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Embarking on the exciting journey of homeownership in Ontario is a thrilling adventure, but it comes with its fair share of financial considerations. As your trusted partners in the mortgage world, Dominion Lending Centres understands the importance of clarity and transparency when it comes to your investment. In this blog, we’ll dive into the intricacies of understanding closing costs and additional expenses associated with your mortgage in Ontario, Canada.

Closing Costs Demystified:

Closing costs are the often-overlooked expenses that can catch homebuyers off guard if not accounted for properly. These costs are incurred during the final stages of the homebuying process and cover a range of essential services and fees.

  1. Land Transfer Tax (LTT):
    • Ontario levies a land transfer tax on the purchase of real estate. The amount varies based on the property’s value, and first-time homebuyers may be eligible for a rebate.
  2. Legal Fees:
    • Hiring a lawyer or notary is crucial to ensure a smooth closing process. Legal fees encompass the cost of document preparation, title searches, and other legal aspects of the transaction.
  3. Title Insurance:
    • Title insurance protects against any unforeseen issues with the property’s title. While it is optional, it provides added security in case of property ownership disputes or title defects.
  4. Home Inspection:
    • While not technically a closing cost, a home inspection is a recommended expense. Identifying potential issues before closing can save you from future headaches and unexpected repair costs.
  5. Appraisal Fees:
    • Lenders often require a professional appraisal to assess the property’s value. This cost is typically the responsibility of the homebuyer.

Additional Expenses to Consider:

Beyond closing costs, there are ongoing and occasional expenses that homeowners should factor into their budget:

  1. Property Taxes:
    • Property taxes contribute to local infrastructure and services. In Ontario, property taxes are payable annually or semi-annually, depending on your municipality.
  2. Home Insurance:
    • Securing home insurance is a non-negotiable step in the homebuying process. It protects your investment and provides coverage in case of unforeseen events such as fire, theft, or natural disasters.
  3. Utilities and Maintenance:
    • Monthly utility bills, including water, electricity, and gas, add to the overall cost of homeownership. Additionally, setting aside funds for regular maintenance is essential to keep your property in top condition.
  4. Condo Fees (if applicable):
    • For condominium owners, monthly condo fees cover shared expenses like maintenance, security, and amenities. It’s crucial to factor these fees into your budget.


Understanding the full scope of closing costs and additional expenses associated with your mortgage is a vital step in achieving financial peace of mind during your homeownership journey in Ontario, Canada. At Dominion Lending Centres, we’re committed to guiding you through every aspect of the mortgage process, ensuring that you make informed decisions that align with your financial goals. With transparency and knowledge at the forefront, you can confidently step into the exciting world of homeownership in Ontario.