The average closing cost in Manitoba is roughly $10,410. A good rule of thumb is to calculate 2-4% of the final home sale price.
Closing cost stats in Manitoba
- Average home sale price as of June 2021. $346,943
- Average total closing cost. $10,410*
- Expected closing cost range. $6,940-$13,880*
- Percentage of closing cost to home sale price. 2-4%
*Excludes the goods and services tax (GST).
Remember, these averages are based on sample data. Your closing costs may vary based on your lender, the size of your loan and whether you’re paying in cash.
What are the closing costs when you buy a home in Manitoba?
Below is a breakdown of closing costs you may encounter.
| Type of cost | Estimated amount | Mandatory expense? | Description |
|---|---|---|---|
| Adjustment costs | Varies, but set aside around $500 | Mandatory if applicable |
|
| Legal fees | $1,000-$1,500 (varies depending on the complexity of the purchase) | Mandatory |
|
| Disbursements | Starting at $100 | Mandatory |
|
| Home inspection | $350-$750 | Not mandatory (but strongly recommended) |
|
| Home insurance | $800-$1,200 (annual) | Likely mandatory |
|
| Mortgage default insurance | Varies | Mandatory if down payment is less than 20% |
|
| Land survey and Building Location Certificate (BLC) | Varies | Depends |
|
| Title insurance | Around $300 | Not mandatory |
|
| Property appraisal | $350-$500 | Depends |
|
| Estoppel/status certificate | Around $100 | Likely mandatory if you’re buying a previously owned condo |
|
| Mortgage prepayment penalty | Varies based on the terms of your mortgage | Depends |
|
| Moving costs | Varies | Not mandatory |
|
| Switching/setting up utilities | Varies | Depends |
|
| Goods and services tax (GST) | 5% of the purchase price | Mandatory if you’re buying a newly built home |
|
| Land transfer tax (LTT) | $1,650 + 2% on the balance of the house’s value above $200,000 | Mandatory |
|
Is there a land transfer tax or property transfer tax when buying a new home in Manitoba?
Buyers in Manitoba pay a nominal amount in taxes as part of their closing costs. They will need to pay the land transfer tax (LTT), which is calculated based on the property’s purchase price.
| Purchase price | Marginal tax rate |
|---|---|
| Up to $30,000 | 0% |
| Between $30,00 and $90,000 (a difference of $60,000) | 0.5% |
| Between $90,000 and $150,000 (a difference of $60,000) | 1.0% |
| Between $150,001 and $200,000 (a difference of $50,000) | 1.5% |
| Above $200,000 | 2.0% |
So, for a property valued at $350,000, LTT would be calculated as follows:
- 0% of the first $30,000 = $0
- 0.5% of the next $60,000 = $300
- 1.0% of the next $60,000 = $600
- 1.5% of the next $50,000 = $750
- 2.0% of the remaining $150,000 = $3,000
- Total: $4,650
Essentially, for homes with a purchase price above $200,000, the land transfer tax will be always be $1,650 + 2% of the purchase price above $200,000.
Do I have to pay GST when buying a home in Manitoba?
In Manitoba, GST is a 5% federal tax that is only payable on the sale of new or substantially renovated properties. This can be on a presale high-rise condominium or on a newly built home. Sometimes GST is already included in the sale price of the home, so be sure to check with the builder.
A home is considered substantially renovated if at least 90% of the interior was replaced or removed.
Is there a GST rebate?
Yes. If you purchase a home with a sale price of $350,000 or less, you are eligible for a 36% rebate on the 5% GST, for a maximum rebate of $6,300. This rebate is reduced on properties ranging from $350,000-$450,000; anything above $450,000 is not eligible for a GST rebate.
What about realtor fees?
When you buy a home, it is standard practice for the seller of the home to pay your real estate agent’s commission.
How do closing costs in Manitoba compare with the rest of Canada?
The closing costs for buying a home in Manitoba are roughly in the middle compared to the rest of Canada. The relatively affordable housing prices in Manitoba, coupled with a reasonable land transfer tax rate, help keep the closing costs down.
Compare mortgage lenders and rates in Manitoba
1 - 4 of 4
Bottom line
Closing costs are inevitable when you’re buying a home in Manitoba. The exact amount will depend on your personal situation. Try to budget at least 2-4% of the final home sale price for your closing costs, but if it’s a newly built home, also keep in mind the 5% GST. Talk to your lawyer or real estate agent to learn more about your closing costs.
Want to learn more about mortgages? Head to our guide here.
More guides on Finder
-
Closing costs in Vancouver
Find out how much you might pay in closing costs in the city of Vancouver.
-
Closing costs in Toronto
Find out how much you might pay in closing costs in the city of Toronto and the GTA.
-
Closing costs in Calgary
Find out how much you might pay in closing costs in Calgary.
-
Closing costs in Ottawa
Find out how much you might pay in closing costs in the capital city of Ottawa.
-
Closing costs in Regina
Find out how much you might pay in closing costs in the Regina, Saskatchewan.
-
Closing costs in Halifax
Find out how much you might pay in closing costs in the city of Halifax.
-
Closing costs in Montreal
Find out how much you might pay in closing costs in the city of Montreal.
-
Closing costs in Prince Edward Island
Find out how much you might pay in closing costs in the province of Prince Edward Island.
-
Closing costs in Newfoundland and Labrador
See how much closing costs are when you buy a home in this province.
-
Closing costs in Nova Scotia
What you might pay in closing costs when you buy a home in this province.