2026 Land Transfer Tax (LTT) Guide: Provincial Rates, Rebates & First-Time Buyer Savings
Ontario, British Columbia, Quebec, Manitoba, and PEI all charge LTT; Alberta and Saskatchewan do not — your province of purchase determines your tax obligation.
Toronto homebuyers pay both Ontario's provincial LTT and the City of Toronto's Municipal Land Transfer Tax (MLTT), which can add up to $18,000+ on a $1M purchase.
First-time buyers in Ontario can claim rebates of up to $4,000 (provincial) and $4,475 (Toronto MLTT), while BC first-time buyers may qualify for a full Property Transfer Tax (PTT) exemption on homes up to $500,000, with a partial exemption up to $525,000.
Alberta and Saskatchewan have no provincial land transfer tax, making them significantly cheaper at closing compared to Ontario or BC.
Expert Research FAQ
FAQ: How does the Loan-to-Value (LTV) ratio affect my mortgage?
Your loan-to-value (LTV) is how much you're borrowing compared to the home's value.
The home's value needs to be based on a fair, realistic assessment, not wishful thinking.
Consider things that could affect your home's value when figuring out your LTV.
There are limits on how high your LTV can be, depending on the type of mortgage you get.
Your LTV is re-calculated if you refinance your mortgage or your risk changes.
FAQ: What are the rules for my down payment?
We need to confirm your down payment is from your own savings or resources.
If someone gifts you your down payment, we need a letter confirming it's a gift, not a loan.
Using borrowed money for your down payment increases the risk, so we'll need to assess that carefully.
Generally, 'cash back' incentives can't be used as part of your down payment.
However, rebates can be used for your down payment if you're in an affordable housing program funded by the government.
FAQ: How does mortgage insurance work, and is it required?
Mortgage insurance protects your lender if you can't make your payments.
It doesn't replace the need for the lender to check your credit and ability to repay your mortgage.
Your lender can get mortgage insurance from the government or private companies.
Lenders need to make sure the mortgage insurance company is financially stable and pays claims.
Your lender must follow the mortgage insurer's rules to keep the insurance valid.
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