#WednesdaysatHomeLove – Homes Not Hurdles

“…members of Hamilton City Council will hear a staff reporton additional revenue tools, including a Municipal Land Transfer Tax (MLTT). City Staff are recommending Hamilton’s MLTT be modeled after Toronto. Hamilton would have to seek provincial approval to implement an MLTT, as Toronto is the only municipality in Ontario permitted to levy a second land transfer tax.

As an example, on a $750,000 home, a buyer would have to pay:

Provincial LTT: $11,475

Municipal LTT: $11,475

= $22,950 in Total Land Transfer Taxes at time of closing.

WE NEED YOUR HELP TO STOP THIS DOUBLE TAX!

Cornerstone’s government relations team have assembled a complete advocacy strategy to oppose an MLTT. If the City of Hamilton pursues and receives provincial approval, we’re concerned additional municipalities within the Cornerstone market would follow suit.

You can help by:

• Completing this petition and share it widely.
• Telling your local ward councilor to say ‘NO’ to a Municipal Land Transfer Tax in Hamilton – ask your family, friends, and clients to send this letter to their local council member.
• Sharing our social media posts and tag your local ward councilor…

Why is the MLTT a bad policy?

1. Increased Upfront Cost for Buyers

An MLTT is an additional tax levied on top of the provincial Land Transfer Tax (LTT) when purchasing a property. This means buyers would face double the land transfer taxes.

2. Impact on Affordability

While first-time homebuyers may be eligible for a rebate for both the MLTT and LTT (up to $4,475 for each, or $8,950 in total), the rebate only covers a fraction of the tax. Potential homebuyers may be forced to sit on the sidelines or consider relocating to a neighbouring municipality that doesn’t have a second land transfer tax.

3. Impact on Property Values

A second land transfer tax could impact property values by making homes harder to sell with fewer buyers in the market. Sellers may also think twice about listing their home and moving due to high transaction costs associated with the tax.

4. Indirect Effects on Rental Affordability

An MLTT leads to higher purchasing costs for landlords to acquire rental properties, which may be passed on to tenants through higher rents. It also may dissuade investors from purchasing properties for rental purposes.

5. Economic Impact

A second land transfer tax would hurt the economy and negatively impact the real estate market and related industries, like construction and retail.

We hope we can count on your support…”

To read more, please click here.