What does it cost to refinance a mortgage in Canada?
The biggest cost of refinancing mid-term is usually the prepayment penalty: three months' interest or an interest rate differential that can run to thousands. On top of that budget roughly $450 for an appraisal, $1,200 for a lawyer or notary and registration, and $350 for discharging your old mortgage if you change lenders (our estimates). FCAC adds administration and reinvestment fees and any cash-back clawback. Lenders sometimes pay part of these costs.
The full list
| Cost | Typical | When |
|---|---|---|
| Prepayment penalty | 3 months' interest or the IRD; example $9,765 | Breaking a closed term early |
| Appraisal | $450 | Almost always on a refinance |
| Lawyer or notary, registration | $1,200 | New mortgage registered on title |
| Discharge or transfer fee | $350 | Leaving your current lender |
| Administration, reinvestment fees | Varies | Some lenders, when you break (FCAC) |
| Cash-back clawback | Part or all of the cash back | If your mortgage came with cash back (FCAC) |
| Title insurance | Varies | If the lender or lawyer requires it |
What differs by province or city
Our old pages for Toronto, Vancouver, Montreal, Calgary, Edmonton, Ottawa, Winnipeg, Quebec City, Hamilton and Kitchener repeated the same text with the city swapped in, so we've replaced them with this section. What actually varies:
- Legal work: a lawyer registers the mortgage in most provinces; in Quebec it's a notary. Fees vary by market.
- Registration charges: each province's land title or registry office sets its own fee to register a mortgage and a discharge.
- Appraisal fees run higher in large or remote markets and for unusual properties.
- No land transfer tax: a refinance doesn't change ownership, so provincial and municipal land transfer taxes don't apply.
Lending rules, the stress test and penalty formulas are federal or contractual and the same in every city.
Who pays
FCAC notes that lenders may be willing to pay some or all of the fees; on switches and refinances, many cover legal and appraisal to win the mortgage. Get it in the commitment letter. Enter it as "amount the new lender pays toward costs" in the calculator.
Pay in cash or add to the mortgage?
Adding costs to the mortgage is convenient but you pay interest on them for years. The calculator's "add the penalty and fees" option counts that interest, so you can see the difference.
Frequently asked questions
How much are legal fees to refinance a mortgage?
We use $1,200 including registration as an estimate; quotes vary by city and lawyer or notary, and some lenders cover them on a refinance or switch.
Do refinance costs differ between Toronto, Vancouver and Calgary?
The fee types are the same everywhere. Legal fees, appraisal fees and land title registration charges vary by province and city, and Quebec uses notaries. There's no land transfer tax on a refinance.
Primary sources
- Financial Consumer Agency of Canada — Breaking your mortgage contract (fees, cash-back clawback, blend-and-extend) (effective October 15, 2025). Checked .
- Financial Consumer Agency of Canada — Renewing your mortgage (21-day renewal statement; switching costs) (effective October 15, 2025). Checked .
- Financial Consumer Agency of Canada — Borrowing money using home equity (80% / 65% limits, fees, risk to your home) (effective October 15, 2025). Checked .
- Financial Consumer Agency of Canada — Reduce mortgage prepayment penalties (3 months' interest or the IRD; posted-rate method; prepayment privileges; porting) (effective October 15, 2025). Checked .