By Lev Kramar, Integrity Legal Solutions · Calgary, Alberta
Alberta charges no land transfer tax. Instead, buyers pay Land Titles registration fees calculated at a $50 base plus $5 for every $5,000 of value, applied separately to the title transfer and to the mortgage. On a $600,000 home with a $480,000 mortgage, that totals roughly $1,180. Add legal fees, title insurance or a Real Property Report, property tax adjustments, and lender costs, and a typical Calgary buyer should budget roughly 1 to 1.5 percent of the purchase price for closing costs, far below what buyers face in Ontario or British Columbia.
If you are moving to Calgary from Toronto or Vancouver, the single biggest financial surprise is a pleasant one. Alberta does not charge a land transfer tax. On a $600,000 purchase, a Toronto buyer pays roughly $16,000 in combined provincial and municipal land transfer tax. An Alberta buyer pays a few hundred dollars in registration fees.
That does not mean closing is free. Here is every line item a Calgary buyer should budget for, and what each one actually is.
Why does Alberta have no land transfer tax?
Alberta has never adopted one. Ontario introduced its land transfer tax in 1974 and Toronto layered a municipal tax on top in 2008. British Columbia, Manitoba, Quebec, Nova Scotia, and others followed similar paths. Alberta funded its provincial operations differently and instead charges cost-recovery registration fees through the Land Titles Office.
The practical result is that the government take on an Alberta home purchase is measured in hundreds of dollars rather than tens of thousands.
What are Alberta Land Titles registration fees?
Two registrations happen on a typical purchase: the transfer of title into your name, and the registration of your mortgage against that title. Each is charged separately, and both use the same formula.
Effective October 20, 2024, the formula is a $50 base fee plus $5 for every $5,000 of value or part thereof. The transfer fee is calculated on the property value. The mortgage fee is calculated on the mortgage principal. A cash purchase pays only the transfer fee.
The “or part thereof” language means values round up to the next $5,000 increment before the $5 is applied. A $501,000 purchase and a $505,000 purchase produce the same fee.
This formula is new. Before October 2024, transfers were charged at $2 per $5,000 and mortgages at $1.50 per $5,000. The Land Titles Registration Levy announced in Budget 2024 raised both to $5. On a $450,000 home with a $405,000 mortgage, total registration fees rose from roughly $400 to roughly $955.
Worked example on a $600,000 purchase
- Transfer registration: $50 base plus 120 increments at $5 each, which is $650.
- Mortgage registration on $480,000: $50 base plus 96 increments at $5 each, which is $530.
- Total Land Titles fees: $1,180.
A cash buyer on the same property pays $650.
What does the lawyer cost?
Legal fees for a residential purchase in Calgary generally run from roughly $800 to $1,500 plus GST, depending on the price, the mortgage, and the complexity of the transaction. Firms structure quotes differently. Some charge a flat fee with all standard disbursements included. Others quote a lower base fee and bill Land Titles fees, couriers, software charges, and administration on top.
Compare total cost, not headline fee. The same closing quoted at $995 plus disbursements and at $2,595 all in can land within a hundred dollars of each other.
What are disbursements?
Disbursements are third-party costs your lawyer pays on your behalf and passes through. On a Calgary purchase they typically include:
- Land Titles registration fees for the transfer and the mortgage.
- Title searches and Personal Property Registry searches.
- Tax searchess from the City.
- Title insurance premium, where applicable.
- Courier, wire transfer, and conveyancing software charges.
Registration fees are usually the largest single disbursement, and under the current formula they scale with the price of your home.
Title insurance or a Real Property Report
One of these two will appear on your closing statement, and sometimes both.
An owner title insurance policy in Alberta commonly costs a few hundred dollars. A new Real Property Report costs several hundred in surveyor fees plus a City compliance fee of $189 per parcel for most single-family properties.
Under the standard Alberta purchase contract the seller provides the RPR with compliance. Where that obligation is waived by amendment, the seller often pays for the buyer’s title insurance instead. Confirm which arrangement your contract sets out, because it determines who pays.
Even when an RPR is provided by the seller it may be beneficial for a purchaser to buy title insurance.
Property tax adjustment
This one moves real money and it catches buyers off guard.
Calgary property taxes run on a calendar year and the full year is due June 30. Under the standard Alberta purchase contract, taxes are adjusted to the possession date, with the seller responsible for the whole of that day.
If you take possession on September 1 and the seller has already paid the full year, you reimburse the seller for September through December. That is four months of property tax arriving as a credit to the seller on your closing statement. On a home with $4,200 in annual taxes, that is roughly $1,400 you need to have available.
If you take possession in the first half of the year, before the current year’s tax bill has been issued, the adjustment is calculated on an estimate.
Costs that are not the lawyer’s
These land outside the closing statement but inside your budget:
- Home inspection, commonly $400 to $700 in Calgary.
- Mortgage default insurance if you are putting down less than 20 percent. The premium is normally added to the mortgage principal rather than paid at closing, but that makes the principal of the mortgage higher, which increases the land titles office fees.
- Appraisal, where your lender requires one and does not absorb the cost.
- Property insurance. Your lender requires a binder in place before funds are released.
- Moving costs, utility connections, and the first month of condo fees where applicable.
- GST, on a new build only. Resale homes are exempt.
Frequently asked questions
Does Alberta have a land transfer tax?
No. Alberta charges Land Titles registration fees calculated at $50 plus $5 per $5,000 of value on the transfer and again on the mortgage. There is no percentage-based transfer tax on the purchase price.
Is there a first-time home buyer rebate in Alberta?
There is no provincial rebate on registration fees, because there is no tax to rebate. First-time buyers purchasing a newly built home may qualify for the federal first-time home buyers’ GST rebate, which is a separate program.
Who pays the Land Titles registration fees?
The buyer pays both the transfer registration and the mortgage registration. The seller pays to discharge their existing mortgage from title.
Why did my registration fees go up?
The Land Titles Registration Levy took effect October 20, 2024 and more than doubled the sliding scale on both transfers and mortgages. Any quote or calculator using the old $2 and $1.50 rates is out of date.
When do I need to have my closing funds ready?
Your lawyer will ask for certified funds a few days before possession. The exact figure comes from the statement of adjustments, which cannot be finalized until the tax certificate and lender instructions arrive. Expect the number a few days out, not weeks.
Talk to Lev
Call (403) 466-6580 or email Lev@integrity-legal.ca to book a consultation. We close real estate transactions across Alberta – including Calgary and surrounding areas, with 1-2 week turnarounds when timelines are tight.
Lev Kramar is the principal lawyer at Integrity Legal Solutions in Calgary. He focuses on residential and commercial real estate, with a particular interest in leasehold and new-build closings, including transactions at Taza Park on Tsuut’ina Nation land. Integrity Legal Solutions serves clients across Alberta, with a reputation for fast funds movement and direct, plain-language communication.
Phone: (403) 466-6580 · Email: Lev@integrity-legal.ca · 1550 5 St SW #300, Calgary, AB T2R 1K3
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