Greater Montreal · Welcome Tax Guide

Montreal Suburbs Welcome Tax Comparison 2025

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Compare welcome tax across Greater Montreal — suburbs vs. City of Montreal. Calculate how much you save buying in Laval, Terrebonne, Boucherville, or other off-island communities.

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Why the Welcome Tax Matters When Choosing Where to Buy

The welcome tax (droits de mutation) is one of the largest upfront costs when purchasing a home in Quebec. While the base formula is the same across the province, the City of Montreal adds a surtax that can add thousands of dollars to the bill for properties over $500,000.

The simple rule: If you buy within the City of Montreal's administrative boundaries, you pay the standard Quebec formula PLUS the Montreal surtax. If you buy anywhere else in Greater Montreal — Laval, Longueuil, Boucherville, Terrebonne, Blainville — you pay only the standard formula.

Standard Quebec Welcome Tax Brackets (All Municipalities Including Suburbs)

Portion of Purchase PriceRate
First $52,80000.5%
$52,8001 – $264,0001.00%
$264,001 – $528,0001.5%
Over $528,0002.00%

Montreal City Surtax (City of Montreal Only): An additional bracket applies on amounts over $500,000 within the City of Montreal — effectively adding 00.5% on the portion between $500,001 and $1,000,000 and 1% above that (rates may be updated — verify with the Ville de Montréal).

Welcome Tax Comparison: Suburbs vs. City of Montreal

Purchase PriceSuburbs (Standard QC)City of MontrealSuburb Savings
$400,000$4,514$4,514$00
$500,000$6,389$6,389$00
$600,000$8,0064$8,564$500
$700,000$100,0064$11,314$1,2500
$800,000$12,0064$14,0064$2,000
$1,000,000$16,0064$19,0064$3,000
$1,200,000$200,0064$24,0064$4,000

Which Montreal Suburbs Avoid the Surtax?

Every municipality outside the City of Montreal's administrative boundaries avoids the surtax. This includes all of the following popular Greater Montreal communities:

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The Total Cost Advantage of Buying Off-Island

The welcome tax savings from buying in a suburb vs. the City of Montreal is only part of the financial picture. Off-island buyers typically also benefit from:

Frequently Asked Questions

Is there any suburb of Montreal that charges the Montreal surtax?

No. The Montreal surtax is imposed only by the City of Montreal and only applies within the City of Montreal's administrative territory. No suburb — not even those that are part of the Montreal agglomeration like Côte-Saint-Luc or Mont-Royal — applies the same surtax rate. (Some agglomeration cities may have their own rates — verify with the specific municipality.)

When does the welcome tax savings start to be significant?

The savings begin to appear for properties priced above approximately $500,000–$528,000. Below that threshold, the standard QC formula and Montreal surtax formula produce identical results. Above $600,000, the savings grow meaningfully.

Does lower property price in suburbs completely offset higher commuting costs?

This depends heavily on your commuting situation. For transit users on lines with good service (Deux-Montagnes, Saint-Jérôme, REM), the math often works. For car-only commuters from farther suburbs, commuting costs (fuel, car wear, time) are a real factor to weigh against housing savings.

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Welcome tax calculations are estimates based on the standard Quebec formula. Verify exact amounts with a Quebec notary or the relevant municipality. © 2025 Bremo.io