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Email: info@teambloch.com

Costs To Consider When Purchasing A Home

While additional costs vary with each home purchase, they generally average about 1.5% to 4% of a home's selling price. Here are some potential closing costs to consider:



Land Transfer Tax

The Government of Ontario levies a Land Transfer Tax (PLTT) on home purchases that must be paid at closing. If you are buying a home within Toronto city limits, you will also pay a Municipal Land Transfer Tax (TLTT). The amount of tax paid is based on a percentage of the purchase price. To calculate the total LTT payable on a home purchase, use our Land Transfer Tax Calculator. 

Legal Fees

Professional representation protects your interests in the purchase of property. Fees and disbursements may vary based on a transaction's complexity. Lawyer fees typically run between $1000 to $1500, plus HST.

Title Insurance

It is possible that a former owner, the local municipality, neighbours or a utility company have an interest in your land without you realizing it. Title Insurance is available to protect against such issues. The cost for Title Insurance can be up to $500.

Mortgage Insurance

A home purchase where the down payment is less than 20% of the purchase price, is typically considered a high-ratio mortgage and may need to be insured to protect the lender in case of default by the borrower. The amount will vary based on how much you are borrowing / the percentage of your down payment.

Land Survey

Your lending instituion may request an updated Land Survey if one is not currently available. A Land Survey can cost up to $1000, plus HST.

Property Insurance

Mortgage lenders require you to have property insurance in place when you take possession of your new home. Insurance premiums vary depending on the value of the property, its location, and the contents in the home.

Appraisal Fee

Your lending istitution may request an appraisal of the proeprty, which can cost up to $300.

Home Inspection

A home's clean bill of health from a qualified home inspector can provide a great deal of comfort. Well worth the $250-$500.

Moving Costs

Moving costs depend on how much you are able to do on your own, and the distance involved in the move. Prices may be higher at the end of the month, or during the summer. Most moving companies will provide you with a quote, per the hour.

Utility Service Charges

Items like your Hydro, Gas, Cable/Internet may be subject to a service fee when changing addresses. The charge is determined by the service provider, so make sure you put aside a few hunderd dollars for these incidentals.