Bonnie Crombie’s housing plan targets land transfer tax

Ahead of a possible early provincial election, Ontario Liberal leader Bonnie Crombie has outlined her party’s plan to tackle housing costs.

The Liberals are promising that, if elected, first-time homebuyers, seniors planning to downsize, and non-profit home builders would all be exempt from paying the provincial Land Transfer Tax (LTT).

Currently, the province offers refunds of $4,000 on the tax for first-time home buyers purchasing houses over $368,000.

Crombie’s proposed policy to eliminate Ontario’s LTT would save first-time and senior home buyers an additional $12,400 on the cost of a $1 million home.

“Doug Ford just doesn’t care about getting you a home you can afford,” Crombie said in a release Wednesday. “He’s had six years to fix this disaster, and things have only gotten worse.”

The City of Toronto has a separate Municipal Land Transfer Tax that would not be covered by Crombie’s proposal.

The Liberal plan would also scrap development charges on new “middle-class housing” in the province and set up a fund for municipalities to cover infrastructure coasts.

Promises to “phase-in” rent control and create an emergency support fund for tenants were also part of the affordable housing policy announced by the party.

Reacting to the proposed Liberal policy at Queen’s Park Wednesday, Housing Minister Paul Calandra said, “Bonnie Crombie had one of the worst records [for building homes] when she was mayor of Mississauga.”

Regarding Crombie’s plan for scrapping development charges on certain homes, Calandra added, “she talks about cancelling infrastructure investments… we have heard constantly from homebuilders and communities across the province of Ontario that they need investment in sewers and water if they’re going to get shovels in the ground faster.”