Published 10 September 2026 · By Jatin Dua, Broker of Record, RE/MAX Quantum Realty
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Both are in York Region, so neither charges a municipal land transfer tax — you pay the provincial tax only, which is roughly $16,000 less than Toronto on a $1,000,000 purchase. The real difference is structural. Vaughan has the Line 1 subway extension and the Vaughan Metropolitan Centre, a purpose-built downtown with condominium density and Highway 400 and 407 access. Richmond Hill is a Yonge Street corridor town with more established residential, significant ravine and greenbelt land, and GO service on the Richmond Hill line rather than a subway.
The comparison
| Vaughan | Richmond Hill | |
|---|---|---|
| Rapid transit | Line 1 subway extension terminating at Vaughan Metropolitan Centre | No subway; GO on the Richmond Hill line, plus Viva bus rapid transit on Yonge |
| Highways | Highway 400, Highway 407, Highway 7 | Highway 404, Highway 407, Yonge Street |
| Condominium density | Concentrated at Vaughan Metropolitan Centre and along Highway 7 | More dispersed, mostly along Yonge Street |
| Housing mix | Substantial newer subdivision and townhouse stock; established Woodbridge, Thornhill, Maple, Kleinburg | Established residential, mature areas, plus newer development north and east |
| Character | A large municipality of distinct communities, with a new built downtown | A Yonge Street corridor town with strong ravine and greenbelt presence |
| Municipal land transfer tax | None | None |
| Best for | Subway-dependent commuters; buyers wanting new construction; 400/407 access | Buyers wanting established residential and green space; 404 access |
Transit is the structural difference
This is where the two genuinely diverge, and it should drive the decision for anyone commuting into Toronto without a car.
Vaughan has the Line 1 subway extension, which terminates at Vaughan Metropolitan Centre with intermediate stations serving the Highway 407 corridor and York University. That is a direct, frequent, all-day rapid transit connection into Toronto, and it has anchored a purpose-built downtown around the terminal station: office towers, condominiums, and a street grid that did not exist twenty years ago.
Richmond Hill has no subway. It has GO service on the Richmond Hill line and Viva bus rapid transit along the Yonge Street corridor, which is a genuinely useful combination but a different proposition from a subway station at the end of your street. A Yonge Street subway extension north from Finch has been discussed and planned for many years; treat any specific timeline you are told with appropriate caution, and do not pay today for a station that is not built.
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Jatin Dua, Broker of Record — RE/MAX Quantum Realty Inc., Brokerage. Not intended to solicit buyers or sellers currently under contract with another brokerage.
What they share
More than buyers expect, because most of what governs a purchase is provincial or federal rather than municipal.
- No municipal land transfer tax. Both are in York Region. You pay the Ontario land transfer tax only.
- The same stress test. For uninsured mortgages at federally regulated lenders, the greater of your contract rate plus two percentage points or 5.25%.
- The same first-time buyer refund of up to $4,000 provincially. Neither has a municipal rebate because neither has a municipal tax.
- The same representation and offer rules. Client or self-represented party; the number of competing written offers disclosed to everyone making one.
- The same condominium law. Status certificates capped at $100 including taxes, reserve funds, and the same due diligence.
- The same federal GST rebate for first-time buyers of new construction, up to $50,000 subject to value thresholds and dates.
The land transfer tax comparison against Toronto
| Purchase price | Vaughan or Richmond Hill | Toronto | Difference |
|---|---|---|---|
| $900,000 | $14,475 | $28,950 | $14,475 |
| $1,100,000 | $18,475 | $36,950 | $18,475 |
| $1,400,000 | $24,950 | $49,900 | $24,950 |
| $1,700,000 | $31,950 | $63,900 | $31,950 |
This is one-time money and it is real. It is also not a reason on its own to buy in either municipality — a commute you dislike will cost you more than that within a couple of years, and correcting the mistake means paying commission and land transfer tax again.
How to compare them properly
- Start with the commute, not the municipality. Drive or ride your actual route from a representative address in each, at the hour you would actually travel. Do it twice.
- Compare specific communities, not city names. Woodbridge, Thornhill, Maple and Kleinburg within Vaughan are as different from one another as they are from Richmond Hill.
- Get the actual property tax bill for the specific properties you are considering. Rates differ between municipalities and assessed values differ too, so comparing rates in the abstract is misleading.
- Check school catchments directly with the boards rather than from a listing.
- On new construction, read the agreement during the ten-day rescission period — particularly whether development and education levies are capped.
- On a condominium, have a lawyer read the status certificate, with the reserve fund position as the headline question.
- Get matched sold data for the specific pocket in each, not municipal averages.
Where Etobicoke fits in this comparison
A great many buyers weighing Vaughan against Richmond Hill are also weighing both against staying inside Toronto. The honest framing is a trade between one-time cost and daily life.
Buying in Etobicoke costs roughly $16,000 more on a $1,000,000 purchase because of the Toronto Municipal Land Transfer Tax, and TRREB reported an average Etobicoke sale price of $1,049,793 across 243 sales in August 2026. Against that, Etobicoke has four Line 2 subway stations, GO service on the Lakeshore West line at Mimico and Long Branch, and Gardiner, 427, 401 and airport access — a transit and road position that neither York Region municipality matches for a downtown commute.
Which way that trade goes depends entirely on where you work and how you get there. It is not a question with a general answer.
Choose Vaughan if
You commute into Toronto without a car and want a subway; you want new construction or condominium density in a built downtown; your driving is on the 400 or 407; or you are drawn to a specific community such as Woodbridge or Kleinburg.
Choose Richmond Hill if
You want established residential and mature streets; you value ravine and greenbelt proximity; your driving is on the 404; or the Yonge corridor with Viva and GO suits your travel pattern.
Choose neither if
Your commute is downtown, daily, and by transit — in which case run the numbers on staying inside Toronto before the land transfer tax saving decides it for you.
Frequently asked questions
Do Vaughan and Richmond Hill have a municipal land transfer tax?
No. Both are in York Region and neither levies a municipal land transfer tax, so buyers pay the Ontario land transfer tax only. Compared with a purchase inside the City of Toronto, that saves roughly $16,000 on a $1,000,000 purchase and about $32,000 on a $1,700,000 one, in cash on closing day.
Does Richmond Hill have a subway?
No. Richmond Hill is served by GO Transit on the Richmond Hill line and by Viva bus rapid transit along the Yonge Street corridor. A Yonge Street subway extension north from Finch has been planned and discussed for many years; treat any specific timeline with caution and do not pay today for a station that has not been built.
Which has better transit, Vaughan or Richmond Hill?
For rapid transit into Toronto, Vaughan — the Line 1 extension terminates at Vaughan Metropolitan Centre with all-day frequent service. Richmond Hill’s combination of GO and Viva is useful but is a different proposition. For driving, it depends on your route: Vaughan is oriented to Highways 400 and 407, Richmond Hill to Highway 404.
Which is more expensive?
It depends entirely on which communities you compare, because both municipalities contain a wide range. Woodbridge, Thornhill, Maple and Kleinburg within Vaughan differ substantially from one another, and Richmond Hill spans established mature areas and newer development. Use matched sold data for specific pockets rather than municipal averages.
Are property taxes different between them?
Municipal rates differ, and assessed values differ too, so comparing rates in the abstract is misleading. Obtain the actual annual property tax bill for each specific property you are considering — that is public information your agent can get — and compare those dollar figures against each other and against any Toronto property you are also weighing.
Is the mortgage stress test different outside Toronto?
No. Mortgage qualification is federal: for uninsured mortgages at federally regulated lenders, the minimum qualifying rate is the greater of your contract rate plus two percentage points or 5.25%. Municipality makes no difference to it, and none to the insured mortgage rules either.
Should I buy near a planned transit line?
Only at a price that makes sense without it. Planned rapid transit is announced, funded, rescheduled and re-announced on timelines measured in decades, and prices often move on the announcement rather than the opening. Ask what the property is worth on the commute you will actually have on closing day, and treat any upside as upside.
Is it worth leaving Toronto to save the land transfer tax?
It is a real one-time saving — roughly $16,000 on a $1,000,000 purchase — and it should be in the comparison. It should not decide it. A commute you dislike or a neighbourhood you did not test properly will cost more than that within a couple of years, and correcting it means paying commission and land transfer tax over again. Use it as a tie-breaker between two good options.
Sources
- Ontario Ministry of Finance — Land Transfer Tax — the provincial brackets applying province-wide and the first-time purchaser refund. Accessed 10 September 2026.
- City of Toronto — Municipal Land Transfer Tax — the Toronto brackets used for comparison, which do not apply in York Region. Accessed 10 September 2026.
- Toronto Transit Commission — Line 1 and the Vaughan Metropolitan Centre terminus. Accessed 10 September 2026.
- GO Transit — the Richmond Hill line. Accessed 10 September 2026.
- TRREB Market Watch, August 2026 — York Region and Etobicoke sales and price data. Accessed 10 September 2026.
Related reading
- Etobicoke vs Mississauga closing costs compared
- How to buy a home in Toronto: the whole process
- Buying a home in Mississauga: the questions people ask
- Living in Etobicoke: a guide to its seven districts
- Mortgage pre-approval in Ontario: what it actually guarantees
About the author — Jatin Dua, Etobicoke real estate agent
I am Jatin Dua, Broker of Record at RE/MAX Quantum Realty Inc., Brokerage, Unit 101, 799 The Queensway in Etobicoke, with more than four years of active GTA transactions and over $100M in sales volume. Buyers comparing these two are usually really comparing a commute, and that is the comparison worth doing first.
Reach me at connect@jatindua.com or 833-330-1925.