What It Costs to Downsize in Markham

The short answer

Markham downsizing costs come from five places: legal fees on both transactions, land transfer tax on the home you buy, moving, ongoing condo fees if you buy a condo and a property tax adjustment at closing. Our downsizing in Markham guide walks through the whole process, from deciding where to move to sequencing your two closings. This post goes deeper on the numbers, with worked examples at August 2026 Markham prices.

There is no single total to quote, because commission, legal fees and moving costs vary by provider and by home. What follows is what each cost covers and, where a rate is fixed by law, exactly what it comes to.

Real estate commission

Commission is not a fixed percentage set by law or by TRREB. It is negotiated between you and the brokerage you choose to list with and it can vary by listing. Rather than quote a typical rate, ask your own brokerage what they charge and what is included in that fee before you sign a listing agreement. Our sellers page explains how we work with sellers in Markham, including downsizers coordinating a sale with a purchase.

Legal fees on the sale and the purchase

Downsizing usually means two closings, a sale and a purchase, each needing its own real estate lawyer engagement on its own timeline. A lawyer’s fee covers reviewing the agreement, handling the mortgage discharge or new mortgage, title search and registration and the closing itself. Disbursements, such as searches and registration charges, are billed on top of the fee.

Because legal fees are quoted individually by each law firm rather than published at a fixed provincial rate, get a quote from your own lawyer for both your sale and your purchase rather than assuming a number. Our closing costs guide lists the other one-time bills that arrive around the same time, including title insurance and any provincial sales tax on mortgage default insurance if you are financing part of the new home.

Land transfer tax on the home you buy

Land transfer tax is one of the largest and most predictable costs of downsizing, because Ontario’s rates are set out in tiers and apply to whatever you buy next. The first $400,000 of any purchase always produces the same $4,475 in tax: 0.5 percent on the first $55,000, 1.0 percent on the next $195,000 and 1.5 percent on the next $150,000. Above $400,000, the rate is 2.0 percent.

The table below uses the August 2026 TRREB medians for the City of Markham that our downsizing guide also uses, so the two posts stay consistent.

Home type (TRREB, Markham, August 2026)	Median price	Ontario land transfer tax
Condo apartment	$563,800	$7,751
Freehold townhouse	$995,000	$16,375

Worked example: condo apartment at $563,800

1. First $55,000 at 0.5 percent: $275
2. Next $195,000, up to $250,000, at 1.0 percent: $1,950
3. Next $150,000, up to $400,000, at 1.5 percent: $2,250
4. Remaining $163,800 at 2.0 percent: $3,276
5. Total: $7,751

Worked example: freehold townhouse at $995,000

1. First $400,000 at the fixed rate: $4,475
2. Remaining $595,000 at 2.0 percent: $11,900
3. Total: $16,375

These figures use citywide medians, not any specific listing, so your own tax depends on the price you actually agree to pay. Our land transfer tax guide has the full rate table, more worked examples at other price points and how Markham compares with Toronto’s additional municipal tax.

Moving costs

Moving costs scale with distance and with how much you are keeping rather than with the price of either home, so there is no standard figure to quote. A move within Markham from a larger house into a smaller condo or townhouse is typically less expensive than a long-distance move, simply because there is less to transport and often less to store along the way. Get quotes from a couple of movers once you have a firm closing date, since demand for movers rises around common closing periods such as the end of a month.

Condo fees and the status certificate

If you are downsizing into a condo apartment or condo townhouse, budget for an ongoing monthly maintenance fee that a freehold bungalow or townhouse does not have. That fee typically covers items such as building insurance, exterior maintenance and sometimes heat or water, but what is included varies by building.

Before your purchase becomes firm, ask for the status certificate. The Condominium Authority of Ontario recommends that condo buyers have their lawyer review it, since it sets out the current monthly fee, the state of the reserve fund and any planned special assessments that could affect your budget after you move in. Our condo status certificate guide explains what the document contains and what your lawyer checks. A bungalow or freehold townhouse has no condo fee, but ordinary property tax and utility bills continue.

Property tax adjustments at closing

The Financial Consumer Agency of Canada lists property tax adjustments among the standard closing costs a buyer should expect, reimbursing a seller for amounts already paid, such as property tax for the year. Because you are both selling and buying, expect an adjustment on each transaction: one that credits or charges you on the home you are leaving and another on the home you are buying. Ask your lawyer to walk you through both adjustments specifically, since the amount depends on when each closing falls in the tax year. Our Markham property tax guide explains how the underlying tax bill itself is calculated.

Possible bridge financing cost

Some lenders offer short-term bridge financing to cover the gap when a purchase closes before a sale does. This is not automatic. Availability, the interest rate and any lender fee vary by lender and not every downsizer needs it, particularly if you negotiate a longer closing on your sale instead. Ask your own mortgage lender what bridge financing would cost and whether you qualify before you build it into your budget. Our downsizing guide covers the broader sell-first-or-buy-first decision that determines whether bridge financing comes up at all.

Cost summary table

Cost	What it covers	How it is set
Real estate commission	Listing and selling your current home	Negotiated with your brokerage
Legal fees, sale	Lawyer’s work discharging your existing mortgage and closing the sale	Quoted by your lawyer
Legal fees, purchase	Lawyer’s work on title, registration and your new mortgage, if any	Quoted by your lawyer
Land transfer tax	Ontario tax on the home you buy	Fixed tiers set by Ontario, calculated on price
Moving	Transporting and, sometimes, storing belongings	Quoted by movers, based on volume and distance
Condo fee, if applicable	Ongoing monthly building costs	Set by the condo corporation
Property tax adjustment	Reimbursing amounts already paid for the tax year	Calculated by your lawyer at each closing
Bridge financing, if needed	Covering the gap if your purchase closes first	Set by your lender, varies by lender

What to do next

1. Get a quote from your own brokerage on commission and from your own lawyer on legal fees for both your sale and your purchase, since neither is fixed.
2. Work out land transfer tax on the price range you are actually considering using our land transfer tax guide, rather than relying only on the citywide medians above.
3. If a condo is part of the plan, request the status certificate early and have your lawyer review it before your offer is firm.
4. Ask your lender whether bridge financing is available to you and what it would cost, so you know your options if the two closings do not line up.
5. Read our full downsizing in Markham guide for the step-by-step timeline that ties these costs together with decluttering, sequencing and where downsizers in Markham tend to move.

Nothing in this post is legal, tax or financial advice for your situation. Confirm the figures that matter most to your move with your lawyer, accountant or mortgage lender. Contact us when you would like to talk through what downsizing would cost for your own home.