Brad Bradford pledges to scrap land transfer tax on Toronto homes under $1.1 million
The mayoral candidate announced Tuesday the exemption would save homebuyers up to $18,000 but would cost the city $300 million annually — a figure his rival Olivia Chow says he cannot fund.
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Brad Bradford announced Tuesday a plan to scrap Toronto's land transfer tax entirely on homes selling for $1.1 million or less — a policy his campaign estimates will save homebuyers as much as $18,000 per purchase.
The exemption would apply only to principal residences and would benefit first-time homebuyers and those selling their own homes. Landlords and investment properties would pay the full tax amount on any portion exceeding $1.1 million. Investors and landlords owning multiple Toronto properties account for 29 per cent of purchases in the city.
Bradford's campaign estimates the policy will cost Toronto $300 million annually — equivalent to 35 per cent of the land transfer tax revenue the city collected last year, which totalled $850 million. The campaign says it would be funded through extending the city's timeline for infrastructure projects and creating a public water company that could generate dividends. The policy would apply retroactively to all homes bought between Tuesday and election day.
Olivia Chow's campaign dismissed the plan as unfunded. "Today's scheme takes $300 million out of the City's coffers without any plan to pay for it," a Chow spokesperson said in a statement, calling Bradford's water-company dividend "imaginary" and warning the plan would "gutting billions from the City's capital budget and taking on even more debt."
Chris Alexander, the third mayoral candidate, said the land transfer tax is too high but wants broader city hall reforms before addressing it. "The other two candidates keep coming with feel-good discounts and no solutions attached," Alexander said. Bradford has campaigned on the exemption before, attempting similar measures four times over six years without success.
If the water company dividend materializes, how much revenue would it generate and when?
What specific infrastructure projects would be delayed, and would Toronto residents face service cuts?
Why set the exemption threshold at $1.1 million when most first-time buyers purchase below that price?
We'll update this story as answers emerge.
The facts
How much would Brad Bradford's land transfer tax exemption save homebuyers?
Brad Bradford's campaign estimates homebuyers would save as much as $18,000 per purchase on principal residences selling for $1.1 million or less.
Which property types would be exempt from the tax under Bradford's plan?
Principal residences selling for $1.1 million or less would be exempt. Landlords and investment properties would pay the full tax on any portion exceeding $1.1 million.
How would Brad Bradford propose to fund the policy?
Bradford's campaign says the policy would be funded through extending Toronto's timeline for infrastructure projects and creating a public water company that could generate dividends.
