Land Transfer Tax a Nightmare for Those with Home Ownership Dreams
My office has heard from many constituents in recent weeks about the Liberal government’s plans to expand the Municipal Land Transfer Tax across the province. On this particular issue there has been universal opposition, for the record, I agree with those who are opposed.
Ontario’s hard-working families just can’t afford such an expensive new tax. Doubling the amount of land transfer taxes that someone hoping to purchase a home must pay will be very costly, for both the purchaser and the broader economy. In September 2015 the average sale price of a home in Ontario was $458,483. The new Municipal Land Transfer Tax means the home buyer would pay an additional $10 539 on the purchase of that home. In Sarnia, where one of our advantages is the affordability of housing, the average house price in that same period was $218, 876. A new land transfer tax means that a homebuyer will now be required to pay an additional $3 827 in tax on their new home. Doubling the amount of land transfer taxes a prospective home buyer must pay will significantly impact the affordability of purchasing a home; ultimately, a new land transfer tax may dash the homeownership dreams of many Sarnia-Lambton residents. The Ontario Association of Real Estate estimates that the Municipal Land Transfer Tax will cost our economy an estimated $2.3 billion and 15,000 jobs through lost transactions in the marketplace.
The Official Opposition Ontario PC Caucus has asked both the Minister of Finance and the Minister of Municipal Affairs and Housing to state that the Liberal government won’t give municipalities the power to implement this crippling new tax. Both have flatly refused and we know what that means: the Wynne government will ignore the 89% of Ontarian outside of Toronto who oppose the Municipal Land Transfer Tax. It’s more proof that life in Ontario is getting unaffordable under Premier Wynne.
In an attempt to pressure the government to back away from the new tax, my opposition colleague, MPP Steve Clark, has tabled a motion asking the Government of Ontario to “not impose, or help municipalities facilitate the imposition of any new municipal land transfer taxes.” This important motion will be debated at Queen’s Park on December 3rd. I look forward to supporting Motion 60 and standing up for all residents of Sarnia-Lambton who want to realize their dream of homeownership