Published 2 November 2026 · By Jatin Dua, Broker of Record, RE/MAX Quantum Realty
As of November 2026, Toronto has not set its 2027 property tax increase. Mayor Olivia Chow, re-elected on 26 October 2026, has promised increases at or around inflation, which was 3.1% in September. The Mayor’s budget is due by 1 February 2027. On the average home, each 1% the City adds costs about $43 a year.
This guide is for Toronto homeowners, condo owners and landlords who want to know what the 2027 City budget could do to their property tax bill. You will get what is decided, what is not, the real math on your own assessment, and the dates that matter, as of November 2026.
How much will Toronto property taxes go up in 2027?
Nobody can give you the 2027 number yet, because Council has not voted on it. The 2027 increase will be set in the 2027 City budget, which Council normally adopts in February.
Here is what we do know as of November 2026:
- The Mayor’s promise. Olivia Chow was re-elected on 26 October 2026. During the campaign she promised to keep property tax increases “at or around” the rate of inflation, and she repeated that promise the day after the election.
- Where inflation is. Canada’s inflation rate was 3.1% in September 2026. The Bank of Canada expects it to reach about 3.5% by the end of 2026 before easing over the next two years.
- The budget gap. The City has put the 2027 budget shortfall at roughly $1.1 billion, according to The Canadian Press.
- Provincial help is up for renewal. The 2026 budget included $1.23 billion in operating support from the Ontario-Toronto New Deal, and the Mayor is now negotiating new help from the Province.
So the honest answer is: a promise points to something close to inflation, but the gap and the provincial talks are the two things that could move the final number either way.
How much did Toronto property tax go up in recent years?
Recent history shows how much the number can swing from one budget to the next.
| Budget year | Residential increase | What it included |
|---|---|---|
| 2024 | 9.5% | Largest increase since amalgamation, including the City Building Fund levy |
| 2025 | 6.9% | Property tax plus City Building Fund levy |
| 2026 | 2.2% | 0.7% operating levy plus 1.5% City Building Fund levy |
| 2027 | Not set | Mayor’s budget due by 1 February 2027 |
Source: City of Toronto, 2026 Budget news release (10 February 2026); BNN Bloomberg / CP24 report on the 2024 and 2025 increases (4 September 2026).
The 2026 increase worked out to $91.53 a year, or $7.63 a month, on a home with the City’s average assessment of $692,140. That is the City’s own figure.
What would a 2%, 3% or 4% increase cost on my home?
This is the part most people get wrong. The percentage the City announces applies to the City’s part of your bill, not the whole bill. Your bill has two parts:
- City part: the municipal rate plus the City Building Fund levy, 0.614311% of assessed value in 2026.
- Education part: 0.153% in 2026, set by the Province of Ontario, not by Council.
You can check this against the City’s own number. On the average home, the City part is about $4,252 for 2026. A 2.2% increase on the 2025 City part is the $91.53 the City reported. So on the average Toronto home, each 1% the City adds is worth about $43 a year.
| Assessed value (MPAC) | Total 2026 tax | City part 2026 | +2% in 2027 | +3% in 2027 | +4% in 2027 |
|---|---|---|---|---|---|
| $500,000 | $3,837 | $3,072 | +$61 | +$92 | +$123 |
| $692,140 (City average) | $5,311 | $4,252 | +$85 | +$128 | +$170 |
| $800,000 | $6,138 | $4,914 | +$98 | +$147 | +$197 |
| $1,000,000 | $7,673 | $6,143 | +$123 | +$184 | +$246 |
| $1,500,000 | $11,510 | $9,215 | +$184 | +$276 | +$369 |
Source: my calculation using the City of Toronto 2026 residential rates (total 0.767311%; City part 0.614311%; education 0.153%). The 2% to 4% columns are examples only, not forecasts, and assume the education rate and your assessment stay the same.
To find your own figure, take your assessed value from your MPAC notice or tax bill, multiply by 0.614311%, then multiply by the increase you want to test. If you want the full bill broken down by home value, my guide to average property tax in Toronto for 2027 has a longer table.
When will Toronto set the 2027 property tax rate?
Under the rules for Toronto’s budget, the Budget Committee reviews a staff budget and hears from the public, then the Mayor must present her budget by 1 February. Council then has 30 days to consider it.
The 2026 budget gives a good guide to the timing. The online survey ran through October 2025, interim rates were approved in December, the budget launched at Budget Committee on 8 January 2026, the public spoke to the committee on 20 and 21 January, and Council met on 10 February. The City has not posted the 2027 dates yet, so treat this as a pattern, not a schedule.
What it means for your payments:
- Your interim bill, mailed in February, is based on your 2026 taxes. It does not include the 2027 increase.
- Your final bill, issued in May, uses the 2027 rates and subtracts what you paid on the interim bill. Any increase lands in the summer instalments.
If you pay through your mortgage, your lender may adjust your payment after the final bill. My guide to Toronto property tax due dates and payment options covers the instalment plans.
Instant Home Valuation
What’s your home
worth today?
Answer six quick questions and get an instant value range built from current Toronto & GTA sale data — property type, size, condition, lot and location all weighted the way a real pricing conversation weighs them. Takes about ninety seconds.
Reading recent GTA sale data…
Building your estimate
Estimated market value
—
$0–$0
Most likely value $0 · roughly $0 per square foot
What moved the number
Starting from the area baseline for your property type, here’s what each answer added or subtracted.
Market context
Recent local averages for comparison.
—
A range is a starting point.
A strategy is what sells.
This model doesn’t know that your neighbour’s identical semi went $80,000 over asking last month, or which two upgrades actually pay back in your area. That conversation is free and takes twenty minutes.
What could push the 2027 increase above or below inflation?
I will not guess the final number, but these are the pressures that will decide it:
- The shortfall. A gap of about $1.1 billion has to be closed with taxes, fees, savings or outside money. The City is required by provincial law to balance its operating budget every year.
- The New Deal. The 2023 deal with Ontario provided about $1.2 billion in operating money and is set to expire. A renewal would ease pressure on the tax rate. No renewal would add to it.
- Property tax is only part of the money. The City says about 31% of its operating budget comes from property taxes. The rest comes from provincial grants, user fees, reserves and other income, so changes there matter too.
- The City Building Fund. In 2026 most of the increase (1.5 of the 2.2 points) was this dedicated levy for transit and housing. Watch whether that levy continues at the same pace.
Water and garbage are separate. In 2026 Toronto Water and Solid Waste rates went up 3.75%, and those charges are on your utility bill, not your property tax bill.
Will falling home prices lower my Toronto property tax?
No. Your tax is based on your MPAC assessment, not today’s price. MPAC says assessments for the 2026 tax year are still based on values as of 1 January 2016, because the Province postponed the province-wide reassessment. MPAC’s page, as of November 2026, does not give a date for the next update.
That is why prices falling in 2026 did nothing to your bill. Here is what happened to sold prices in several Toronto districts this year:
| TRREB district | Detached median, Jan–Oct 2026 | Change vs 2025 | Condo apartment median, Jan–Oct 2026 | Change vs 2025 |
|---|---|---|---|---|
| C01 (downtown) | $1,500,000 | −15.6% | $600,000 | −6.6% |
| C04 (midtown) | $2,352,500 | −4.0% | $677,500 | −16.0% |
| C14 (North York) | $1,691,900 | −6.0% | $568,500 | −9.0% |
| E03 (East York area) | $1,195,000 | −0.4% | $452,500 | −5.2% |
| E07 (Scarborough) | $1,003,000 | −8.8% | $450,000 | −13.8% |
| W02 (west end) | $1,637,500 | −1.1% | $612,500 | −11.9% |
| W08 (Etobicoke) | $1,540,000 | −7.8% | $525,000 | −8.7% |
Source: TRREB MLS data via REALM, January–October 2026 vs the same period of 2025. District-level medians, not neighbourhood figures.
Across the whole City of Toronto, the median sale price for all home types from January to October 2026 was $820,000, according to TRREB’s October 2026 Market Watch. The City’s average assessment is $692,140. The bill is still charged on the 2016-based number. My explainer on why your assessment still says 2016 goes deeper.
When a reassessment does happen, Toronto will reset its rates. What will matter then is whether your home’s value moved faster or slower than the city average, not the raw jump.
What does the 2027 budget mean for condo owners and landlords?
Condo owners
Each condo unit gets its own assessment and its own tax bill. Your maintenance fee does not include property tax. A 3% City increase on a unit assessed at $500,000 would be about $92 more for the year.
Landlords
Ontario’s rent increase guideline for 2027 is 1.9%, for increases that take effect during 2027. Units first occupied for residential purposes after 15 November 2018 are exempt from the guideline. For guideline-controlled units, a landlord can ask the Landlord and Tenant Board for an above-guideline increase only if the rise in municipal taxes and charges is “extraordinary”. Under Ontario Regulation 516/06, that means more than the guideline plus half of it. At a 1.9% guideline, that test would sit at 2.85%. A typical City increase is unlikely to clear it on its own.
The rule also runs the other way. The Act lets a tenant apply for a rent reduction when municipal taxes on the building go down.
Can I get help if my Toronto property tax goes up?
Yes, if you qualify. Toronto offers property tax increase cancellation and deferral for eligible low-income seniors and low-income people with disabilities. The 2026 budget expected about 11,500 households to use these programs. You must have owned and lived in the home as your principal residence for at least a year, have no prior-year taxes owing, and reapply every year with your income documents. The deadline for the 2026 tax year was 2 November 2026, so watch for the 2027 deadline next fall. My GTA seniors’ property tax relief guide compares programs across cities.
If you think your assessment itself is wrong, you can ask MPAC to review it. My guide to the five legitimate ways to lower Ontario property tax covers the Request for Reconsideration and the appeal steps.
The tax increase is not the only Toronto bill to plan for in 2027. Every residential owner must declare the property’s 2026 occupancy status for the Vacant Home Tax by 30 April 2027, even if you live there. If you miss it, the City can treat the home as vacant and charge 3% of its assessed value. On the average assessment that is about $20,764, far more than any budget increase.
For budgeting, I tell clients to plan for the City part of their bill to rise by about the inflation rate and to treat anything lower as a bonus. On the average home that is roughly $128 a year at 3%. The bigger risks to your household budget in 2027 are your mortgage renewal rate and missing a deadline, not the tax rate itself. If you are selling, your buyer’s lawyer will adjust taxes to the closing date, so there is no reason to time a sale around the budget.
What to do next
- Find your assessed value on your MPAC notice or 2026 tax bill and multiply it by 0.614311% to see your City part.
- Run the 2%, 3% and 4% math above so the May final bill does not surprise you.
- Declare your 2026 Vacant Home Tax status before 30 April 2027.
- If you are a senior or have a disability and a low income, check the City’s relief program before next fall’s deadline.
- If you want a sense of what your home would sell for today, as opposed to its 2016 assessment, use the estimator above or book a call with me.
Need help with this? Talk to me.
I’m Jatin Dua, Broker of Record at RE/MAX Quantum Realty, and I’m the best agent to do this kind of work for you in Toronto and across the GTA. Over $100 million in GTA sales and 100+ families helped sell. Feel free to contact me any time: call or text 833-330-1925 or email [email protected].
Frequently asked questions
What is the Toronto property tax increase for 2027?
As of November 2026, Toronto has not set its 2027 property tax increase. Council will set it in the 2027 budget, and the Mayor must table her budget by 1 February 2027. Mayor Olivia Chow has promised to keep increases at or around inflation, which was 3.1% in September 2026. The final number depends on how the City closes a reported $1.1 billion shortfall.
When does Toronto vote on the 2027 budget?
Toronto City Council normally adopts the budget in February. Under the City’s process, the Mayor must present a proposed budget by 1 February and Council has 30 days to consider it. In 2026 the budget was considered on 10 February. The City had not posted its 2027 budget dates as of November 2026, so check toronto.ca for the schedule.
How much is 1% property tax increase in Toronto?
On the average Toronto home, each 1% increase adds about $43 a year. That is because the City’s announced percentage applies to the City part of the bill, about $4,252 in 2026 on the average assessment of $692,140, not to the education part set by Ontario. On a home assessed at $1 million, 1% is about $61 a year.
Did Olivia Chow promise to cap property taxes in Toronto?
Olivia Chow promised during the 2026 campaign to keep Toronto property tax increases at or around the rate of inflation, and she repeated it after her re-election on 26 October 2026. It is a stated plan, not a legal cap. Council still votes on the 2027 budget, and the increase could land above or below inflation.
Why did Toronto property tax go up only 2.2% in 2026?
Toronto’s 2026 increase was 2.2%: a 0.7% operating levy plus a 1.5% City Building Fund levy for transit and housing. The City said it found $788 million in efficiencies and offsets and received $1.23 billion in operating support through the Ontario-Toronto New Deal. That followed increases of 9.5% in 2024 and 6.9% in 2025.
Will my 2027 interim tax bill in Toronto include the increase?
No. Toronto’s interim bill, mailed in February 2027, is based on your 2026 taxes and does not include the 2027 increase. The final bill, issued in May, uses the new 2027 rates and subtracts what you paid on the interim bill. Any increase therefore shows up in the summer instalments, usually due in July, August and September.
Is Toronto property tax based on my home’s market value?
No. Toronto property tax is based on your MPAC assessed value, which for the 2026 tax year still reflects values as of 1 January 2016. Falling sale prices in 2026 did not lower anyone’s bill. The tax is the assessed value times the total residential rate, 0.767311% in 2026, which includes the City part and the provincial education part.
Can a Toronto landlord raise rent because property taxes went up?
Only in limited cases. For guideline-controlled units in Ontario, a landlord can apply for an above-guideline increase only if municipal taxes and charges rose by more than the guideline plus half of it. With the 2027 guideline at 1.9%, that is above 2.85%. Units first occupied after 15 November 2018 are exempt from the guideline altogether.
Does Toronto offer property tax relief for seniors in 2027?
Yes. Toronto offers cancellation or deferral of property tax increases for eligible low-income seniors and low-income people with disabilities who have owned and lived in the home for at least a year. You must apply every year with income documents. The deadline for the 2026 tax year was 2 November 2026; the 2027 deadline will be posted on toronto.ca.
Sources
- City of Toronto: 2026 Budget now final (10 February 2026)
- City of Toronto: Get involved in the budget (key budget dates)
- City of Toronto: Learn the budget basics
- City of Toronto: Property tax rates and fees (2026)
- BNN Bloomberg / CP24: Chow promises to keep property taxes at or around inflation (4 September 2026)
- The Canadian Press via insauga: After election victory, Chow to face budget pressure and new deal with Ontario (27 October 2026)
- MPAC: The assessment cycle
- TRREB Market Watch, October 2026
Related reading
- Average Property Tax in Toronto for 2027: Per Year, Per Month, by Home Value
- Toronto Property Tax Due Dates and Payment Options Explained
- GTA Property Tax Rates Compared: Toronto, Mississauga, Brampton, Vaughan and More
- Property Tax on Vacant Land in Ontario: How It Works
About the author — Jatin Dua, Toronto and GTA real estate broker
I am Jatin Dua, Broker of Record and co-founder of RE/MAX Quantum Realty Inc., Brokerage, Unit 101, 799 The Queensway, Toronto. I work with buyers and sellers across Toronto and the GTA and have helped more than 100 families sell. Four-plus years of active GTA transactions and over $100 million in sales volume.
Reach me at [email protected] or 833-330-1925, or book a call.
More from the library
- Turning Your Home Into a Rental in Ontario: Change of Use and Tax Rules
- Brampton Property Tax 2027: Rate, Average Bill and Due Dates
- Principal Residence Exemption in 2027: How It Works and Who Loses It
- Cornerstone, Caledon Club, Southfields or Wildfield: four Mayfield corridor communities compared
- Top 5 Condo Buildings to Rent in Don Mills, North York, Toronto (2026)
- Aqualina at Bayside, 15 Merchants’ Wharf: Bayside’s First Building
How this estimate is produced
The estimate blends recent selling prices for comparable units in the area with the details you entered: size, bedrooms, floor, exposure, parking, locker and condition. It is a statistical estimate, not an appraisal and not a formal opinion of value.
What it cannot see
- Interior condition and upgrades beyond what you told it
- Unit-specific issues: noise, an obstructed view, a pending special assessment
- Your reserve fund and where the maintenance fee is heading
- What is competing with you in your own building right now
What moves the number most
- Floor and exposure, which can separate otherwise identical units
- Parking and locker, each priced separately by buyers
- Kitchen and bathroom condition
- Maintenance fee per square foot against the rest of the building
Treat it as a range, not a price
A single figure to the dollar would be false precision. Use the estimate to decide whether a move is worth exploring. Before you price anything for the market, the number needs checking against what is actually selling and sitting in your building this month, and that takes a person. I will do that for you at no cost and with no obligation.
Market data is sourced from the Toronto Regional Real Estate Board. Information is deemed reliable but is not guaranteed. This tool does not provide an appraisal or a formal opinion of value, and it is not a substitute for advice on your specific property. Jatin Dua, Broker of Record, RE/MAX Quantum Realty.
