Is There a Land Transfer Tax in Alberta? Closing Fees Explained

No. Alberta does not charge a land transfer tax. Buyers moving from Ontario or British Columbia are often relieved to hear it, since that tax alone can run into the thousands on a $500,000 home in those provinces. In Alberta, you pay much smaller Land Titles registration fees instead: $50 plus $5 for every $5,000 of the purchase price to register the transfer, and the same formula on your mortgage amount. On a $500,000 home with a $400,000 mortgage, that comes to about $1,000.

That does not make closing free. You still pay legal fees, disbursements and possibly title insurance, plus lender charges and adjustments that settle up the property’s running costs. It helps to sort these into five groups: government fees, legal fees, lender charges, adjustments and optional services. Each one works differently, and knowing the difference makes a closing estimate much easier to read.

Alberta Closing Costs

Land Titles fees

What Alberta charges in place of a land transfer tax is a registration fee through Land Titles. When you buy a home, two documents are usually registered. The transfer moves ownership to you, and the mortgage records your lender’s interest. The current fees are:

•       Transfer of land: $50 + $5 per $5,000 of value
•       Mortgage registration: $50 + $5 per $5,000 of the mortgage amount

Both fees rise with the dollar amounts involved, so a bigger purchase or a bigger mortgage costs more to register. Here is a worked example for a typical first-time purchase:

These fees went up on October 20, 2024, when the province increased the per-$5,000 rates, so ask for an estimate based on current rates and not an older figure. They are paid when the documents are registered on closing.

Other closing costs and adjustments

Registration fees are only part of what you pay. A typical Alberta purchase also includes:

• Legal fees, plus GST
• Disbursements, which are out-of-pocket costs such as searches and courier charges
• Title insurance, which many lenders accept or require
• Appraisal or inspection costs, usually paid before closing
• Property tax adjustments, so you reimburse the seller for any part of the year’s taxes they prepaid after your possession date
• Condominium fee adjustments for condos and some townhomes
• Lender charges, such as mortgage loan insurance, which is generally required when your down payment is under 20%

All of these come together on the statement of adjustments, which shows the final amount you need to bring to closing. A condo purchase with a high-ratio mortgage will look quite different from a house purchase with 25% down. For a wider view, see what Canadian homebuyers should know about closing costs.

Legal Help for First-Time Buyers

What lawyers handle

In Alberta, a real estate lawyer does most of the legal work on a closing. They review your purchase contract, search title for liens or caveats, prepare and register the transfer and mortgage, receive your down payment and mortgage funds in trust, pay the seller and confirm that every closing condition has been met. They should also go through each document with you before you sign. To get more out of that meeting, bring a list of questions to ask a real estate lawyer before buying a home in Alberta.

First-time buyers gain the most from this support. Lender instructions come with firm deadlines, and a missed condition or a title problem found late can push back your possession date.

Comparing quotes

Many Calgary and Edmonton firms offer fixed-fee or flat-fee closings for standard residential purchases. A flat fee is only useful if you know exactly what it covers. Our article on fixed-fee real estate closings in Calgary explains what to look for. Before you hire anyone, ask for a written quote that lists each of these items separately:

Beyond price, consider how quickly the firm responds, whether it is comfortable with your lender’s requirements and how much residential closing work it does for first-time buyers.

The Bottom Line

Alberta buyers do not pay a land transfer tax, but they do pay closing costs. A realistic budget lists registration fees, legal fees, disbursements, title insurance, adjustments and lender charges separately, and you should confirm each amount before you remove your conditions.

Buying your first home in Alberta? Property Law Firm can give you an itemized closing estimate that shows Land Titles fees, the legal fee, disbursements and GST as separate lines, well before you see the statement of adjustments. Contact our Alberta team to request one.

Frequently Asked Questions

Does Alberta have a land transfer tax?

No. Alberta does not charge a land transfer tax. You pay Land Titles fees to register the transfer and your mortgage instead, and those belong in your closing budget.

How much are Land Titles fees on a $500,000 home in Alberta?

About $550 to register the transfer. If you also register a $400,000 mortgage, add about $450, for roughly $1,000 in total.

How much are closing costs in Alberta?

No single percentage fits every purchase. The total depends on the price, the mortgage amount, your lender’s requirements, the property type, the adjustments and what the legal work covers. Ask for an itemized estimate early, before you remove your financing condition if you can.

Should first-time buyers use a real estate lawyer?

Yes. A lawyer handles the legal transfer, your lender’s instructions, title registration, the movement of funds and the closing documents, and can explain each fee before you are committed to it.

This article is for general information purposes only. It does not constitute legal advice and does not create a solicitor-client relationship. Consult a licensed Alberta lawyer for advice specific to your transaction and investment structure.

This content has been prepared to align with Canadian Bar Association guidelines and the Law Society of Alberta’s rules regarding lawyer advertising and public communications. No specific lawyer or firm is endorsed herein.