56% of people in Ontario incorrectly believe that the new HST applies to the cost of resale homes

Most recent Ontario Real Estate Association (OREA) shows that 56% of people in Ontario believe that the new HST applies to the cost of resale homes. This confusion means that many buyers think the cost of a resale home is tens of thousands of dollars higher than it actually is.”With the average resale home price sitting at $333,000 in Ontario, this means that many would expect to pay an additional $40,000 in sales tax if they bought a home at that value. The reality is that there is no HST collected on th full purchase price of a resale home. In fact the HST is only levied on the various transaction fees associated with the purchase of a home that has been previously occupied (i.e. not a newly-built home).
HST is not added to the selling price of your home.It  only applies to the services which are associated with selling of your home.  Before HST came into effect, seller would need to pay GST (5%) on commission, lawyer fees, etc.Now Seller needs to pay GST (13%) on commission, lawyer fees, etc.  THAT IS IT. AGAIN YOU DO NOT PAY HST on the top of the selling price of your home. Bottom line is that you the SELLER will net same money as before after selling your home less 7% difference paid for the services.
 HST does apply to buying new homes from the builder but only on does homes which value is OVER $400,000.
If you have additional questions just send me an email and i will be happy to answer your further questions.  If you are considering selling your property please let me know and i will be happy to show you what i can do for you to sell your home for top $$$$.