Tools

Alberta land transfer tax calculator

Last updated: March 2, 2022

What this tool is all about:

This tool lets you get an estimate of what your land transfer tax will be when you purchase a Alberta property.

Disclaimer: Perch does not guarantee the accuracy of these results and should be treated as an estimate. Exact Alberta land transfer tax will be provided to you by your solicitor prior to your closing date. Please refer to our Terms of Use for more information.

Probably one of the largest closing costs for buyers, the Alberta land transfer tax is a one time fee paid to your provincial government when a property or home is transferred from the seller to you.  Tax rates will also vary depending on the province your property is located in. In Alberta, the land transfer tax (officially known as title registration and mortgage registration fees), are applied to every home or property once purchased and will depend on the value of the property and the percentage of your down payment.

Anyone who purchases a property must pay a land transfer tax to the province in which they bought the property if required and it must be paid when the transaction closes. Depending on your location, residents might have to pay both provincial and municipal land transfer tax.

Alberta has some of the lowest land transfer tax requirements in Canada. Some provinces provide a first-time home buyers land transfer tax rebate, however there are no rebates in Alberta. There are no ways to lower your Alberta land transfer tax directly, but you might be able to reduce the transfer tax slightly by making a larger down payment on your mortgage since the calculation does take your mortgage and down payment into consideration. 

No, not all provinces in Canada have land transfer tax. The provinces that have land transfer tax are:

Some areas in Canada will charge both provincial and municipal land transfer tax.

All other remaining provinces and territories charge registration fees based on the value of the property being bought or transferred. These fees are usually much lower compared to typical Canadian land transfer tax rates.

Alberta land transfer tax is typically based on the value of the property and the percentage of your down payment. It’s generally not very expensive and homeowners, even first-time home buyers, are able to pay their transfer tax without issues.

Charge on the property value Charge on mortgage amount
$50 base and an additional $2 for every $5,000 of property value $50 base and an additional $1.50 for every $5000 of the mortgage amount


Let’s assume you are purchasing a house worth $500,000 with a 20% down payment and a $400,000 mortgage. See below for an example Alberta land transfer tax formula, which includes calculations for land transfer fee on the property value and land transfer fee on the mortgage amount:

1. Land transfer fee on the property value

$500,000 property value ÷ $5,000 tax portion size
= 100 $5000 value portions

$50 base + ($2 x 100 $5000 value portions)
= $250 land transfer fee on the property value

2. Land transfer fee on the mortgage amount

$400,000 mortgage amount ÷ $5,000 tax portion size
= 80 $5000 value portions

$50 base + ($1.50 x 80 $5000 value portions)
= $170 land transfer fee on the mortgage amount

3. Total Alberta land transfer tax

$250 fee on the property value + $170 fee on the mortgage amount

Alberta land transfer tax = $420

These calculations can sometimes be confusing, which is why we have created the Alberta land transfer tax calculator. Simply input your details and you’ll instantly get an estimate.
It’s a rule of thumb to budget at least 2-3% of the purchase price of your property to go towards closing costs (or use our closing cost calculator to get a more exact figure). Land transfer tax cannot be added into your mortgage and must be paid as soon as you take possession of the property from the seller on closing day.

In the process of purchasing a home? Check out Perch’s Guide to Buying a Home at any step of your home buying process to get access to free tools and resources that will help you before and after your closing date. You can also sign up today for a Perch profile to connect with a realtor or mortgage advisor today.