Buy a $900,000 home in Toronto with 10% down and the cash due at closing is $124,809: the $90,000 deposit plus $34,809 in closing costs. Land transfer tax alone is $28,950 of that, so plan on close to 4% of the price on top of your down payment.
What are you actually paying for?
Closing costs are the one-time bills that land when ownership changes hands. They sit apart from the deposit and apart from the monthly mortgage. The calculator sorts them into three piles: land transfer tax or registration fees, sales tax on mortgage insurance, and four fees you can overwrite (lawyer, title cover, inspector and adjustments).
Adjustments are the small credits and debits between you and the seller, like prepaid property tax or utilities. Your lawyer fixes the true amount when the closing statement is drawn up, so treat the default as a rough guess.
| Line | Default amount | Who sets it |
|---|---|---|
| Land transfer tax, Toronto, $900,000 | $28,950 | Province and city scales |
| Sales tax on the CMHC premium | $2,009 | Province, on the premium |
| Legal fees and disbursements | $2,000 | Your lawyer |
| Title insurance | $350 | Insurer |
| Home inspection | $500 | Inspector |
| Adjustments and other | $1,000 | Closing statement |
What does the default Toronto purchase cost?
The setup is a $900,000 price, Toronto, $90,000 down, 25 years to repay and no first-home status. The four editable fees add up to $3,850. Land transfer tax is $28,950, because Toronto charges its own tax on top of Ontario’s. With only 10% down the loan is insured, and Ontario taxes the premium, which adds $2,009.
That’s $34,809 in all, or 3.87% of the price. Add the deposit and $124,809 has to be sitting in your account.
Now tick the first-home box and raise the down payment to $200,000. Transfer tax falls to $20,475, and the insurance tax vanishes, because a down payment above 20% needs no mortgage insurance. Costs drop to $24,325, or 2.70% of the price. Move the same $900,000 home to Alberta with $90,000 down and you’d pay $1,710 in registration fees and $5,560 in total.
Why do closing costs weigh more on cheaper homes?
The four editable fees don’t scale with the price. Your lawyer won’t charge much more for a $900,000 file than a $400,000 one. The $3,850 total is about 0.4% of a $900,000 price but close to 1% of a $400,000 one. Transfer tax does grow with the price, yet the flat fees are the part first-time buyers in smaller markets tend to underestimate.
Where do buyers get caught out?
The usual miss is the tax on the insurance premium. Another is choosing 30 years to repay out of habit. That option is only open to first-time buyers and new builds on insured mortgages, so check you qualify before you count on the lower payment.
Some things aren’t in the total at all: moving costs, new furniture, utility hookups, a home warranty, broker or lender fees, and the appraisal fee some lenders charge. Lawyers price files differently, so get a written quote.
Transfer tax rules for some small cities aren’t modelled. The Toronto scale, for one, fits a house or duplex only, and other building types are not covered.
How much cash should you have ready?
Work from the calculator’s total and then add a cushion. On the default purchase that’s the $124,809 above, plus whatever you want left in the bank after the keys change hands. Sam in Hamilton, buying his first place, might sensibly keep a few thousand loonies’ worth of breathing room for the first repair that shows up in month two. Ask your lawyer when the funds are due, since the statement settles the exact figure.
What else should you run before you offer?
To see how the tax works out in other places, use the land transfer tax calculator. Need to size the deposit? Try the down payment calculator. For the monthly cost after you close, use the mortgage calculator. Selling first? The home sale proceeds calculator tells you how much cash the old place will free up.
Where the numbers come from
Transfer tax scales come from provincial and city government pages, reviewed on 2026-09-29. Mortgage insurance tiers come from the CMHC premium table: 2.80%, 3.10% and 4.00% at 85%, 90% and 95% loan-to-value. The four fees are planning figures you can overwrite. This website has no connection with any government body, and your lawyer’s statement is the only final answer.
About this calculator
- What it does
- Estimate the cash you need at closing: land transfer tax, CMHC sales tax, legal fees and more.
- Category
- Real Estate
- Last checked
- September 30, 2026
- Result type
- Estimate for information only, not tax advice.
Frequently asked questions
What do closing costs come to on a typical purchase?
Our default $900,000 Toronto purchase comes to $34,809, or 3.87% of the price. Outside Ontario the share can be far lower, and the Alberta example is 0.62%.
Do closing costs come out of my deposit?
No, they're on top of it. In the default case you need $90,000 down plus $34,809 in costs.
Do first-time buyers get a break?
Often, yes. Ontario and Toronto both refund part of their land transfer tax to first-time buyers, which takes thousands off the bill.
Why is there sales tax on mortgage insurance?
Some provinces, Ontario among them, tax the premium. The calculator shows that tax as a closing cost.
How can I lower my closing costs?
Put down more than 20% and the insurance premium and its tax disappear. Getting a few lawyer quotes helps too.
Sources and updates
Updated: . How we check rates · Editorial team · Updates