How much does it cost to buy a house in London, Ontario?
For example, on a $600,000 London home, plan for about $11,175 in closing costs, plus your down payment. First-time buyers pay about $7,175, because Ontario refunds up to $4,000 of the land transfer tax. At the minimum $35,000 down, add about $1,808 in sales tax on your mortgage insurance.
Most buyers worry about a cost nobody mentioned until the lawyer’s office. So here is every line, including what we charge.
The Bottom Line (Quick Answer)
- On a $600,000 home in London, Ontario, closing costs are about $11,175, or about 1.9% of the price.
- First-time buyers can save up to $4,000 of that through Ontario’s land transfer tax refund.
- Buying with the Ken Small Real Estate Team adds a $495 retainer. Our 3% is paid from the seller’s side.
The short version
- London charges no municipal land transfer tax. Only Toronto does.
- Mortgage insurance is added to your mortgage. The 8% sales tax on it is due in cash at closing.
- You see your closing costs in writing before you commit.
What that looks like on a $600,000 London home
| Cost | Who sets it | Amount |
|---|---|---|
| Ontario land transfer tax | Ontario (source: Ontario.ca) | $8,475 |
| Lawyer | Your lawyer (our estimate) | about $1,800 |
| Title insurance | Your lawyer’s insurer (our estimate) | about $400 |
| Home inspection | Your inspector (our estimate) | about $500 |
| Closing costs | about $11,175 |
First-time buyer? Take off up to $4,000, for about $7,175. Check the Ontario.ca refund rules first.
Our Buyer Closing-Cost Calculator shows about $13,483 on the same home. It adds the $1,808 sales tax on mortgage insurance and about $500 for closing adjustments.
Land transfer tax is 0.5% on the first $55,000. Then 1% to $250,000. Then 1.5% to $400,000. Then 2% up to $2,000,000. London charges no municipal land transfer tax. Only Toronto does.
Your minimum down payment on $600,000 is $35,000: 5% of the first $500,000 and 10% of the rest (source: Canada.ca).
At that minimum, your mortgage insurance premium is 4.00% of a $565,000 loan, or $22,600 (source: CMHC). It is added to your mortgage. Ontario’s 8% sales tax on it, about $1,808, is due in cash at closing.
An appraisal and tax adjustments vary by deal. Government figures were checked in October 2026. Lawyer, title and inspection are our estimates from August 2026. In September 2026, the City of London’s average sale price was $591,927 (LSTAR). Run your own price in the Buyer Closing-Cost Calculator.
What does it cost to buy a house in London? Line by line
Ontario land transfer tax
A graduated tax on the purchase price, paid at closing. Good news for London buyers. There is no extra municipal land transfer tax here, unlike Toronto. And first-time buyers may qualify for a provincial refund.
Legal fees & disbursements
A real estate lawyer reviews the deal, handles title and closes the purchase. You pay their fee, plus disbursements and title insurance.
Home inspection & appraisal
We strongly recommend an inspection on most homes. It protects you from expensive surprises. Your lender may also require an appraisal.
Down payment & mortgage insurance
Your minimum down payment scales with the purchase price. Under 20% down, you also pay mortgage loan insurance. We confirm the current rules and your exact numbers together. At closing you also settle adjustments for prepaid property tax and utilities.
What hidden costs do London buyers forget?
Mortgage insurance and its sales tax
Put less than 20% down and you’ll pay mortgage loan insurance on top of everything else. It is usually added to your mortgage rather than paid at the lawyer’s office, so it hides. But it is real money. It changes your true cost of buying.
The sales tax on it does not hide. It is due in cash at closing. You see both before you set your down payment, not after.
What does a buyer’s agent cost you with us?
With us, you pay a $495 retainer to start. Our 3% is paid from the seller’s side of the deal, not by you. If a seller offers less than 3%, you do not pay the difference.
See our buyer pricing, line by line →
You see the number first, in writing
Every home you buy with us comes with your closing costs in writing before you commit. It also comes with a 1-Year Canadian Home Shield SafeClose™ Warranty: up to $15,000 of protection, $100 deductible.
And our Love Your New Home Guaranteed or I’ll Sell It For Free. Not right within 24 months? We list it at 0% listing-side commission. That applies when you buy your next home with us, one of equal or greater value. You remain responsible for the buyer’s agency fee.
What closing costs does a first-time buyer pay in Ontario?
First-time buyers pay the same closing costs, with one big break. Ontario refunds up to $4,000 of the land transfer tax. On our $600,000 example, that brings closing costs to about $7,175.
Watch the definition. For Ontario’s refund, you can never have owned a home, or a share of one, anywhere in the world. Federal programs use a different test. So a past owner can miss the Ontario refund but still qualify federally. Our first-time buyer guide walks through both.
How much down payment do you need to buy a house in London?
It depends on the price. The minimum is 5% on a home up to $500,000.
From $500,000 to $1.5 million, it is 5% of the first $500,000 plus 10% of the rest. At $1.5 million or more, it is 20%. Under 20% down, you also need mortgage loan insurance. Get pre-approved to know your exact number.
Who this is not for
If you want an agent who opens doors and stays quiet, we’re probably not your team. We push back on a bad house. We run the numbers out loud. And we will talk you out of a home that is wrong for you.
What do London buyers say about working with us?
★★★★★All the way from the start of the house search, Ken was there to help at every step. From setting up search criteria that exactly met our needs, to getting viewings scheduled, to providing honest feedback about the properties (which is often rare for most agents); Ken went above and beyond our expectations. 10/10 experience with Ken.
J H · Buyer · Apr 2023 · via Google
4.9 average from 14 Google reviews, as shown on our reviews page (October 2026). Read every review, word for word.
Common questions about the cost to buy in London
How much does it cost to buy a house in London, Ontario?
What is the Ontario land transfer tax?
Do I need a home inspection?
How much of a down payment do I need?
How much money do you need to buy a house in Ontario?
How do I find out my real closing costs?
Do buyers pay real estate agent fees in Ontario?
Know your real closing costs before you offer.
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About Ken Small
Ken Small, REALTOR®, has been a real estate agent in London since 2003. He leads the Ken Small Real Estate Team at Century 21 First Canadian Corp., Brokerage. The office is at 420 York Street, London, ON N6B 1R1. RECO #4727293. Meet the team →