What's different about buying in Toronto
Toronto is the only city in Ontario with its own land transfer tax. That single fact shapes a Toronto budget more than anything else:
- You pay land transfer tax twice: once to Ontario and once to the City. The municipal rates match the provincial ones up to $3,000,000, so below that the bill is exactly double the provincial tax.
- New luxury bands since April 1, 2026: the City's rate rises in steps from 4.40% above $3,000,000 to 8.60% above $20,000,000.
- Two first-time rebates: up to $4,000 from Ontario and up to $4,475 from the City, $8,475 in all.
- 8% sales tax on any CMHC premium, paid in cash at closing, as everywhere in Ontario.
Toronto's 2026 residential property tax rate is 0.767311%: 0.605295% for the City, 0.153% for education and 0.009016% for the City Building Fund. Lending limits are the national ones (GDS up to 39%, TDS up to 44%, at the stress-test rate).
Toronto's double land transfer tax
On a $900,000 purchase, a repeat buyer pays $14,475 to Ontario and $14,475 to the City, $28,950 in total. A buyer who qualifies for both first-time rebates pays $20,475. At a few example prices:
| Example price | Ontario LTT | Toronto MLTT | Total, repeat buyer | Total, first-time buyer |
|---|---|---|---|---|
| $600,000 | $8,475 | $8,475 | $16,950 | $8,475 |
| $900,000 | $14,475 | $14,475 | $28,950 | $20,475 |
| $1,200,000 | $20,475 | $20,475 | $40,950 | $32,475 |
| $2,500,000 | $48,975 | $48,975 | $97,950 | $89,475 |
| $4,000,000 | $86,475 | $105,475 | $191,950 | $183,475 |
The first-time column subtracts $8,475 at every price shown, because both rebates are capped by amount. Homes at $1,500,000 or more can't have an insured mortgage, so those buyers need at least 20% down.
The April 2026 luxury bands
Toronto City Council approved new municipal rates for the top of the market in December 2025, effective April 1, 2026. Up to $3,000,000 nothing changed. Above it, the City charges 4.40% to $4,000,000, 5.45% to $5,000,000, 6.50% to $10,000,000, 7.55% to $20,000,000 and 8.60% beyond. Ontario's rate stays at 2.5% above $2,000,000, so above $3,000,000 the City's share grows faster than the province's:
| Example price | Toronto MLTT | Ontario LTT | Combined |
|---|---|---|---|
| $3,000,000 | $61,475 | $61,475 | $122,950 |
| $3,500,000 | $83,475 | $73,975 | $157,450 |
| $5,000,000 | $159,975 | $111,475 | $271,450 |
The City also charges a 10% Municipal Non-Resident Speculation Tax, in effect since January 1, 2025. It is not included in our figures.
The first-time rebates
The City's first-time purchaser rebate is up to $4,475, which equals the MLTT on a $400,000 home ($4,475). Ontario's refund is up to $4,000, for citizens and permanent residents who have never owned a home anywhere and move in within nine months. Together they cover the full double tax only on a home of about $368,333 or less; above that, they take $8,475 off a larger bill.
In December 2025 Council asked staff to review the City's rebate through the 2026 budget process. When we checked on November 1, 2026, the City's page still showed $4,475. See first-time home buyer programs for the federal help that stacks with both.
Planning the cash
Because neither tax can be financed, a Toronto buyer needs three pots of cash: the down payment, the double land transfer tax and the 8% tax on any premium, plus legal and inspection costs. Take the $900,000 example with the minimum down payment of $65,000: a first-time buyer would add $20,475 of land transfer tax and $2,672 of tax on the $33,400 premium. Outside Toronto, the same purchase would carry $10,475 of land transfer tax.
Toronto property tax
At 0.7673% of assessed value, Toronto's 2026 rate is close to our generic 0.75% example for Ontario. The tax is charged on assessed value, which is often not the same as the price you pay, so treat these as estimates based on price:
| Example value | Per year | Per month |
|---|---|---|
| $600,000 | $4,602 | $384 |
| $900,000 | $6,903 | $575 |
| $1,200,000 | $9,204 | $767 |
A Toronto affordability example
A first-time buyer household earning $150,000, with a $90,000 down payment (closing costs come on top), $500 a month of other debts, an example rate of 4.12% over 25 years, Toronto's 2026 tax rate and $100 a month for heat. The lender maximum is about $735,400 (GDS). At that price the double land transfer tax after both rebates is $13,891, and the 8% tax on the premium is $1,601.
Two comparisons. If the home is a condo with $600 a month in fees, half of which counts in GDS, the maximum drops to about $694,300. And the same household buying in Ottawa (at its 2026 urban property tax of 1.271%) could afford about $695,400, but would pay $6,383 of land transfer tax instead of $13,891.
| Household income | Down payment | Maximum price | Double LTT after rebates | Tax on premium | Cash to close | Limit |
|---|---|---|---|---|---|---|
| $100,000 | $50,000 | $465,100 | $3,079 | $1,029 | $56,808 | TDS |
| $150,000 | $90,000 | $735,400 | $13,891 | $1,601 | $108,192 | GDS |
| $200,000 | $150,000 | $1,012,400 | $24,971 | $2,139 | $179,810 | GDS |
| $260,000 | $250,000 | $1,373,500 | $39,415 | $2,517 | $294,632 | GDS |
Cash to close includes our planning estimates of $1,800 for legal fees, $350 for title insurance and $550 for an inspection. Every row here is an insured mortgage, so each carries the premium tax.
Next steps
- Run your numbers in the affordability calculator with Toronto selected; it applies both taxes and both rebates.
- See the full closing bill in the closing costs calculator.
- Read the Ontario guide for the provincial rules that apply across the province.
What typical homes cost in Toronto, and the income each takes
| Home type | Typical price | Down payment | Household income needed | Cash to close |
|---|---|---|---|---|
| All homes (composite) | $908,200 | $90,820 | $188,700 | $116,350 |
| Detached | $1,417,600 | $141,760 | $292,900 | $188,803 |
| Townhouse | $714,700 | $71,470 | $149,200 | $88,828 |
| Condo apartment | $543,800 | $54,380 | $114,300 | $64,521 |
Prices: Toronto Regional Real Estate Board (TRREB), Market Watch, MLS® HPI benchmark price, September 2026 (MLS® HPI benchmarks are CREA data published by the board). Collected November 1, 2026. Typical prices, not appraisals; the income figures are our calculation.
For comparison, a household earning $120,000 with $60,000 down could afford about $574,600 here. Run your own plan for Toronto, ON.
Run the numbers for Toronto, ON
This calculator starts with Toronto, ON's transfer tax and first-time relief. Open your full affordability plan set to Toronto, ON (property tax 0.767%).
Closing costs and land transfer tax calculator
Cash you need on closing day on top of your down payment.
| Ontario land transfer tax | $9,475 |
|---|---|
| Ontario first-time homebuyer refund | −$4,000 |
| Toronto municipal land transfer tax | $9,475 |
| Toronto first-time purchaser rebate | −$4,475 |
| Sales tax on the CMHC premium | $1,451 |
| Legal / notary | $1,800 |
| Title insurance | $350 |
| Inspection / appraisal | $550 |
| Total | $14,626 |
Estimate, not advice. Your lawyer or notary prepares the final statement of adjustments, including property-tax and utility adjustments not shown here.
Closing costs $14,626, of which land transfer tax or fees $10,475.
Assumptions & sources
Assumptions
- Transfer tax is calculated on the purchase price (NB, PE and NS use the greater of price or assessed value).
- First-time buyer rebates assume you meet every condition (residency, occupancy, never owned).
- Legal, title insurance and inspection figures are our planning estimates; get quotes.
Sources
- Government of Ontario — Calculating land transfer tax. Checked .
- Government of Ontario — Land transfer tax refunds for first-time homebuyers. Checked .
- City of Toronto — Municipal land transfer tax rates and fees (effective April 1, 2026). Checked .
- City of Toronto — MLTT rebate opportunities (first-time purchasers). Checked .
- Government of Ontario — Retail sales tax on insurance premiums. Checked .
- City of Toronto — Property tax rates and fees (2026). Checked .
Frequently asked questions
How much is land transfer tax in Toronto on a $900,000 home?
$28,950: $14,475 provincial and $14,475 municipal. A first-time buyer who qualifies for both rebates pays $20,475.
What is the Toronto first-time buyer land transfer tax rebate?
Up to $4,475 off the municipal tax, on top of Ontario's refund of up to $4,000. Together that is up to $8,475.
What changed in Toronto's land transfer tax on April 1, 2026?
New municipal rates above $3 million: 4.40% to $4 million, 5.45% to $5 million, 6.50% to $10 million, 7.55% to $20 million and 8.60% above that. Rates below $3 million did not change.
What is Toronto's property tax rate for 2026?
0.767311% of assessed value for residential property, made up of the City rate, the education rate and the City Building Fund levy.
How much house can I afford in Toronto on $150,000?
About $735,400 with $90,000 down, $500 a month of other debts and an example 4.12% rate over 25 years, using Toronto's 2026 property tax rate. Condo fees would lower that.
Primary sources
- Government of Ontario — Calculating land transfer tax. Checked .
- Government of Ontario — Land transfer tax refunds for first-time homebuyers. Checked .
- City of Toronto — Municipal land transfer tax rates and fees (effective April 1, 2026). Checked .
- City of Toronto — MLTT rebate opportunities (first-time purchasers). Checked .
- Government of Ontario — Retail sales tax on insurance premiums. Checked .
- City of Toronto — Property tax rates and fees (2026). Checked .
- CMHC — Calculating GDS / TDS. Checked .
- OSFI — Minimum qualifying rate for uninsured mortgages (Guideline B-20). Checked .
- CMHC — Homeowner mortgage loan insurance: Purchase (eligibility). Checked .
- Department of Finance Canada — Mortgage reforms in force: $1.5M insured price cap, 30-year amortization (effective December 15, 2024). Checked .