This afternoon Finance Minister Charles Sousa announced an increase to the land transfer tax (LTT) rebate for first-time buyers from $2,000 to $4,000. The announcement came as part of Ontario’s Fall Economic Statement and was specifically to help first-time buyers enter the housing market. Buyers can start claiming the rebate effective January 1, 2017.
It’s a change we lobbied hard to achieve and you should all be proud of our accomplishment. There’s still more to be done. Other factors like a lack of housing supply are impacting prices and REALTORS® are working with government to address those issues.
But for the young couple entering the housing market, today’s announcement is good news. It’s also a testament to the strength of the REALTOR® voice at Queen’s Park.
At this time last year, Ontario REALTORS® were fighting to stop what would have been the largest tax increase on home ownership in a generation – the municipal land transfer tax. Today, we’ve helped usher in one of the largest tax breaks in a decade.
The Ontario Ministry of Municipal Affairs and Housing has indicated that they are going to make buying a home even harder by giving every municipality province-wide the power to charge a Municipal Land Transfer Tax, a change that will double the land transfer taxes consumers have to pay on their next home. The Ontario Real Estate Association encourages all Ontarians to visit www.donttaxmydream.cato learn more about the negative impact of the Municipal Land Transfer Tax and stop this tax from spreading province-wide.
“If the municipal land transfer tax were to spread to Cambridge and North Dumfries and charged at a similar rate as Toronto, homebuyers would be forced to pay an additional $ 2,940.00 on the average priced home of $321,549.00 using 2014 statistics. It would also most double what they already pay in land transfer tax. Our buyers are already stretched - they can’t take another tax burden like the Municipal Land Transfer Tax.
Buying and Selling Residential, Condominium and Investment real estate in the Waterloo Region since 2008. Oh, and also Ottawa! :-D