What a House Over $1 Million Costs to Buy and Own in Stoney Creek and Hamilton
The price is not the only large number on a house over $1 million. Land transfer tax climbs with the price, and a larger house costs more every year to tax, insure, heat and repair.
This guide covers what is different at this price. The basics are in our guides to closing costs and what a house costs per month.
Land transfer tax at $1 million and up
Ontario charges land transfer tax on the purchase price, payable at closing. Each rate applies only to its own slice of the price. As of October 2026 the rates are 0.5% on the first $55,000, 1% from $55,000 to $250,000, 1.5% from $250,000 to $400,000 and 2% from $400,000 to $2,000,000. Above $2,000,000 the rate is 2.5% where the land holds one or two single family residences.
| Purchase price | Tax on the first $400,000 | Tax at 2% ($400,000 to $2,000,000) | Tax at 2.5% (over $2,000,000) | Ontario land transfer tax |
|---|---|---|---|---|
| $1,000,000 | $4,475 | $12,000 | $0 | $16,475 |
| $1,500,000 | $4,475 | $22,000 | $0 | $26,475 |
| $2,000,000 | $4,475 | $32,000 | $0 | $36,475 |
| $2,500,000 | $4,475 | $32,000 | $12,500 | $48,975 |
Hamilton has no municipal land transfer tax. Toronto is the only Ontario city that charges one. The first-time buyer refund (up to $4,000) is only for someone who has never owned a residence anywhere.
Other closing costs that move with the price
- Title insurance. A one-time premium that varies with the value of the property and the insurer.
- Legal fees. These vary by firm and by how much work the purchase needs.
- Mortgage insurance. With 20% or more down, mortgage loan insurance is usually not required, so there is no premium and no Ontario sales tax on one. See our guide to down payments over $1 million.
Buyers who are not Canadian citizens or permanent residents face two more rules. Ontario's Non-Resident Speculation Tax is 25% of the price, on top of land transfer tax, anywhere in the province. A federal law also bars most non-Canadians from buying residential property in most urban areas, and is in place until January 1, 2027 (as of October 2026). A lawyer confirms whether either rule applies.
Property tax on a higher-priced house
Property tax is the assessed value set by MPAC, multiplied by the combined City of Hamilton and education tax rate. The rate differs a little by part of the city, because services such as transit and fire are charged by area.
The assessed value is not the price you pay. In 2026, assessments are still based on values as of January 1, 2016, because the province-wide reassessment remains postponed. You do not need to estimate the tax, because the listing shows the annual tax for that house.
When a house is newly built, or has had an addition or major renovation, MPAC updates the assessment and the City bills the difference. The tax on the listing may not include that work yet.
Insuring a larger house
A house is insured for what it would cost to rebuild, not for its market value.
- Guaranteed replacement cost. Some policies include coverage meant to pay the full rebuild cost even if it passes the policy limit. Conditions and exclusions apply.
- Water. Sewer backup and overland flood are usually not part of a standard policy. Both are optional add-ons. See our guide to wet basements and flood risk.
- Features and age. A pool, a wood stove or fireplace, knob-and-tube or aluminum wiring, older plumbing and an older roof can all affect the premium or the terms. So can the distance to a fire hydrant on a rural lot.
An insurer may want an appraisal or inspection of a high-value house before it sets the rebuild figure. Practice varies, so ask.
Upkeep and utilities
A larger house has more that wears out: more roof, more windows, often two furnaces and two air conditioners, and sometimes a pool, irrigation, a long driveway and large grounds.
One common rule of thumb is to set aside 1% of the purchase price each year for maintenance, which is $15,000 on a $1,500,000 house. It is only a rule of thumb, and some sources suggest more. The age of the roof, furnaces and pool equipment tells you more than any percentage.
Heating and cooling bills rise with the floor area. On a rural lot, a well, a septic system and propane or oil bring their own costs, covered in our guide to inspecting a larger house.
Who should be careful at this price
This price is not right for a buyer who can reach it only by leaving nothing over. If the budget covers the mortgage payment and little else, one roof or one furnace becomes a problem. Your lawyer confirms the closing costs for your purchase, and your insurer or broker confirms the coverage and the premium.
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Frequently Asked Questions
How much is land transfer tax on a $1 million house in Hamilton?
Ontario land transfer tax on a $1,000,000 purchase is $16,475 at the rates in effect as of October 2026. Hamilton adds no municipal land transfer tax.
Does Hamilton have a municipal land transfer tax?
No. Toronto is the only Ontario city with one.
Is property tax based on what I pay for the house?
No. It is the MPAC assessed value, which in 2026 still reflects January 1, 2016 values, multiplied by the tax rate.
Is a house insured for its purchase price?
No. It is insured for the cost to rebuild it, which the insurer estimates from its size, construction and features.
How much should I budget for maintenance on a larger house?
There is no fixed figure. A common rule of thumb is 1% of the purchase price a year, but the age of the roof, furnaces and any pool matters more.
Want to go through the closing and running costs for a specific house? Get in touch and we will work through it with you.
This guide is general information, not legal, tax, mortgage or insurance advice. Tax rates, rules and dates change, so confirm the figures for your purchase with your lawyer, your lender and your insurer.