Does Newfoundland have a land transfer tax?

Newfoundland and Labrador does not have a traditional land transfer tax. Buyers pay a registration of deeds fee based on the property value. First-time buyers may be eligible for an exemption from the registration fee on homes up to $150,000. For homes above this level, the fee applies at standard rates.

What is the first-time home buyer exemption in Newfoundland?

Newfoundland and Labrador offers first-time home buyers an exemption from the registration of deeds fee on homes valued up to $150,000. Given the low average home prices in the province, this exemption benefits a meaningful portion of buyers, particularly outside St. John''s. Buyers of homes above $150,000 pay the standard registration fee.

How affordable is Newfoundland for first-time buyers?

Newfoundland and Labrador has some of the most affordable housing in Canada. Average home prices in St. John''s are approximately $310,000, and prices outside the capital are significantly lower. A 5% down payment on a $300,000 home is just $15,000. Combined with low registration fees and no PST on CMHC insurance, Newfoundland is very accessible for first-time buyers.

First-Time Home Buyer Guide Newfoundland and Labrador: Programs, Rebates, and Tips (2026)

Newfoundland and Labrador has some of the most affordable housing in Canada. Average home prices are well below the national average, registration fees are modest, and the province offers a first-time buyer exemption on homes up to $150,000. For homes above that threshold, buyers pay relatively low registration fees compared to the land transfer taxes charged in Ontario, BC, or even Nova Scotia. First-time buyers in NL benefit primarily from federal programs and the province’s inherent affordability.

First-Time Home Buyer Benefits in Newfoundland and Labrador

Benefit	Maximum Value	Who Provides It
Registration fee exemption (first-time buyers)	Exemption on homes ≤ $150,000	Provincial
Federal First-Time Home Buyers’ Tax Credit	$1,500	Federal
FHSA	$40,000 tax-deductible savings	Federal
Home Buyers’ Plan (HBP)	$60,000/person RRSP withdrawal	Federal
HST New Housing Rebate	Up to $6,300 (federal) + NL portion	Federal + Provincial

Newfoundland Registration of Deeds Fee

Newfoundland does not charge a percentage-based land transfer tax like Ontario or Nova Scotia. Instead, buyers pay a registration of deeds fee based on the property value.

Property Value	Registration Fee
Up to $500	$100
$500–$5,000	$100 + $0.40 per $100 (or portion)
$5,001–$10,000	Additional $0.40 per $100
$10,001–$15,000	Additional $0.40 per $100
$15,001–$25,000	Additional $0.40 per $100
$25,001–$50,000	Additional $0.40 per $100
$50,001–$100,000	Additional $0.40 per $100
Over $100,000	Additional $0.40 per $100

Approximate Total Registration Fees

Purchase Price	Approximate Registration Fee
$150,000	~$700 (exempt for first-time buyers)
$200,000	~$900
$300,000	~$1,300
$400,000	~$1,700
$500,000	~$2,100

First-Time Buyer Exemption

Detail	Explanation
Exemption	Full exemption from registration of deeds fee
Home value limit	$150,000 or less
Eligibility	First-time buyer; Canadian citizen or PR; property used as principal residence
Homes above $150,000	Standard registration fee applies — no partial exemption

NL vs Other Provinces

Province	Transfer Tax/Fee on $300K Home	First-Time Rebate
Newfoundland and Labrador	~$1,300	Exempt if ≤$150K
Nova Scotia	$4,500	$0
New Brunswick	$3,000	$0
Ontario	$2,975	$2,975
Alberta	~$170 (registration fee)	N/A

NL’s registration fees are among the lowest in Canada for any home purchase.

Down Payment Requirements

Home Price	Minimum Down Payment	Amount Needed
Under $500,000	5%	$15,000 on $300K
$500,000–$1,499,999	5% + 10% above $500K	$35,000 on $600K
$1,500,000+	20%	$300,000 on $1.5M

Down Payment Sources

Source	Details
FHSA	$40,000 tax-deductible, tax-free withdrawal
HBP (RRSP)	$60,000 per person, repay over 15 years
Savings	Regular savings or TFSA
Gifts	Family gifts with signed gift letter

First Home Savings Account (FHSA)

Feature	Details
Annual contribution limit	$8,000
Lifetime limit	$40,000
Tax treatment	Deductible contributions + tax-free growth
Withdrawal	Tax-free for qualifying home purchase
NL benefit	Deduction reduces both federal and NL provincial tax

Home Buyers’ Plan (HBP)

Feature	Details
Maximum withdrawal	$60,000 per person ($120,000 couple)
RRSP seasoning	Funds must be in RRSP for 90+ days
Repayment period	15 years
Annual repayment	1/15 of withdrawn amount

Closing Costs in Newfoundland and Labrador

Cost	Estimated Amount
Registration of deeds fee	$700–$2,100
Mortgage registration fee	$200–$600
Legal fees + disbursements	$1,200–$2,000
Title insurance or survey	$250–$500 (insurance) or $1,000+ (survey)
Home inspection	$350–$500
Appraisal (if required)	$300–$500
Property tax adjustment	Varies (pro-rated)
Moving costs	$500–$2,000
Total closing costs	$4,000–$8,500

No PST on CMHC insurance: Newfoundland and Labrador does not charge PST on mortgage default insurance premiums. See PST on mortgage default insurance.

HST on New Homes

NL uses the HST at 15% (5% federal + 10% provincial).

Situation	HST
Resale home	No HST
New construction	15% HST
Federal GST New Housing Rebate	36% of GST portion if home ≤ $350,000 (max $6,300)
NL HST Rebate	Rebate of provincial portion on qualifying new homes

NL-Specific Considerations

Housing Market

City	Average Home Price (2025)
St. John’s	~$310,000
Mount Pearl	~$300,000
Corner Brook	~$200,000
Gander	~$250,000
Grand Falls-Windsor	~$170,000
Labrador City	~$140,000
National average	~$700,000+

Newfoundland has some of the lowest home prices in Canada. Many homes outside St. John’s are under $200,000, making the 5% minimum down payment as low as $10,000.

Property Tax Rates

City	Approximate Residential Rate	Annual Tax on $300K Home
St. John’s	~1.10%	~$3,300
Mount Pearl	~0.95%	~$2,850
Corner Brook	~1.30%	~$3,900
Gander	~1.05%	~$3,150

Property tax rates in NL are generally moderate to low.

Home Heating Costs

Consideration	Details
Average heating cost	$2,500–$4,500/year depending on fuel type and home size
Common fuel types	Oil, electric, wood (natural gas availability limited)
Budget impact	Higher heating costs offset some of the savings from lower home prices
Energy efficiency	Many older homes need insulation upgrades — factor into budget

Newfoundland’s climate means heating costs are a significant ongoing expense. When evaluating affordability, include annual heating as part of your carrying cost analysis.

Property Surveys

Detail	Explanation
Common practice	Surveys are more commonly used than title insurance in NL
Cost	$1,000–$2,500 for a new survey
Availability	Title insurance is available as lower-cost alternative
Recommendation	Discuss with your lawyer which option suits your property

Mortgage Considerations

Factor	Details
Recourse	NL is a full recourse province
Foreclosure	Judicial foreclosure (court-supervised)
CMHC insurance PST	No PST on CMHC premiums

Step-by-Step Process

Step	Timeline	Action
1	1–5 years before	Open FHSA, contribute to RRSP
2	6–12 months before	Get mortgage pre-approval
3	3–6 months before	Research communities, set budget (include heating costs)
4	When ready	Find a real estate agent
5	House hunting	View properties, make offers
6	Offer accepted	Conditions: inspection, financing (7–14 days)
7	30–60 days	Closing preparation with lawyer
8	Closing day	Sign documents, get keys

The Bottom Line

Newfoundland and Labrador is one of the most affordable places to buy a home in Canada. Registration fees are minimal, there is no PST on CMHC insurance, and a starter home in St. John’s requires as little as $15,000 down. The main ongoing cost to plan for is heating — NL’s climate means $2,500–$4,500/year in fuel costs. Use the FHSA and HBP to build your down payment, and budget for total closing cash of roughly 7%–8% of the purchase price.