Here's the part of buying a home that gets glossed over in every conversation about affordability: the costs that aren't in the listing price. Alberta is actually one of the best provinces in Canada to close a purchase. No provincial land transfer tax, no PST on insurance premiums, and land title fees that are a fraction of what Ontario buyers pay. But you still need to budget for closing costs, and the number that surprises most buyers is how low it actually is compared to what they expected coming from elsewhere.

This is the full breakdown. Every cost, real numbers, Alberta-specific.

Key Takeaways

• ●Alberta has no provincial land transfer tax. On a $700,000 purchase, the land title transfer fee is approximately $750, compared to $20,950 in Ontario or Toronto combined (Alberta Land Titles, 2026)
• ●Alberta buyers with 20% down typically pay $2,500 to $4,000 in total closing costs, roughly 0.5% to 0.7% of the purchase price on a median detached home.
• ●CMHC mortgage insurance is required for down payments under 20%. At 5% down, the premium is 4.0% of the mortgage amount. It's added to your mortgage, not paid as cash at closing.
• ●Unlike Ontario, Quebec, and Saskatchewan, Alberta does NOT charge provincial sales tax on the CMHC insurance premium. (CMHC, 2026)

What Are Closing Costs and What Do They Cover in Alberta?

Closing costs are the expenses beyond your down payment that you pay to complete a real estate transaction. They typically fall into three categories: government fees, professional fees, and optional-but-recommended protections like title insurance and home inspection (WOWA.ca, 2026). In Alberta, the total closing cost budget for a typical purchase with 20% down is 1% to 2% of the purchase price. That's significantly lower than most other Canadian provinces because Alberta has no provincial land transfer tax.

Most buyers should have their closing cost cash ready in addition to their down payment, since lenders don't typically allow you to finance these expenses. The exception is CMHC mortgage default insurance, which gets added to your mortgage if you have less than 20% down.

The Cost That Surprises Ontario Buyers Most: No Land Transfer Tax

Alberta does not charge a provincial land transfer tax. Instead, the Alberta Land Titles Office charges a registration fee using a simple formula: $50 base plus $5 for every $5,000 of the property's value (or part thereof), effective October 2024 (Alberta Land Titles, 2026). This applies separately to both the title transfer and the mortgage registration.

What does that look like in practice? On a $589,000 detached home (roughly Edmonton's April 2026 average), the land title transfer fee is approximately $640. The mortgage registration fee on a $530,000 mortgage comes to about $580. Total government fees: roughly $1,220. In Ontario, the provincial land transfer tax alone on a $589,000 purchase would be around $8,475. In Toronto, you'd add the municipal LTT on top of that.

On a $700,000 purchase in Alberta, the land title transfer fee totals approximately $750 (Alberta Land Titles, 2026). In Ontario, the provincial land transfer tax on the same purchase is $8,475 in the rest of the province, and rises to $20,950 in Toronto when the municipal LTT is added. This single difference makes Alberta one of the lowest closing cost jurisdictions in Canada for real estate buyers.

Legal Fees, Home Inspection, and Title Insurance: What to Expect

Real Estate Lawyer

You need a real estate lawyer to close a purchase in Alberta. Legal fees typically range from $1,100 to $1,800 including disbursements (title searches, couriers, registration costs). Some lawyers charge closer to $1,000 for straightforward transactions; complex or high-value deals can run higher. Shop around, but don't choose solely on price. A good real estate lawyer in Edmonton will catch issues that a cheaper option might miss.

Home Inspection

Home inspections in Edmonton typically run $500 to $650 for a standard single-family home, with more complex properties or larger homes costing up to $800. This is not optional in my opinion. It's the most cost-effective way to understand what you're buying before you commit. Your condition period is where you get this done, typically within the first 7 to 10 business days after an accepted offer.

Title Insurance

Title insurance is a one-time premium that protects against issues with the title to your property (survey disputes, encroachments, fraud). It typically costs $200 to $400 for a residential purchase in Alberta and is arranged through your lawyer. Many lenders require it. It's inexpensive relative to the protection it provides.

Do You Need CMHC Mortgage Default Insurance in Alberta?

Mortgage default insurance is required in Canada any time a buyer puts less than 20% down on a home purchase. The premium is calculated as a percentage of your total mortgage amount and is set by CMHC (Canada Mortgage and Housing Corporation, 2026). As of 2026, the insured mortgage cap has been raised to $1.5 million, meaning you can qualify for CMHC with a purchase price up to that limit with less than 20% down.

The important thing to understand: the CMHC premium is added to your mortgage balance, not paid as cash at closing. So it doesn't come out of your pocket on possession day. What does come out of your pocket is the GST on the premium (5%), which is typically a few hundred dollars. Unlike Ontario, Quebec, and Saskatchewan, Alberta does not charge PST on the CMHC premium.

On a $500,000 purchase with 5% down ($25,000), your mortgage is $475,000. CMHC at 4.0% adds $19,000 to your mortgage balance, bringing the insured amount to $494,000. That $19,000 isn't cash you need to find. It's part of your mortgage. What you do need in cash is your down payment, your closing costs, and the GST on the CMHC premium (in this case, $950).

CMHC mortgage insurance premiums in Canada range from 2.8% to 4.0% of the total mortgage, depending on the down payment (CMHC, 2026). Alberta buyers pay only 5% GST on the premium, unlike Ontario, Quebec, and Saskatchewan, which add provincial sales tax. For a $500,000 purchase with 10% down in Edmonton, the CMHC premium is $13,950, added to the mortgage, not paid at closing.

The Full Alberta Closing Cost Checklist: Real Numbers

Here's what a realistic closing cost budget looks like for an Edmonton buyer purchasing a $525,000 detached home (the April 2026 median) with 20% down ($105,000). These are real, Alberta-specific numbers.

• Land title transfer fee~$575 (Alberta Land Titles, 2026)
• Mortgage registration fee~$470 (on $420K mortgage)
• Real estate lawyer$1,100 to $1,800 (including disbursements)
• Home inspection$500 to $650 (standard detached)
• Title insurance$200 to $400 (one-time premium)
• Property tax adjustmentVaries based on possession date in the year
• Home insurance (first payment)Typically required as a condition of your mortgage

Total closing cost range: approximately $2,850 to $3,900 on this purchase with 20% down. That's 0.54% to 0.74% of the purchase price. Budget $4,000 to be comfortable. If you're putting less than 20% down, add the GST on your CMHC premium to this number.

One thing I've seen trip up out-of-province buyers: the property tax adjustment. Because property taxes in Alberta are typically paid in the second half of the year, your lawyer will calculate how many days of the current year's tax you're responsible for and may need to reimburse the seller. This varies a lot depending on your possession date and isn't always top of mind. Your lawyer handles the math, but just know it can add a few hundred dollars to your closing costs.

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