Property taxes can be confusing. Fortunately, the City of Toronto has a Property Tax Calculator that actually shows how your money is being distributed to various services and infrastructure developments and maintenance.
Government policy like the mortgage stress test was introduced to cool Canada’s housing market, which it did, but some buyers have decided to simply go a different route, and it could be bad for the overall health of the market.
According to the government of Canada and the Canada Revenue Agency, tax non-compliance and money laundering can be a significant factor causing the rising cost of housing in the country’s hottest markets.
Sixteen months after the implementation of the federal government’s B-20 mortgage stress test regulations, TD Bank released an examination of its effects. Basically, the stress test did what it was supposed to do, but had some unintended consequences.
Earlier this year, the Centre for Urban Research and Land Development released a report saying that the City of Toronto could afford to hike residential property taxes by approximately 20% when compared to the median GTHA municipality.
With would-be buyers finally adjusting to the stress test and interest rates looking like their taking a breather, 2019 may be a strong year for home sales in Toronto and other major markets in Canada.