The cost of buying property in Canada: taxes & fees
Buying property in Canada involves several costs and taxes that potential buyers must consider. Understanding these expenses can help you budget effectively for your investment.
This guide outlines the one-off purchase costs, ongoing ownership costs, and mortgage considerations for non-residents seeking property in Canada. Please consult official sources and a qualified local lawyer or accountant for specific advice.
One-off Purchase Costs
When purchasing property in Canada, you should expect to pay several one-off costs on top of the asking price. These typically include transfer taxes, legal fees, and notary charges, among others.
The total one-off costs can generally range from 1.5% to 4% of the property's purchase price.
- Transfer tax or equivalent: Varies by province
- Notary or registry fees: Typically between CAD 500 and CAD 1500
- Legal/conveyancing fees: Usually 1% to 2% of the property price
Worked Example
For a median property price of approximately 1,110,000 EUR (around CAD 1,600,000), you might estimate one-off costs as follows:
If we assume a total one-off cost percentage of around 3%, you could expect to pay about CAD 48,000 in addition to the purchase price.
Recurring Costs of Ownership
Once you have purchased property in Canada, you will have ongoing costs to factor in. This includes annual property taxes, which vary significantly by location, as well as community or condominium fees, if applicable.
Utilities and insurance are also important regular expenses to consider.
- Annual property tax: Generally 0.5% to 1.5% of property value
- Community/Condo fees: Varies widely based on property type
- Utilities: Depends on usage and property size
- Insurance: Generally CAD 800 to CAD 1800 per year
Mortgage Costs for Non-residents
If you are a non-resident looking to finance a property in Canada, be aware that mortgage options may be more limited. Most lenders require a larger down payment and may charge higher interest rates for non-residents.
It's crucial to shop around for the best mortgage terms and consult with a qualified mortgage broker.
Overall Budgeting Considerations
In total, when budgeting for your property purchase in Canada, consider setting aside approximately 5% to 8% of the purchase price for one-off costs and another 1.5% to 3% annually for recurring costs.
Adjust these estimates based on the local market and specific property circumstances.
Frequently asked questions
What additional costs should I expect when buying property in Canada?
Along with the property price, you should budget for transfer taxes, notary fees, legal fees, and possible inspection costs.
How much are property taxes in Canada?
Annual property taxes typically range from 0.5% to 1.5% of the property's assessed value, depending on the location.
Can non-residents get mortgages in Canada?
Yes, non-residents can secure mortgages, but expect higher down payments and interest rates compared to residents.
What are community or condo fees?
These are fees paid to maintain shared areas and amenities in a property, and they vary widely based on the property type and location.
How can I get accurate information about property taxes?
It's best to check with local government resources or consult a qualified local accountant for the most current property tax rates.
This guide is general information, not legal, tax or immigration advice. Rules change — verify the current position with official sources and a qualified professional before acting. Last reviewed July 2026.