How the Ontario Hamonized Sales Tax will affect your real estate
For those planning to enter the real estate market within the year, the announcement of the combined sales tax will have implications on the following:
• adding significant tax to services such as moving costs, legal fees, home inspection fees, mortgage insurance premiums, title insurance, REALTOR® commissions and other professional fees; and,
- your home heating fuel; and,
- your home remodeling and renovation projects, materials and contractor fees etc; and,
• adding significant tax to the purchase price of newly constructed homes above $500k (make sure it's clear in the contract who pays this, you or the builder).
The new levy will take effect July 2010.
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Blended tax drives up cost for both new and resale home buyers in Ontario