About this calculator
Ontario charges land transfer tax on every purchase, in marginal bands: 0.5% on the first $55,000, 1% to $250,000, 1.5% to $400,000, 2% above that — and 2.5% on the portion above $2 million for homes with one or two single-family residences. On an $800,000 home the provincial bill is $12,475. Buy inside Toronto and the city charges the same tax again under the MLTT, with extra luxury tiers since April 2026 running to 8.6% above $20 million — another $12,475 on that same $800,000 home. Tick the Toronto box above to see both.
First-time buyers claw some of it back: Ontario refunds up to $4,000 of its tax (the tax on the first $368,000), and Toronto rebates up to $4,475 of the MLTT. Ontario is also one of the provinces that taxes the CMHC premium itself — 8% PST on the premium, payable in cash at closing, not added to your mortgage. On a $600,000 home bought with the $35,000 minimum down payment, the premium is $22,600 and the PST on it is another $1,808 in cash.
How to use it
- Enter the home price and down payment — if the down payment is under 20%, the CMHC premium is calculated and added to the mortgage automatically.
- Add the mortgage rate and amortization (25 years is standard; 30 is available to first-time buyers and new builds).
- Enter your estimated annual municipal property tax — it is shown monthly as part of the total payment.
- Tick "first-time home buyer" if it applies: provincial transfer-tax reliefs are then applied.
- Read the total monthly payment, the transfer tax due at closing, and the stress-test payment your lender must qualify you at.
The formula
Canadian mortgage rates are quoted as nominal rates compounded semi-annually ("j2"), not monthly like US rates. Converting the quoted rate to its true monthly equivalent is why a Canadian payment at 4.5% is slightly lower than the same rate run through a US calculator. The CMHC premium, when the down payment is under 20%, is added to the loan before the payment is calculated.
Worked example
An $800,000 Ontario home with $160,000 down: the $640,000 mortgage at 4.50% over 25 years costs $3,542.23 a month in principal and interest ($4,142.23 with $7,200 a year of property tax). Land transfer tax is $12,475 — or $24,950 in Toronto before first-time buyer refunds of up to $8,475 combined. With the minimum 5%-tier down payment on a $600,000 home instead, the CMHC premium of $22,600 lifts the mortgage to $587,600 and the payment to $3,252.21, plus $1,808 of PST on the premium at closing.
Frequently asked questions
How much is land transfer tax on an $800,000 home in Ontario?
Provincially: $275 (0.5% of $55,000) + $1,950 (1% of the next $195,000) + $2,250 (1.5% of the next $150,000) + $8,000 (2% of the remaining $400,000) = $12,475. In Toronto, add the MLTT on the same bands for another $12,475, so $24,950 in total. First-time buyers can claim up to $4,000 back from Ontario and $4,475 from Toronto.
What are Toronto's new MLTT luxury tiers?
From April 1, 2026, Toronto's tax on homes with one or two single-family residences keeps the familiar bands up to $2 million, then rises: 2.5% from $2–3 million, 4.4% to $4 million, 5.45% to $5 million, 6.5% to $10 million, 7.55% to $20 million and 8.6% above that. On a $4 million Toronto home the MLTT alone is $105,475 — the calculator includes all tiers.
Do I pay tax on the CMHC premium in Ontario?
Yes. Ontario charges 8% PST on mortgage default insurance premiums. The premium itself is added to your mortgage and paid off over time, but the PST must be paid in cash on closing day. On the maximum 90–95% LTV premium of 4.00% — $22,600 on a $565,000 loan — the PST is $1,808.
Who qualifies for the Ontario first-time buyer refund?
You must be 18 or older, a Canadian citizen or permanent resident, occupy the home as your principal residence within 9 months, and never have owned an eligible home anywhere in the world (a spouse who owned while you were spouses can also disqualify you). The refund caps at $4,000 provincially — homes at or under $368,000 effectively pay no Ontario LTT — and $4,475 for Toronto's tax. Claim within 18 months of registration.
What formula does this mortgage calculator — ontario calculator use?
Monthly rate j2 = (1 + annual rate ÷ 2)^(2/12) − 1; payment = loan × j2 ÷ (1 − (1 + j2)^−n) Canadian mortgage rates are quoted as nominal rates compounded semi-annually ("j2"), not monthly like US rates. Converting the quoted rate to its true monthly equivalent is why a Canadian payment at 4.5% is slightly lower than the same rate run through a US calculator. The CMHC premium, when the down payment is under 20%, is added to the loan before the payment is calculated. The worked example on this page applies the formula step by step with real numbers, so you can verify the result by hand.