Taxes on Land transfer hounds for the first-time home buyers in hottest markets
Taxes on Land transfer hounds for the first time home buyers in hottest markets: In the hottest housing markets of Canada, first-time home buyers are more forced to deal with elevated home prices and significant impact of taxes on land transfer, according to Zoocasa, a real estate information portal.
Zoocasa also noted that as tax is a non-mortgageable amount which should be paid in cash on the closing of deal, this leads to the “home buyers in one of the most expensive and highly taxed housing markets for the longer years to have cash in hands as compared to the more affordable housing markets with moderate fee structure.
As of May 2018, analysis looked at applicable home buyer rebates, land transfer tax structures and average home prices to determine that which metropolitan markets impose greatest tax burdens on first-time home buyers.
Canadian cities with highest taxes on land transfer for first-time home buyers are:
Rank 1: Vancouver, BC – $20,076
Rank 2: Toronto, ON – $16,687
Rank 3: Victoria, BC – $12,270
Rank 4: Abbotsford, BC – $8,780
Rank 5: Kelowna, BC – $8,659
First-time home buyers can find respite from taxes on land transfer in these real estate markets:
Windsor-Essex, ON – $0
London & St. Thomas, ON – $0
Edmonton, AB – $239
Calgary, AB – $269
Niagara Region, ON – $629