Does every homebuyer have to pay land transfer tax?
March 15, 2021
Megan Jenner
Legal Moment
Legal Moment on FM96
Transcript
| [phone ringing] | |
| Receptionist: | Cohen Highley |
| Announcer: | And now the Cohen Highley Legal Moment on FM96. |
| Announcer: | I’m with Megan Jenner from Cohen Highley Lawyers. Does every homebuyer have to pay land transfer tax? |
| Megan Jenner | For first time homebuyers, there’s a rebate of up to $4,000 that you may qualify for. |
| Announcer: | How do you qualify? |
| Megan Jenner | There are a number of stipulations but to be considered a first time homebuyer. You cannot have owned a qualifying home anywhere in the world. There are also rules about spouses owning eligible homes to consider. |
| Announcer: | Does the $4,000 rebate cover all the land transfer tax? |
| Megan Jenner: | Land transfer tax is based on the purchase price of the property. The higher the price, the more tax. While calculating the tax is a bit complicated, the average home price in London, which is currently about $600,000, would incur land transfer tax of about eight and a half thousand dollars. So in that example, the land transfer tax rebate would cover almost half of the amount. |
| Announcer: | Thanks Megan. This has been the Cohen Highley Legal Moment. |
| [Music] | |
| Singers: | Cohen Highley, we’re listening. cohenhighley.com |
