Closing Costs For Burlington Homebuyers, Explained

Wondering how much cash you will need to close on a home in Burlington? You are not alone. Between taxes, legal work, lender requirements, and adjustments, the final number can surprise first-time and repeat buyers alike. This guide breaks down each common closing cost in Ontario, what you should expect in Burlington, and how to budget with real examples. Let’s dive in.

What closing costs cover in Burlington

Closing costs include government taxes, legal and title work, lender and appraisal fees, insurance, and prorated adjustments for things like property taxes and utilities. Most of these are due on closing day at your lawyer’s office. You pay your own buyer-side costs, while the seller covers their own.

Government taxes and rebates

Ontario buyers pay a provincial land transfer tax at closing. Burlington does not add a municipal land transfer tax. Provincial LTT rates are tiered:

• 0.5% on the first $55,000
• 1.0% on the portion over $55,000 up to $250,000
• 1.5% on the portion over $250,000 up to $400,000
• 2.0% on the portion over $400,000 up to $2,000,000
• 2.5% on the portion above $2,000,000

If you are a first-time homebuyer and meet eligibility rules, you may receive a rebate of up to $4,000 toward the provincial LTT. Your lawyer applies this at closing if you qualify.

To help you picture the numbers, here are rounded examples for typical Burlington price points:

• $600,000 purchase: Ontario LTT ≈ $8,475
• $900,000 purchase: Ontario LTT ≈ $14,475
• $1,200,000 purchase: Ontario LTT ≈ $20,475

These examples do not include any first-time buyer rebate.

Legal, title, and registration

You will hire a real estate lawyer to complete the purchase and register title. For a straightforward Ontario purchase, legal fees commonly range from about $700 to $1,800, plus disbursements. Disbursements cover items like title searches, land registration, courier, and certified funds, and often add several hundred dollars. HST may apply to legal services.

Title insurance is a one-time premium paid at closing. It protects against certain losses related to title fraud, unknown liens, or survey defects. Premiums vary by purchase price and coverage, often in the low hundreds for many residential purchases. Your lawyer can advise whether a new survey is needed or if title insurance is recommended.

If you are buying a condo, you or the seller will obtain a status certificate from the condo corporation. The fee typically ranges from about $100 to $300.

Mortgage-related costs

If your down payment is less than 20 percent, you will need mortgage default insurance through an approved insurer. The premium depends on your down payment and is usually added to the mortgage or paid at closing. This insurance protects the lender, not the borrower.

Your lender may require an appraisal, which commonly ranges from about $300 to $600 depending on the property. Some lenders charge application or processing fees, but those are less common. Expect registration fees for the mortgage and an interest adjustment to align your first payment date.

Inspections, surveys, and valuations

A standard home inspection for a detached home often costs $400 to $700, depending on size and scope. If you or your lender requests a new survey or certificate of location, costs vary widely, often $500 to $1,500 or more based on property characteristics. These are usually paid before or at closing.

HST on new builds

Resale homes in Ontario are generally exempt from HST. New homes from a builder are subject to HST at 13 percent in Ontario, and buyers may be eligible for a partial new housing rebate depending on price and use. If you are purchasing new construction, ask your lawyer, builder, or accountant to clarify how HST and any rebates apply to your contract.

Adjustments at closing

Your statement of adjustments prorates property taxes, condo fees if applicable, and utilities to the closing date. If the seller prepaid taxes or fees beyond the closing day, you will reimburse them for the period after closing. Depending on timing and local tax amounts, these adjustments can range from a few hundred to a few thousand dollars.

Insurance and other items

Lenders require proof of home insurance on closing. First-year premiums for many homes often range from about $700 to $2,000 or more, depending on property details and coverage. You may also see small items like utility hookup fees, moving deposits, or warranty plan adjustments.

How much to budget: real Burlington examples

Below are planning ranges for common price points in Burlington. These examples assume a resale freehold purchase, a conventional mortgage, and typical services. Your final statement will vary.

Example 1: $600,000 purchase

• Deposit already paid to seller example: $30,000 (not a closing cost)
• Ontario land transfer tax: ≈ $8,475
• Legal fees and disbursements: $1,000 to $1,700
• Title insurance: $200 to $500
• Home inspection: $400 to $700
• Appraisal if required: $300 to $500
• Adjustments for taxes and utilities: $500 to $2,000
• Home insurance first year: $800 to $1,200
• Miscellaneous moving and utility transfers: $200 to $600

Approximate extra cash at closing beyond deposit and mortgage funds: $11,875 to $15,675

Example 2: $900,000 purchase

• Ontario land transfer tax: ≈ $14,475
• Legal fees and disbursements: $1,000 to $1,900
• Title insurance: $300 to $700
• Home inspection: $400 to $800
• Appraisal if required: $300 to $600
• Adjustments for taxes and utilities: $500 to $3,000
• Home insurance first year: $900 to $1,500
• Miscellaneous: $300 to $800

Approximate extra cash at closing: $18,175 to $22,775

Example 3: $1,200,000 purchase

• Ontario land transfer tax: ≈ $20,475
• Legal fees and disbursements: $1,200 to $2,200
• Title insurance: $400 to $900
• Home inspection: $400 to $900
• Appraisal if required: $300 to $700
• Adjustments for taxes and utilities: $1,000 to $4,000
• Home insurance first year: $1,000 to $2,500
• Miscellaneous: $400 to $1,000

Approximate extra cash at closing: $25,175 to $32,675

Notes for all examples:

• If you have a high-ratio mortgage, include the mortgage insurance premium if it is not added to the mortgage.
• If you qualify for the first-time buyer LTT rebate, subtract up to $4,000 from the LTT line.
• For new-builds, include HST and any builder-specific adjustments.
• For condos, include the status certificate fee.

Closing day mechanics in Ontario

Most closing costs are paid through your lawyer. Your lender sends mortgage funds to your lawyer, who applies them to the purchase, pays the provincial land transfer tax, and registers the transfer and mortgage. You bring the remaining funds by certified cheque, bank draft, or wire.

Your lawyer or the seller’s lawyer prepares the statement of adjustments. It shows prorated property taxes, condo fees if applicable, utilities, HST if relevant, and any final credits or debits between you and the seller. Review it carefully and ask questions before you sign.

Expect your lawyer to confirm the exact amount you need to bring one to three business days before closing, sometimes earlier. Arrange your bank draft or wire in advance to avoid delays.

Smart budgeting tips for Burlington buyers

• Ask your lawyer for a written estimate that separates professional fees from disbursements, and confirms whether title insurance is recommended.
• Ask your lender about appraisal requirements, interest adjustments, and whether any fees will appear at closing.
• Keep a cushion for adjustments. Tax billing schedules for the City of Burlington and the Region of Halton can affect timing and amounts owed.
• Order a condo status certificate early if you are buying a condo. Timing matters for review.
• If using RRSP Home Buyers’ Plan funds, plan withdrawals so cash is available before closing.

Quick closing cost checklist

• Provincial land transfer tax
• Legal fees and disbursements
• Title insurance
• Mortgage-related items: appraisal, registration, interest adjustment
• Home inspection and any specialized inspections
• Survey or certificate of location if requested
• Adjustments for property taxes, utilities, and condo fees
• Home insurance first-year premium
• Miscellaneous: moving, utility hookups, deposits

Final thoughts

When you know what to expect, closing day feels calm and straightforward. By understanding provincial land transfer tax, typical legal and title costs, lender items, and adjustments, you can plan your cash needs with confidence. If you want a clear, customized estimate for your situation and property type, we can help you run the numbers and coordinate every step.

Questions about your Burlington purchase or budgeting your closing costs? Connect with the team at Robertson Kadwell for personalized guidance and a smooth, well-prepared closing.

FAQs

What closing costs should a Burlington first-time buyer expect?

• Expect provincial land transfer tax, legal and title costs, possible appraisal, inspection, insurance, and adjustments. If eligible, you may receive up to a $4,000 rebate on the provincial LTT.

Do Burlington buyers pay a municipal land transfer tax?

• No. Burlington buyers pay only the Ontario provincial land transfer tax. Toronto is the local exception with an additional municipal LTT.

How are property tax and utility adjustments calculated at closing?

• Your lawyer prorates the seller’s prepaid or outstanding amounts to the closing date. You reimburse the seller for the period after closing or receive a credit if amounts are owing.

Can I add closing costs to my mortgage in Ontario?

• Some items can be financed, such as a mortgage default insurance premium if applicable. Most fees like LTT, legal, and title insurance are paid in cash at closing.

How much cash beyond my deposit should I bring to closing?

• It depends on price point and timing. For many Burlington resale purchases, plan for a range similar to the examples here and confirm the exact total with your lawyer a few days before closing.

Are resale homes in Burlington subject to HST?

• Resale homes are generally exempt from HST. New homes from a builder are subject to HST, with possible rebates depending on price and use.