The following is an estimate of the costs involved in purchasing a home in Ottawa, Ontario and the normal operation of a home in Ontario. Costs vary from one area of the province to another so these figures should be used only as a guide.
Printable Version: Home Buyer Costs in Ottawa
A home inspection is strongly recommended for most residential properties in Ottawa and will usually be a condition of the offer. Zena Taller (Sales Representative), your RE/MAX Hallmark REALTOR® can assist you in choosing your home inspector. This ranges from $350 -$500 depending on the size and value of the property.
When you apply for a mortgage in Ottawa, the lender will want to see an appraisal on the property to ensure that the price you are paying falls within the accepted range of value for that type of property and that area of the city. The fee for this is usually between $250 to $350.
Title insurance provides insurance against the future costs of remedying most problems with the title on your property. Ask Zena Taller (Sales Representative), your RE/MAX Hallmark REALTOR® to explain the benefits and cost of this service. In general, a land survey is no longer required in the Province of Ontario as it has been replaced by Title Insurance (which is accepted by most financial institutions in Ottawa).
Land Transfer Tax
Payable by the Buyer on closing, the tax is based on the purchase price.
Home Operating Costs
Property owners in Ottawa have the option of paying their property taxes in installments over the course of the calendar year. Mortgage companies may insist that they pay the property tax and collect it with your monthly mortgage payment. Property taxes range from $1,500 to $30,000 a year depending on the size and location of the property. Taxes are reassessed on an ongoing basis.
Home heating will usually be provided by natural gas, oil or electricity. Costs vary depending on the type of fuel, size of home, amount of insulation, exposure and usage.
Costs vary greatly depending on usage, for example how many people you have in the home, the size of your home,
and how many energy efficient cost measures you have undertaken (such as Energy Saver appliances). Usually billing is every second month, or you can go on equal billing and pay monthly.
Insurance is essential for all homeowners and is required by your mortgage company before it will release funds to close the deal. Premiums are based on the replacement cost of the building and start at around $350 to $700 per year.
Water & Waste Management
Most properties in Ottawa, Ontario are now on water meters and are billed according to usage. As of November 1st 2008, you water bill will also include a fee for waste management. Your waste management fee will pay for garbage, recycling, green bin, litter prevention, landfill management and other diversion programs. These utility bills will be sent about three times a year.