Say 'NO' to Municipal Land Transfer Tax

According to a recent Ipsos Reid poll and the C.D. Howe which was conducted for the Toronto Real Estate Board found that at least 77 per cent of 905 Residents who may be planning to purchase a home over the next couple of years don't want to pay the Toronto Land Transfer Tax so they would be purchasing in the 905 areas. It was determined that the Toronto Land Transfer Tax led to decreased home sales in Toronto and people chose to renovate instead of selling. As an example; the purchase of a $500,000 home would result in a cost of $12,000 just to change the name on title from the Seller to the Buyer. Municipalities need to abandon the idea of copying the Toronto Land Transfer Tax. Suburban households, families and seniors cannot afford an additional tax when they upsize or downsize. They need their equity and our economy needs interactive buying as a result of change of ownership ie. consumer spending, recreational spending and the ability to live comfortably. On average, the Toronto Tax resulted in a 16 per cent decrease in sales volume which relates to approx 3,500 less transactions per year.



Unfortunately, other Municipalities are reviewing the same Tax Structures however the decision rests in the hands of our Provincial Government to change the Municipal Act which would allow Municipalities to implement a Municipal Tax. Infrastructure problems should not target Buyers; we need fairness across the board to address an infrastructure deficit.



The letter pointed to a recent Ipsos Reid poll conducted for the Toronto Real Estate Board that found 77 per cent of 905 residents planning to buy a home in the next couple of years said they're more likely to purchase in the 905 (such as Mississauga) to avoid paying the tax. In Toronto, 74 per cent of residents looking to buy said they'd look to the 905.