If you own a house in Toronto and it no longer fits your family, moving has a cost that buys you nothing: land transfer tax, paid twice inside the city. Buy a $1.5 million house in the city and Ontario’s tax is $26,475. The City of Toronto’s municipal tax is the same again, so $52,950 in land transfer tax is due on closing before you’ve unpacked a box. Add the commission and legal fees on the house you sell, plus the move itself. That’s why many Toronto families price out a renovation first. Sometimes moving still wins; this guide shows how to tell.
How much land transfer tax you’d pay in Toronto
Tax examples in Canadian dollars.
Ontario’s tax and Toronto’s municipal tax use the same rates up to $3 million (0.5% to 2.5% in steps), so inside the city the total is double the provincial amount.
Land transfer tax only; processing and other closing fees are separate.
| Purchase price (one single-family house) | Ontario LTT | Toronto MLTT | Combined land transfer tax |
|---|---|---|---|
| $800,000 | $12,475 | $12,475 | $24,950 |
| $1,000,000 | $16,475 | $16,475 | $32,950 |
| $1,200,000 | $20,475 | $20,475 | $40,950 |
| $1,500,000 | $26,475 | $26,475 | $52,950 |
| $1,800,000 | $32,475 | $32,475 | $64,950 |
| $2,000,000 | $36,475 | $36,475 | $72,950 |
Calculated from the Government of Ontario land transfer tax rates and the City of Toronto MLTT rates (in effect April 1, 2026). Examples assume a single-family house, no first-time buyer refund and no non-resident speculation taxes. Toronto also charges an MLTT administration fee of $102.56 plus HST, separately from these tax totals. Not tax advice; your lawyer confirms the exact amount.
Three things that change the number:
- Outside the City of Toronto (Vaughan, Mississauga, Markham and the rest of the GTA), the municipal tax doesn’t apply. You pay the provincial tax only, so the totals above roughly halve. Your lawyer confirms the amount on closing.
- First-time buyer refunds (up to $4,000 from Ontario) don’t apply if you’ve ever owned a home anywhere in the world. Most people moving up have.
- Above $3 million, Toronto’s municipal rates step up sharply (4.4% and higher), so the gap grows quickly.
The other costs of moving
The tax is the only number set by law, but it isn’t the only one:
- Selling your current house: agent commission and legal fees. Ask your agent and lawyer for quotes; both vary.
- Buying: legal fees, a home inspection, title insurance and adjustments on closing.
- The move itself, plus whatever the new house needs. An older house you buy can come with the same renovation list you were trying to escape.
What the same money does in a renovation
Land transfer tax leaves your bank account and buys nothing you can live in. Renovation money turns into rooms you use every day. To give a sense of scale, here are published 2026 Toronto market ranges. All prices are in Canadian dollars, before HST unless stated:
- $52,950 is within the typical range of a complete kitchen renovation that keeps the layout (about $40,000–75,000).
- It’s also one to three full bathroom renovations (about $15,000–40,000 each).
- A whole-home update starts from about $100 per renovated sq ft for finish-led work. Layout changes and structural work cost more.
These are market ranges, not quotes. The number for your house depends on its size, what’s behind the walls and how much of the layout changes.
When moving is the right call
Renovating isn’t always the answer. Moving usually wins when:
- The location is the problem: a school catchment, a commute, being closer to family.
- The lot can’t give you what you need. The space you want can’t fit within zoning (setbacks, height, lot coverage), or the work would cost more than the house can carry.
- You’d be renovating almost everything and would rather not live through it.
When staying usually wins
- You like the street and the house has good bones, but the layout, the number of bedrooms or the basement doesn’t work.
- The lot can grow. Toronto now permits four-unit multiplexes city-wide, six units in Toronto & East York and Ward 23, and garden suites on most residential lots. That can mean a suite for your parents or rent that helps carry the house, without moving. The property must still meet zoning rules and permit requirements; these permissions do not establish that every lot can accommodate the extra units.
- The money you’d spend on moving can do visible work in a home you already own.
How to compare the two properly
- Price the move: the land transfer tax from the table above, plus quotes for commission, legal fees and the move.
- Price the renovation: a site visit and a fixed, itemized quote for the house you’d have, not a ballpark.
- Check the lot: what your zoning allows (an addition, a garden suite, extra units) before you assume the house can’t grow.
- Check the old-house basics: wiring, insulation and the water service pipe. They affect both the renovation budget and what a buyer would pay.
- Compare the house you’d end up with, not just the totals.
See the renovated house before you decide
Start with our free estimate visit and free 3D design to see what your house could become. Once the scope and selections are confirmed, a fixed, itemized quote gives you a number to put next to the cost of moving. We’ve renovated GTA homes for 25 years, with our own designers and trades. Yan, our owner, answers calls and WhatsApp himself. Call 905-889-0025 or message Yan on WhatsApp.
Start with full-home renovation in Toronto, read our full-home renovation planning guide, or see how long a full-home renovation takes.
Quick answers
How much is land transfer tax on a $1.5 million house in Toronto?
$52,950 in total: $26,475 provincial and $26,475 municipal, for a single-family house with no first-time buyer refund.
Do you pay double land transfer tax in Toronto?
Yes. Homes in the City of Toronto pay both the Ontario tax and the Toronto municipal tax. Up to $3 million, the two use the same rates.
Is it cheaper to renovate or move in Toronto?
It depends on what you need. Moving costs tens of thousands of dollars before any improvement, but renovating can’t change your location or a lot that can’t grow. Price both with real numbers: tax and fees for moving, an itemized quote for the renovation.
Sources (checked October 6, 2026): Ontario: calculating land transfer tax; Ontario: first-time homebuyer refunds; City of Toronto: MLTT rates; City of Toronto: Multiplex housing; City of Toronto: Garden suites. Market renovation ranges: kitchen renovation costs, bathroom renovation costs, and full-home renovation costs.
