Oakville first-time homebuyers pay most in closing costs; Burlington, Milton close behind
With the real estate market heating up for the spring, Zoocasa released a new report highlighting what first-time buyers can expect to pay in closing costs in Ontario’s 20 largest cities.
According to Zoocasa, Oakville homebuyers can expect to pay the most—shelling out an average of $237,530 to close their home transaction. The local average home price is comparatively higher than in other Ontario markets at $1,104,796, requiring the full 20% down payment of $220,959. Although no mortgage loan insurance premium is required due to the 20% minimum down payment, buyers will still pay $237,530 to close their home transaction.
Burlington was sixth on the list at $73,314, followed by Milton in seventh at $66,776.
All three Halton Region municipalities came in well-over the Ontario average of $46,706.
Before the keys can be handed over, however, there are still a few expenses buyers need to shell out for. These closing costs must be paid upfront in cash, unlike the mortgage which is amortized and paid in installments over time.
A number of cash outlays are required on the day the home transaction closes including the down payment, PST on your mortgage loan insurance premium, land transfer tax, legal fees, title insurance, and other miscellaneous costs.
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