The total cost of buying a home involves not only the price of the property, but also costs called Closing Costs that must be paid upon closing the transaction. These expenses, are necessary to complete the purchase but are outside the purchase price for the property and will vary for each property. These figures are estimated and are dependant on your own unique situation. If Title Insurance is purchased, your closing costs will generally be reduced. GST & PST have not been included.
-Common Legal Fee: $700-$1000
-Plan of Survey (If not provided for in agreement): $500-$950
-Status Certificate (instead of Survey if Condominium): $50-$150
-Land Transfer Tax:
Land Transfer Tax is calculated as follows:
a) Amounts up to and including $55,000 - 0.5%
b) Amounts exceeding $55,000 and up to/including $250,000 - 1.0%
c) Amounts from $250,001 to $400,000 - 1.5%
d) Amounts in excess of $400,000 - 2.0%
-Toronto Land Transfer Tax (Purchases in Toronto only, except for First-time buyers of new or resale homes with a purchase price of up to $400,000 and for any sale agreement signed before December 31, 2007 which are exempt):
Land Transfer Tax is calculated as follows:
a) Amounts up to and including $55,000 - 0.5%
b) Amounts exceeding $55,000 and up to/including $400,000 - 1.0%
c) Amounts in excess of $400,000 - 2%
-Real Estate Fee (paid by Sellers only): 5%-6% of selling price PLUS 7% GST
-Building & Zoning Report: $60-$100
-Tax Certificate: $30-$50
-Gas Report (if required): $15
-Water Report (if required): $15
-Hydro Report (if required): $15
-Register Deed (no GST): $50
-Register Mortgage (no GST): $50
-Execution Certificate: $90
-Title Search: $75
-Photocopies, faxes & postage: $20
-Miscellaneous: $40
Other Fees:
CMHC: If your down payment is less than 20%, the mortgage will require CMHC insurance. The premium is usually added to the mortgage and ranges from 0.5% to 2.5% of the mortgage amount. 8% PST is added to the premium and must be paid up front and not added into the mortgage. Check with your mortgage specialist for full details.
Property Tax Adjustment: Depending on the date chosen by the lender as the interest adjustment (the date the mortgage starts), you may be required to pay interest to the lender from the date the money is required and the interest adjustment date. The maximum amount would be one month's interest at the interest charged in the mortgage. Check with your mortgage specialist for full details.
Security Deposit: Some utility companies require a new customer to put down a security deposit to cover future bills. The average amount is $250 each.
Suggested Cash on hand: $5,000 minimum |