Buying Tips

5 Often Forgotten Fees When Purchasing a Home

By September 21, 2020 No Comments

Buying a property is typically the largest purchase an individual will make in their lifetime. Although it is an exciting time, it can also be a stressful process when you don’t feel properly informed. We’re here to make your experience as enjoyable as possible, and that includes providing valuable information that is often overlooked when purchasing a home. By understanding these additional costs, you will be able to better-situate yourself financially, thereby helping you feel more comfortable and confident in your purchasing decisions.

The more you know, the more confident you feel in your purchasing decisions. Our goal is to ensure you feel secure in your ability to make an informed decision, and that you feel prepared to take on this exciting new chapter in your life!


Property/Land Transfer Tax*

When purchasing a home, the buyer is required to pay to register the title of the property under their name prior to the official closing date. This cost will vary based on the purchase value of the home. When purchasing a home in Ontario, buyers must pay a municipal and provincial land transfer tax. However, there is a rebate available for first-time homebuyers in Ontario to help offset some of these costs.*

*Please call Emily Schuurmans to find out whether you qualify for this rebate, and where to seek additional information.      



There are several types of insurance to consider when purchasing a home. Each type of insurance provides a different type of protection for you and your home. Although extenuating circumstances, such as a home fire, are usually the first thing that comes to mind when thinking about insurance, there are other types of insurance that may surprise a first-time home buyer. For example, title insurance, life insurance, and mortgage insurance are all important costs to consider when purchasing a property. If these types are not included in someone’s assessment of costs, they can add a surprising amount onto the overall cost of the home that they buyer was not anticipating.


Home Inspection

As a buyer, it is important to take due diligence a priority regarding the home’s structural, mechanical, and aesthetic integrity. It is recommended to use a professional home inspector to ensure major systems and components of the house including, but not limited to, electrical, plumbing, and HVAC systems, foundation, and roof, are up to the regional building code standards.


New Build GST/HST

Typically when purchasing a new build home, you will have to pay either GST or HST. However, some builders will include this cost in their sale price. Make sure to check whether this is the case, otherwise you will have to pay this fee upfront on closing day.


Legal Fees

You must pay legal fees on the closing date of the property. These fees will vary based on the purchase price of the home as well as the lawyer/notary used. The lawyer will conduct a title search, and register the title of the property. This step is vital in purchasing a home as it ensures that there is no legal claim over the property by another entity that could conflict with your purchasing of the home.



Government of Canada. (2020). Buying a Home. Retrieved from             agency/services/buying-home.html#toc3


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