Buying Your First Home? New Ontario Land Transfer Tax Rebate Puts Money in Your Pocket
December 14th, 2007 Categories: First Time Buyers, Oakville Real Estate News, Real Estate News
Today I went to visit a young couple in their new home. They were very happy to have their very own home after renting for years.
So I was glad to read the good news today that first time buyers in Ontario will find it just a little bit easier to get into the market.
Effective today, the Ontario government is giving all first-time home buyers a break on land transfer tax by expanding the Land Transfer Tax Refund Program to include purchases of resale homes.
Ontario Finance Minister Dwight Duncan announced that first-time buyers of resale homes, as well as newly constructed homes, would be eligible for a refund from the provincial government of up to $2,000 of the Land Transfer Tax paid.
The expanded Land Transfer Tax Refund Program for First-time Home buyers is part of a package of new tax initiatives that are expected to provide $1.4 billion in provincial tax relief for business and people over three years.
“The government is making strategic investments in people, communities and infrastructure to strengthen Ontario’s economic advantage and help manufacturers and other sectors challenged by current economic conditions” said the press release issued yesterday.
If you are a first-time home buyer in Oakville, Burlington, Mississauga, Milton, Etobicoke or Georgetown, call Hilary to guide you through the process.
Note, I’ve been getting inquiries requesting more details about this rebate so here are the practicalities:
- Enter into the Agreement of Purchase and Sale after December 13, 2007 (December 14th or later). The date that you entered into the Agreement of Purchase and Sale is considered to be the date at the top of page 1 of the Agreement, NOT the date that all the conditions were fulfilled.
- The rebate hasn’t passed through legislation yet, it’s just a proposal – Passing through legislation takes 1-6 months usually – However, an affidavit is going to be released Friday Dec 14th or Monday December 17th to allow purchasers to apply for the refund, so the likelihood of approval through legislation is pretty good.
- You are allowed up to 18 months from closing to apply for the refund.
- You have to pay the LTT on closing and then apply for the refund thereafter.
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This entry was posted on Friday, December 14th, 2007 at 8:29 pm and is filed under First Time Buyers, Oakville Real Estate News, Real Estate News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
Invaluable information on the new Ontario Land Transfer Tax Refund Program- you are a great resource for Ontario buyers!
The Ontario Ministry of Revenue provides more information on this topic. See http://www.rev.gov.on.ca/english/refund/newhome/
Hi Chris, thanks for pointing out the link.
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