A quick HST overview for those of you currently contemplating a real estate transaction:
- Sellers will now be paying 13% (instead of 5%) on real estate commissions, and the lawyer's fee will also be subject to the HST.
- Buyers will also be paying HST on their lawyer's fee—the good news for condo buyers is that while the cost of ordering a Condominium Status Certificate is subject to the HST, the total amount of $100 is legislated and will not be increased.
- Buyers will further be paying HST on home inspections, moving services and the CMHC premium for "high-ratio mortgages" (ie. mortgages with less than a 20% downpayment).