Commercial closing cost calculator
Audience: commercial investors and developers. Land transfer tax, GST/HST, commercial legal, appraisal, environmental Phase 1/2 and financing fees — all in one estimate.
Your commercial deal
Override fee estimates
- Land transfer tax$38,000
- Legal fees$8,500
- Appraisal$3,500
- Environmental Phase 1$3,500
- Financing fee (1.25% of mortgage)$17,500
Where your commercial closing cash goes
Each bar is one line item from the list above. The biggest bar is usually the one to negotiate or shop hardest.
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We'll give you exact legals, appraisal, financing fees and lender quotes for your specific deal — not a calculator estimate.
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- Fee schedules change by lending lane — A-insured, A-conventional, B, and private each carry their real financing, legal, and appraisal costs
- Commercial mode includes Phase 1 and Phase 2 environmental report costs — the line items that surprise first-time commercial buyers
- New-build GST with the federal New Housing Rebate phase-out ($350K–$450K) and Ontario's provincial rebate — plus when GST can be financed into a private mortgage
Common questions
What are typical commercial closing costs in Canada?+
Budget 3–5% of purchase price on most commercial deals. That covers land transfer tax (BC PTT, Ontario LTT, Alberta land title fees), commercial legal ($7,500–$10,000), appraisal ($2,500–$5,000), environmental Phase 1 ($2,500–$5,000) and lender/broker financing fees from roughly 1.25% (bank) up to 2–4% (alternative and private lanes). Phase 2 environmental adds $5,000–$15,000 when required.
Is GST or HST payable on commercial real estate?+
Yes — commercial real estate is subject to 5% GST (BC, AB) or 13% HST (Ontario). Most GST-registered buyers self-assess and remit directly to CRA instead of paying the seller at closing, which removes it from cash-to-close. Toggle the self-assessment option in the calculator to reflect this.
When is an environmental Phase 2 required?+
A Phase 2 ESA is triggered when the Phase 1 identifies a Recognized Environmental Condition — typically prior industrial use, gas stations, dry cleaners, or properties adjacent to contaminated sites. Lenders won't fund without resolving it.
Case Studies — files like this
Anonymized case studies from our files. Names and identifying details removed.
- Case study · Commercial / PrivateThe Bank Called a $1 Million Loan on Their Commercial Building After Its Annual Review: Refinanced at 65%, Partner Bought Out, Property KeptThe bank called a roughly $1 million loan after its annual review. A one-year, interest-only private commercial mortgage of $1.7 million, about 65% of the $2,625,000 appraisal, paid out the bank, bought out the partner for about $415,000 and cleared the cards and the CRA balance.Read the file →
- Case study · Commercial / AlternativeThe Landlord Was Demolishing the Building: A Food Business Bought Its Own Commercial Property on Twelve Months of Bank StatementsTold its building would be demolished, a food business bought a $1.55 million retail property through a holding company: $1,162,500 at 75% from a commercial program that read twelve months of bank statements, about three points below the private option. Renewed in 2025 under 7%.Read the file →
- Case study · Commercial / Business FinancingFrom a $2,000 Card Increase to $1.1 Million Approved, Through the Same BankAfter eight years with the same major bank, the branch offered a $2,000 card increase. A rebuilt submission to the same bank's commercial division brought about $1.1 million approved: $75,000 in cards, a $200,000 line, $500,000 for leaseholds and equipment and a $325,000 term facility.Read the file →
Every calculator here is built on published Canadian government rules and lender methodology, and was last checked for accuracy on October 18, 2026 — the arithmetic re-verified and every page re-read on screen. Rates and thresholds change — we confirm the current numbers for your file before you rely on them.