First-Time Home Buyer Land Transfer Tax Rebates in Canada 2025

Get money back on land transfer taxes — potentially thousands of dollars.

Land transfer tax (LTT) is a significant closing cost for home buyers in most Canadian provinces. First-time buyers can get partial or full rebates in several provinces, saving thousands of dollars at closing. Here's a province-by-province breakdown.

What Is Land Transfer Tax?

Land transfer tax is a provincial tax levied when you purchase real property. It's calculated as a percentage of the home's purchase price using a tiered rate structure. In most provinces, it applies to all buyers — but first-time buyers can apply for a refund after closing.

Toronto is unique in also charging a municipal land transfer tax in addition to Ontario's provincial tax — making it one of the most expensive cities in Canada for closing costs.

Summary: First-Time Buyer LTT Rebates by Province

Province/City	Max Rebate	Eligible Price Cap
Ontario (provincial)	$4,000	Full rebate on homes up to ~$368,000; partial above
Toronto (municipal)	$4,475	Full rebate on homes up to ~$400,000; partial above
British Columbia	Full exemption on PTT	Homes up to $500,000 (fully exempt); $500K–$525K partial
Prince Edward Island	Full exemption	Must be primary residence; price limits apply
New Brunswick	Full exemption	Must be primary residence; qualifying conditions
Nova Scotia	No provincial rebate	N/A
Quebec	No provincial rebate	Some cities offer credits
Alberta	No LTT	Alberta has no land transfer tax
Saskatchewan	No LTT	Saskatchewan has no land transfer tax
Manitoba	Partial exemption	$0 LTT on first $150,000 of purchase price

Ontario First-Time Buyer LTT Rebate

Ontario's rebate covers the full provincial land transfer tax on the first $368,000 of the purchase price (up to $4,000). For more expensive homes, the rebate is capped at $4,000 and you pay the remaining tax above that.

How to claim: Apply through the Ontario Ministry of Finance at the time of registration through your lawyer. The rebate is applied directly at closing — you don't wait for a tax refund.

Toronto Municipal LTT Rebate

First-time buyers in Toronto also qualify for a rebate on the city's municipal land transfer tax. The maximum rebate is $4,475. Like the provincial rebate, it's applied at closing through your lawyer.

Combined Toronto savings: A first-time buyer in Toronto can get up to $8,475 in combined provincial + municipal LTT rebates — a significant closing cost reduction.

British Columbia Property Transfer Tax Exemption

BC's First-Time Home Buyers' Program provides a full exemption from the Property Transfer Tax (PTT) on homes priced up to $500,000, and a partial exemption for homes priced between $500,000 and $525,000. Conditions include:

Must be a Canadian citizen or permanent resident
Must have lived in BC for 12 consecutive months before purchase (or filed 2 income tax returns in BC)
Must never have owned property anywhere in the world
Must occupy the home as your principal residence within 92 days of registration

How to Claim Land Transfer Tax Rebates

In most provinces, the rebate is claimed through your real estate lawyer at closing. The process typically works like this:

Notify your lawyer that you're a first-time buyer before closing
Your lawyer prepares and submits the rebate application with the land transfer registration
The rebate is credited at closing, reducing the amount of LTT you owe
No waiting for a refund cheque — it's deducted from your closing costs directly

Alberta and Saskatchewan buyers: You have a significant advantage — neither province charges land transfer tax at all. Buyers in these provinces save thousands compared to Ontario or BC buyers on equivalent purchase prices.

Eligibility Requirements (General)

While specific rules vary by province, most first-time buyer LTT rebate programs require:

Canadian citizenship or permanent residency (most provinces)
Must be 18 years of age or older
Must not have previously owned a home (anywhere in Canada; some programs say anywhere in the world)
The property must be used as your principal residence
You must move in within a specified timeframe after closing

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