19 Jul 2012
The True Cost of Buying a Home in Toronto
Over a year later I’m finally able to calculate the true cost of purchasing my house in Toronto. Why did it take so long? By the time all the paperwork was done, laywer stuff complete, and the city finally sent me transfer papers for the front pad parking, it was 14 months after the closing date.
So without further delay, here is the break down:
Purchase Price: $520,000
Mortgage Insurance : $9,300
Land Transfer Tax (Ontario and Toronto): $13,000
Lawyer Fees: $1,516.68
Account Set Up (Internet): $20.00
Account Set Up (Gas): $25.00
Account Set Up (Toronto Hydro): $30.00
Front Pad Parking Transfer: $117.80
Bank Fees (For deposit checks): $13.00
These costs are what is usually bundled into what people call “closing fees”. This is because they are all due on or around the date you legally own the property (closing date). Experts say you should budget 1-2% of the purchase price towards these fees.
So on a $520,000 home, I had to pay an extra $24,022.48. Some things to keep in mind when you buy real estate in Toronto.