Beginning October 20, 2024, Alberta property owners will experience increased home purchase closing costs due to a +/- 250% increase in Alberta land transfer/mortgage registration fees.
The new fees will affect the transfer of land, registration of the resulting mortgage and some caveats.
Specifically, there will now be a $50 flat fee, along with a levy of $1 per every $1,000 of ‘property value’ (i.e. purchase price) for land transfer, PLUS a $50 flat fee, along with a levy of $1 per every $1,000 of ‘property mortgage value’ (i.e. mortgage amount) for mortgage registration.
This, in comparison to current Alberta land title fees which are a $50 flat fee, along with a levy of $0.40 per every $1,000 of ‘property value’ (i.e. purchase price) for land transfer, PLUS a $50 flat fee, along with a levy of $0.30 per every $1,000 of ‘property mortgage value’ (i.e. mortgage amount) for mortgage registration.
Taking a $750,000 home with a $650,000 mortgage (i.e. $100,000 down payment) into consideration, the respective home owner will now be faced with increased closing costs of $905 (i.e. $1,500 vs $595); a staggering 252% price hike.
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