Property Tax in Canada 2026: Rates by City and How It Is Calculated

Property tax is a yearly cost of owning a home, set by your municipality. This page explains how it is calculated, shows current residential rates for the cities where we have the official figures, and covers relief programs and how property tax affects your mortgage. Each city below has its own page with its rate, bill and payment options, and the property tax calculator estimates your bill from your assessed value.

Property Tax by City

• Ontario: Toronto property tax, Ottawa property tax, Mississauga property tax, Brampton property tax, Hamilton property tax, Windsor property tax
• Alberta: Calgary property tax, Edmonton property tax
• British Columbia: Vancouver property tax
• Quebec: Montreal property tax

How property tax is calculated

Your tax is your property’s assessed value multiplied by your municipality’s residential tax rate. The assessed value comes from your province’s assessment authority, such as MPAC in Ontario or BC Assessment in British Columbia; how assessments work and how to appeal one has the details. The rate usually combines a municipal rate and an education rate. Calgary, for example, adds a municipal rate and a provincial education rate to get its total. In Ontario the education portion is set by the province and is generally uniform across Ontario; in Toronto it is 0.153% of assessed value.

A low rate doesn’t mean a low bill. Each council sets its rate to raise the revenue it needs from the total assessed value in the city, so cities with high property values can charge lower rates. A 1.5% rate on a $400,000 home and a 0.5% rate on a $1,200,000 home both produce a $6,000 bill.

Residential rates in major cities

These are the cities whose own published 2026 rates we hold. Rates apply to assessed value, not the price you paid.

Of these, Calgary has the lowest rate and St. Catharines the highest. Other cities publish their rates in parts (municipal, school and area rates) that differ by neighbourhood, and we don’t yet hold an official total for them; their pages above give an approximate rate, and your latest tax bill or your city’s property tax page has the exact one.

How property tax affects your mortgage

Lenders count property taxes in your gross debt service (GDS) ratio, together with the mortgage payment at the qualifying rate and heating. For an insured mortgage, CMHC caps GDS at 39% of gross income. So for the same income, a higher property tax bill means a smaller mortgage. The affordability calculator lets you enter your own property tax rate.

Property tax relief and deferral programs

Provinces and municipalities run their own programs, mostly for seniors, people with disabilities and low-income owners.

• BC home owner grant. The home owner grant reduces property tax on your principal residence if you’re the registered owner, and a Canadian citizen or permanent resident living in BC. If the assessed value is over the grant threshold, the grant is reduced. From January 1, 2027, the regular grant is $570 everywhere in BC. You must still pay at least $350 in property tax. Seniors, veterans and people with disabilities can qualify for a larger additional grant.
• BC property tax deferment. BC’s property tax deferment program is a loan that lets homeowners who are 55 or older, surviving spouses, people with disabilities, and some families with children defer their property taxes.
• Alberta seniors’ deferral. Alberta’s seniors property tax deferral program lets eligible seniors defer property taxes as a low-interest loan secured against the home, repaid when the home is sold or transferred.
• Ontario municipal programs. Ontario municipalities offer their own tax increase cancellations or deferrals for low-income seniors and people with disabilities; each Ontario city page lists its program.

Property tax when you buy

When you buy a home, your lawyer or notary adjusts for property tax the seller has already paid, or hasn’t paid, for the year, on the statement of adjustments at closing. After that the bill is yours. You can pay the municipality directly or, where your lender offers it, through your mortgage payments; paying property taxes with your mortgage compares the two. Buying also brings a one-time land transfer tax in most provinces.

If a bill goes unpaid, penalties and interest build and the tax becomes a lien ahead of your mortgage: what happens if you don’t pay property tax covers the rules.