ALBERTA BUDGET – LAND TITLE FEE INCREASE

A new budget for Alberta was announced on March 26, 2015. Effective July 1, 2015, land title fees will be increased.

Land Title Fee Increases

• The flat fee for mortgages, transfers and leasehold titles will increase by $25.

• The variable fee for mortgages, transfer and leasehold titles increases with the value of a property or mortgage. The fee will increase from $1 to $6 for every $5,000 in value.

• These fees are only paid when acquiring a new property and new mortgage.

How will the increased fees impact the closing costs of typical real estate transactions? Here are some examples:

1. Purchase Price $400,000.00 Mortgage amount $375,000.00
Current Land Titles fees: $255.00
New Land Titles Fees $1,080.00

2. Purchase Price $500,000.00 Mortgage Amount $475,000.00

Current Land Titles fees: $295.00
New Land Titles Fees $1,320.00

3. Purchase Price $600,000.00 Mortgage Amount $575,000.00
Current Land Titles Fees $335.00
New Land Titles Fees $1,560.00

Budget: Dramatic fee hikes coming to real estate market

While registration fee hikes bring Alberta much closer to the national average, it’s still well below what homebuyers pay in provinces with land transfer taxes. That same $500,000 property would come with an $8,000 transfer tax in Vancouver, $7,500 in Halifax, and $12,200 in Toronto, according to ratehub.ca, a financial comparison website.

Please contact us at (403) 288-0009 if you have any questions about land title fees.

Peter Robinson (56 Posts)

Peter G. Robinson is an accomplished and skilled general practice lawyer in Calgary, Alberta. Over his 20 year career, Peter has carved out his niche in Residential Real Estate, Wills & Estate Planning, and Probate Applications.

Uniquely available to his clients, Peter is a calm and patient communicator who easily puts his clients at ease with straight-forward explanations of legal concepts. Blogging is his latest venture to cultivate awareness of NW Calgary Law, a law firm where he is the hands-on leader of an enthusiastic team dedicated to prompt and efficient service.

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The content contained in these blogs is intended to provide information about the subject matter and is not intended as legal advice.

If you would like further information or advice on any of the subjects discussed in this blog post, please contact the author at NW Calgary Law at 403.265.3010 or probinson@nwcalgarylaw.com.


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