Today, if you are looking to buy a detached home in Toronto, you can expect to pay around $25,000 in Land Transfer Taxes.
Really? The LTT in Toronto is 2% for all houses 400K and over. The same rate applies provincially. According to
this calculator, here is what a buyer would pay in combined LTT if they bought a house in Toronto and did not qualify for the first time buyer exemption:
$400,000 house: $8,200 ($3,725 LTT, which is also the maximum rebate for first time buyers)
$600,000 house: $16,200 ($7,725 Toronto LTT)
$800,000 house: $24,200 ($12,145 Toronto LTT) -- I guess that's close enough to $25k (I wonder how many people think a typical Toronto house will see $25,000 in taxes imposed by the city, though, instead of this being a combined figure?)
So where does that $800,000 figure come from? Maybe
here.
But what about first time buyers? They get a rebate of up to $3725 off the LTT.
What about cheaper detached houses? Yes, you can get a detached house for under $800k in Toronto.
What about first and second time buyers looking at condos, townhouses and semi-detached houses? Well, those are a lot cheaper, in the 400K to 600K range (
source).
God knows houses are expensive in Toronto. But 5% rebate on the LTT (that's a whopping savings of $607.25 [fixed my figure] for a family rich enough to buy a typical detached house in Toronto), plus trying to meet Ford's ridiculous goal of a 1.75% raise in property taxes, will leave the city
$35 million in the hole. What services get slashed for that?
)
