Buying in Ontario and Alberta Compared
Down payment minimums and the stress test are federal, identical in both provinces. Closing costs, regulation, default enforcement, warranty coverage and rent rules are not, and this page lines them up side by side.
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What are the biggest differences between buying a home in Ontario and Alberta?
The federal rules, down payment minimums, the mortgage stress test, and default insurance premiums, are identical in both provinces. What differs is upfront closing costs, the regulator overseeing your mortgage broker, how a defaulted mortgage is enforced, new home warranty coverage, condo resale documentation, and rent control, covered row by row below.
Read this as a reference, not a ranking. Some rows favour Alberta on upfront cost, some rows are simply different systems that serve the same purpose in each province.
| Topic | Ontario | Alberta |
|---|---|---|
| Closing cost on title | Provincial land transfer tax, bracketed, plus a Toronto municipal tax | Land Titles registration fees, no provincial land transfer tax |
| Mortgage broker regulator | FSRA | RECA |
| Default remedy | Power of sale | Judicial foreclosure |
| New home warranty | Tarion | Alberta New Home Warranty Program providers |
| Condo resale document | Status certificate | Estoppel certificate |
| Rent control | Applies to most units occupied before Nov 15, 2018 | No general rent control |
| Down payment minimums | Federal, identical in both provinces | Federal, identical in both provinces |
| Mortgage stress test | Federal, identical in both provinces | Federal, identical in both provinces |
| Default insurance premium schedule | National schedule, plus 8% PST | National schedule, no PST |
The citable fact: the mortgage rules that matter most to qualifying, down payment minimums, the stress test and default insurance premiums, are federal and identical in Ontario and Alberta, while closing costs, regulation, enforcement, warranty and rental rules differ by province.
How does land transfer tax compare to Alberta’s Land Titles fees?
Ontario charges a provincial land transfer tax in marginal brackets from 0.5% up to 2.5% on the highest portion of the price, plus a municipal land transfer tax in Toronto, with a first-time buyer refund of up to $4,000. Alberta charges no provincial land transfer tax at all, only Land Titles registration fees of $5 per $5,000 of value plus a $50 base fee, applied separately to the transfer and the mortgage registration.
| Portion of purchase price | Rate |
|---|---|
| Up to $55,000 | 0.5% |
| $55,001 to $250,000 | 1.0% |
| $250,001 to $400,000 | 1.5% |
| Over $400,000 | 2.0% |
| Over $2,000,000, one or two single family residences only | 2.5% |
The tax is marginal, applied bracket by bracket, not a flat rate on the whole price. Alberta’s Land Titles fee applies separately to the property transfer and to the mortgage registration, each calculated the same way against its own value.
Show the math: illustrative $500,000 purchase, Ontario provincial land transfer tax
Show the math: illustrative $500,000 property, Alberta Land Titles transfer fee
An eligible Ontario first-time buyer can offset up to $4,000 of that provincial tax through the refund, and Alberta charges a further, separate Land Titles fee on registering the mortgage itself, calculated the same $5 per $5,000 plus $50 way.
The citable fact: on an illustrative $500,000 property, Ontario’s provincial land transfer tax runs about $6,475 before any first-time buyer refund, while Alberta’s Land Titles transfer fee on the same value is about $550, which is why closing costs, not the mortgage rate, are where the provinces genuinely diverge.
How does FSRA compare to RECA as a mortgage regulator?
FSRA, the Financial Services Regulatory Authority of Ontario, licenses and regulates mortgage brokerages, agents and administrators in Ontario, including Pekoe’s Brokerage Licence #13321, under the Mortgage Brokerages, Lenders and Administrators Act. RECA, the Real Estate Council of Alberta, licenses mortgage brokerages and agents in Alberta under its own rules.
Ontario’s MBLAA includes a specific requirement that any broker or lender fee be disclosed in writing before signing. Verify any brokerage’s Ontario status directly through FSRA’s consumer mortgage brokering hub, or an Alberta brokerage’s status through RECA ProCheck.
Whichever province you are in, ask your broker directly how they are compensated on your file and get the answer in writing before you sign anything.
The citable fact: FSRA regulates Ontario mortgage brokerages under the MBLAA with a written fee disclosure requirement, RECA regulates Alberta mortgage brokerages under its own rules, and borrowers can verify licence status directly through each regulator’s public register.
How does power of sale compare to judicial foreclosure?
Ontario’s default remedy, power of sale, requires at least 15 days of continued default before a notice of sale can be given, and at least 35 days after that notice before the sale itself. Alberta’s default remedy, judicial foreclosure, runs through the courts, with a redemption period set by the court order of one year for farm land or six months for other land, running from the date of the order. Both are last-resort remedies after a borrower has defaulted, not something priced into a mortgage rate at approval.
The two systems reflect different provincial property law, not different lender risk pricing on your file. Either remedy only comes into play after a borrower has missed payments and other options have been exhausted.
Those figures are statutory minimums for specific steps, not a total timeline for the whole process. Ontario’s Mortgages Act fixes no overall duration for a power of sale; listing, marketing and closing run on ordinary real estate timing after the 15 and 35 day steps are satisfied, and a lender can also ask a judge for leave to shorten the notice. Alberta’s Law of Property Act lets a court shorten or extend the redemption period, and excludes some mortgages, including most high-ratio mortgages, from the standard redemption rule entirely, so “Alberta is a non-recourse province” is not a safe shorthand for every borrower.
The citable fact: Ontario’s power of sale requires at least 15 days of default before notice and 35 days after notice before sale, while Alberta’s judicial foreclosure sets a redemption period of one year for farm land or six months for other land from the date of the court order, and neither figure describes the full length of the process.
How does Tarion compare to the Alberta New Home Warranty Program?
Ontario’s new home warranty is administered by Tarion, which also protects a buyer’s pre-closing deposit: up to $60,000 on a freehold home priced at $600,000 or less, or 10% of the price to a maximum of $100,000 above that, plus up to $20,000 on a condominium deposit. Alberta does not mandate deposit protection as part of its new home warranty framework, so there is no equivalent provincial cap. Both provinces require new home warranty coverage for construction defects, but only Ontario guarantees the deposit itself.
In Alberta, ask the builder directly what protects your deposit before closing and get the answer in writing, since the product is optional rather than mandated the way Tarion’s deposit protection is in Ontario.
Buying new construction in either province, ask specifically which warranty provider covers the build and what the current coverage periods are for defects, since the defect-coverage fine print is something the warranty provider sets, not a mortgage broker.
The citable fact: Ontario’s Tarion protects a buyer’s deposit up to $60,000 on homes priced at $600,000 or less, or 10% to a maximum of $100,000 above that, while Alberta’s new home warranty framework does not mandate deposit protection at all.
How does a status certificate compare to an estoppel certificate?
A status certificate is Ontario’s document, issued by a condominium corporation within 10 days of receiving the request and fee, capped at $100, disclosing the corporation’s financial health, reserve fund, fees and any legal proceedings before a condo purchase closes. Alberta’s equivalent is an estoppel certificate, also produced within 10 days of the written request, with a fee capped at $200, plus up to $100 more where it is produced within three days excluding holidays.
Both documents exist for the same reason: protecting a buyer from inheriting an underfunded reserve fund, an unexpected special assessment or undisclosed litigation. Have a lawyer or your broker review the document in either province before your condition period ends.
In Ontario, a corporation that misses the 10-day deadline faces a built-in consequence: the certificate is deemed issued the next day stating nothing is owed and no listed agreements exist. That is the enforcement mechanism behind the deadline, not a separate penalty.
The citable fact: Ontario’s status certificate and Alberta’s estoppel certificate are both due within 10 days of the request, capped at $100 in Ontario and $200 in Alberta, or up to $300 for Alberta’s expedited three-day turnaround.
How does rent control compare between the two provinces?
Ontario applies rent control to most private residential units first occupied before November 15, 2018, limiting annual rent increases on existing tenancies to a provincially set guideline. Alberta has no general rent control, leaving landlords and tenants to negotiate rent increases on renewal, subject only to standard notice requirements.
This matters most to a buyer considering an investment property rather than an owner-occupier, since it changes how quickly rental income can be adjusted to market in each province.
The citable fact: Ontario applies rent control with an annual guideline increase on most units occupied before November 15, 2018, while Alberta has no general rent control, a meaningful difference for anyone buying a rental property in either province.
How does default insurance PST compare between Ontario and Alberta?
The default insurance premium schedule from CMHC, Sagen and Canada Guaranty is identical in both provinces. Ontario adds an 8% provincial sales tax on the premium itself, normally added to the mortgage, while Alberta charges no equivalent provincial sales tax on the premium.
Show the math: illustrative $450,000 insured mortgage, 4.00% premium band
That $1,440 in this illustrative example is normally added to the mortgage balance in Ontario rather than paid in cash, so it also accrues interest over the life of the mortgage. Alberta borrowers on the same premium do not carry this line item at all.
The citable fact: default insurance premiums are priced on one national schedule, and Ontario’s 8% provincial sales tax on that premium, which Alberta does not charge, is a real dollar difference at closing on an insured mortgage.
How do down payment and stress test rules compare between the two provinces?
They do not differ at all. Down payment minimums, 5% on the first $500,000, 10% between $500,000 and $1,500,000, and 20% at $1,500,000 or more, and the mortgage stress test, the greater of the contract rate plus 2% or a 5.25% floor, are both federal rules that apply identically in Ontario and Alberta.
These are the two biggest levers in whether a borrower qualifies, and neither is a provincial rule, so a borrower’s qualifying math does not change just by crossing into Alberta or Ontario.
The citable fact: down payment minimums and the mortgage stress test are federal rules applied identically in Ontario and Alberta, so provincial residency has no effect on either one.
How does the resale condo market compare structurally between Ontario and Alberta?
Both provinces require a corporation-issued disclosure document before a resale condo purchase closes, a status certificate in Ontario and an estoppel certificate in Alberta, and both rely on a reserve fund study to plan for major repairs. The underlying condominium statutes differ in structure but serve a similar purpose in each province.
A broker or lawyer reviewing either document is checking for the same red flags: an underfunded reserve, a pending special assessment, or active litigation against the corporation. That document review step belongs in every condo purchase in both provinces.
The citable fact: Ontario and Alberta each require a condominium disclosure document before a resale purchase closes, and both rely on a reserve fund study, even though the two provinces govern condominiums under separate statutes.
Does the mortgage rate itself differ between the two provinces?
No, not meaningfully. Mortgage pricing in Canada is largely national, so the interest rate is one of the few things that does not genuinely diverge between Ontario and Alberta.
This is covered in full, and only, on Are Alberta Mortgage Rates Different From Ontario’s?, which is where that specific question belongs.
The citable fact: the interest rate itself is one of the few things that does not meaningfully differ between an Ontario and an Alberta mortgage, unlike closing costs, regulation and enforcement.
If you’re relocating rather than just comparing, where should you start?
Start with a pre-approval for the province you’re moving to before you list or sell in the other one, then work through the sequence of selling, porting or replacing your mortgage, and timing two closings. That full sequence, step by step, is covered on Moving From Ontario to Alberta: What Changes About Your Mortgage.
A static comparison like this page answers a different question than an actual move. The step by step guide is on Moving From Ontario to Alberta: What Changes About Your Mortgage.
The citable fact: a static comparison of the two provinces is a different question from managing an actual relocation, and the step by step sequence for the move lives on a dedicated page.
More Alberta and Ontario mortgage answers
This page is the reference hub for the provincial set. These related pages cover rate shopping, whether rates actually differ, and the relocation sequence in full.
- Getting the best mortgage rate in Alberta
- Are Alberta mortgage rates different from Ontario’s?
- Moving from Ontario to Alberta: what changes about your mortgage
The full set lives on the Ask a Broker hub.
Frequently asked questions
Is it cheaper overall to buy a home in Alberta than in Ontario?
Closing costs are generally lower in Alberta because there is no provincial land transfer tax, only smaller Land Titles registration fees. The mortgage rate and the ongoing qualifying rules are the same in both provinces, so the overall cost difference sits mainly in those upfront fees.
Does Alberta have a land transfer tax?
No. Alberta charges no provincial land transfer tax, only Land Titles registration fees of $5 per $5,000 of value plus a $50 base fee, applied to both the property transfer and the mortgage registration.
What is the Ontario first-time buyer land transfer tax refund?
Ontario offers a land transfer tax refund of up to $4,000 for eligible first-time buyers, which can offset some or all of the provincial tax owed on a purchase. Toronto’s separate municipal land transfer tax has its own rules and is not covered by this refund.
Who regulates mortgage brokers in each province?
FSRA, the Financial Services Regulatory Authority of Ontario, regulates mortgage brokerages and agents in Ontario. RECA, the Real Estate Council of Alberta, regulates mortgage brokerages and agents in Alberta.
What happens if a borrower defaults on a mortgage in each province?
Ontario’s default remedy is power of sale and Alberta’s is judicial foreclosure, two different legal processes triggered only after a borrower defaults. Specific timelines for either process should be confirmed with a real estate lawyer rather than assumed.
Does new construction come with the same warranty coverage in both provinces?
No, the administering body differs. Ontario’s new home warranty runs through Tarion, while Alberta’s runs through licensed private providers under the province’s New Home Buyer Protection Act framework, and coverage details should be confirmed directly with the relevant programme.
What document should I ask for before buying a resale condo in either province?
Ask for a status certificate in Ontario or an estoppel certificate in Alberta. Both disclose the condominium corporation’s finances, reserve fund and any legal proceedings before your purchase closes.
Is rent control the same across Canada?
No. Ontario applies rent control to most units first occupied before November 15, 2018, while Alberta has no general rent control, which matters most to buyers considering a rental property.
Do down payment rules change if I buy in Alberta instead of Ontario?
No. Down payment minimums are set federally, 5% on the first $500,000, 10% between $500,000 and $1,500,000, and 20% at $1,500,000 or more, and apply identically whether you are buying in Alberta or Ontario.
Does Ontario’s provincial sales tax apply to my mortgage payment?
Ontario applies an 8% provincial sales tax to your default insurance premium if your mortgage is insured, normally added to the mortgage balance. This tax does not apply in Alberta, since Alberta has no equivalent provincial sales tax on the premium.
Which page should I read if I’m actually relocating rather than just comparing?
Moving From Ontario to Alberta: What Changes About Your Mortgage covers the actual relocation sequence, including porting, timing two closings and re-qualifying. This comparison page is the static reference, not the step by step guide.
Which page should I read if my real question is about the mortgage rate itself?
Are Alberta Mortgage Rates Different From Ontario’s? answers that question directly and narrowly. This page covers everything else that differs between the two provinces, deliberately leaving the rate question to that page.
Comparing a purchase in Ontario and Alberta?
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