The average property tax levied on a home worth $500,000 in Niagara Region is $7,421. That’s nearly $1,000 more than nearby Waterloo and Kitchener. Photo Credit: Adobe Stock Images.
Niagara Region residents pay some of the highest property taxes in Canada, according to a new report by Zoocasa.
The average property tax rate for a homeowner in Niagara Region is 1.55 per cent of the home’s assessed value annually, which is higher than the vast majority of nearby municipalities, including Toronto, Waterloo, Kitchener, Guelph and Hamilton.
Out of the 24 municipalities examined in Canada, Niagara Region’s property tax burden was the fourth highest, trailing just the Ontario cities of Sault Ste. Marie and London, as well as Saint John, New Brunswick.
The average property tax levied on a home worth $500,000 in Niagara Region is $7,421. That’s about $1,100 more than nearby Waterloo and Kitchener.
Tax on homes with an assessed value of $1,000,000 reveal an even more stark contrast. A home with such an assessed value in Niagara Region would see a property tax bill of $15,520, nearly $3,000 more than Waterloo and Kitchener.
Property taxes in Ontario cities tend to be much higher than in other parts of Canada. While homeowners in Niagara Region would pay $7,421 on a home with an assessed value of $500,000, Canada’s municipalities with the most affordable property tax burdens pay thousands of dollars less. A homeowner in Greater Vancouver would pay just $1,484 on a home with an assessed value of $500,000.
Niagara Region actually experienced one of the lowest property tax increases in 2024 among the Ontario municipalities examined in the report. The average combined value of the two-tier property tax increase in Niagara Region was 4.57 per cent. That’s lower than London (7.66 per cent), Hamilton (7.30 per cent), Guelph (7.37 per cent), Kitchener (5.19 per cent) and Waterloo (6.04 per cent).
In examining the broader trends across Canada, the Zoocasa report notes that St. John’s, Newfoundland experienced the highest property tax increase of all cities examined in the report, reaching 9.64 per cent.
The largest decrease came in Montreal, Quebec, which saw a property tax decrease of 6.18 per cent. Many of these major swings were caused by the ending of property tax adjustment pauses that were introduced during the pandemic.
The median year-over-year property tax increase in the 24 cities examined was 4.88 per cent, suggesting that Niagara Region’s property tax increase for 2024 is just slightly below the national average.
Zoocasa’s CEO notes in the report that it’s important to take into account property taxes when deciding where to purchase a home.
“Understanding the relationship between housing costs and property tax rates is key to making informed decisions when buying real estate,” said Carrie Lysenko. “Some cities with lower housing costs may have higher property tax rates, while homes in major cities may have lower rates.”
“This can help you avoid unexpected financial burdens and plan your next move more effectively. It’s a crucial expense that all home buyers should keep in mind.”
The report also noted that British Columbia generally has some of the lowest property taxes in Canada. However, the much of the province is also known for its high cost of living.
Those wishing to read the full report can click HERE.
Jay Goldberg is the Ontario Director at the Canadian Taxpayers Federation. He previously served as a policy fellow at the Munk School of Public Policy and Global Affairs. Jay holds a Ph.D. in Political Science from the University of Toronto.
