---
title: "Should we add on or move? Costs compared for 2026"
url: "https://www.jarviscontracting.ca/guides/renovate-or-move"
description: "Moving to a $1,200,000 home in Durham costs $20,475 in land transfer tax, and $40,950 in Toronto, before commission. How that stacks up against an addition."
publisher: "Jarvis Contracting"
dateModified: "2026-10-13"
---
# Should we add on or move? Costs compared for 2026

By Jarvis Contracting. Published 2026-10-05, updated 2026-10-13.

Moving costs you money that buys no space: land transfer tax, commission, legal fees and the move itself. As of October 2026, buying a $1,200,000 house in Durham Region, Ontario means $20,475 in [Ontario land transfer tax](https://www.ontario.ca/document/land-transfer-tax/calculating-land-transfer-tax), and the same house in Toronto means $40,950, because the City adds its own tax. An addition skips those costs but carries its own: we price a second storey of 600 to 1,200 sq ft at $300,000 to $800,000 before HST in 2026.

## Key takeaways

- Ontario land transfer tax on a $1,000,000 purchase is $16,475, calculated from the [provincial rate table](https://www.ontario.ca/document/land-transfer-tax/calculating-land-transfer-tax), and Durham towns add no municipal tax on top as of October 2026.
- Toronto's [Municipal Land Transfer Tax](https://www.toronto.ca/services-payments/property-taxes-utilities/municipal-land-transfer-tax-mltt/municipal-land-transfer-tax-mltt-rates-and-fees/) uses the same brackets up to $2,000,000, so a Toronto buyer pays twice the Durham figure, $32,950 on a $1,000,000 home.
- Real estate commission is set by the brokerage and negotiable, not fixed by [RECO](https://www.reco.on.ca/home-buyers-sellers/selling-home/commissions-fees-charged-brokerage-2/) or government, so every 1% you agree to on a $1,000,000 sale costs $10,000 plus HST.
- We price a second storey of 600 to 1,200 sq ft at $300,000 to $800,000, and a single-storey rear addition of 300 to 700 sq ft at $180,000 to $450,000, before HST in 2026.
- The average new single detached house in Whitby cost $1,356,332 in 2025, according to CMHC data in [Durham Region's 2025 building activity review](https://media-003-ca.cdn.govstack.com/durham-ca/media/vc5lqmuu/2026-info-54-2025-annual-building-activity-review.pdf); that's new builds, not resale.

## Is it cheaper to add on or move?

It's cheaper to add on when the space you need is less than the price gap to a bigger house plus what the move itself costs. That sounds obvious, but most people compare the wrong two numbers. They put the addition's full price against the move's transaction costs, and forget the move also needs a bigger, more expensive house at the other end.

Split moving into two piles. The first pile is the price difference between your house and the next one. That money buys space, the same as an addition does. The second pile is land transfer tax, commission, legal fees, a mortgage penalty if you break your term, and the movers. That money buys nothing you keep. An addition only has a first pile, plus a few town fees and possibly rent while you're out of the house.

So compare like with like: does the addition cost less than the price gap plus the second pile? If a bigger house nearby costs $300,000 more than yours and you'd lose $60,000 to the move, an addition that delivers the same space for under $360,000 wins. Those two inputs are yours to look up; the numbers in this guide fill in the rest.

## How much does it cost to move in Durham Region compared with Toronto?

Moving costs less in Durham than in Toronto, mainly because Toronto is the only Ontario city with its own land transfer tax. Whitby, Oshawa, Ajax, Pickering and Clarington buyers pay only the provincial tax, as of October 2026.

Here is the land transfer tax a buyer pays at four prices:

| Purchase price | Durham Region (provincial only) | Toronto (provincial plus municipal) |
|---|---|---|
| $800,000 | $12,475 | $24,950 |
| $1,000,000 | $16,475 | $32,950 |
| $1,200,000 | $20,475 | $40,950 |
| $1,500,000 | $26,475 | $52,950 |

Note: calculated from the [provincial brackets](https://www.ontario.ca/document/land-transfer-tax/calculating-land-transfer-tax) (0.5% to 2.5%) and Toronto's matching municipal brackets in force from 1 April 2026, for a single-family home; first-time buyers can get up to $4,000 of the provincial tax refunded ([first-time buyer refund](https://www.ontario.ca/document/land-transfer-tax/land-transfer-tax-refunds-first-time-homebuyers)).

The tax is only one line. Commission is the other big one, and there's no standard rate to print. [RECO's page on brokerage fees](https://www.reco.on.ca/home-buyers-sellers/selling-home/commissions-fees-charged-brokerage-2/) says neither RECO nor any government sets commission; it can be a percentage, a flat fee or both. Ask two or three brokerages for their rate, then multiply it by your likely sale price.

Legal fees, the mortgage penalty and the movers depend on your lender, your term and how far you're going. We couldn't find a credible 2025 or 2026 source for typical figures, so we don't print one. Your mortgage statement and one call to your lender will give you the penalty, and that's often the biggest of the three.

## What does each option pay for?

The two choices spend money on different things, and only some of it comes back as space.

Here is the side-by-side, line by line:

| Cost line | If you move | If you add on |
|---|---|---|
| Land transfer tax | $20,475 on a $1,200,000 Durham home; $40,950 in Toronto | none |
| Commission | your negotiated rate times the sale price, plus HST | none |
| Legal, penalty, movers | depends on your lender and distance | legal usually none; rent if you move out during the build |
| Space itself | the price gap to the bigger house | construction: a 600 to 1,200 sq ft second storey at $300,000 to $800,000 in our 2026 range |
| Town fees | none from the town | a Whitby permit of $1,663 for 800 sq ft; no development charges |
| Time | a closing date | most of a year; our [Greenwood](https://www.jarviscontracting.ca/projects/greenwood) job took 10 months including design, permits and construction |

Note: the addition figures are our 2026 ranges before HST, not a quote; the town fee is calculated from [Whitby's 2026 Schedule N](https://media-003-ca.cdn.govstack.com/whitby-ca/media/5aqjt5ww/2026-building-permit-fees-schedule-n.pdf), and the move figures exclude anything we couldn't source.

Two lines tilt the comparison in Durham. Additions that only enlarge your home pay no development charges under section 2(3) of the [Development Charges Act](https://www.ontario.ca/laws/statute/97d27). And we price a one-storey rear addition of 300 to 700 sq ft at $180,000 to $450,000 in 2026, so going out can cost less than going up if the lot has room. The detail on both is in our guides to [home addition costs](https://www.jarviscontracting.ca/guides/home-addition-cost-ontario) and [second-storey costs](https://www.jarviscontracting.ca/guides/second-storey-addition-cost-ontario).

## When does moving make more sense?

Moving makes more sense when the house or the lot can't give you what you need at a sane price. Common reasons:

- The lot can't take it. Height limits, lot coverage, conservation authority hazard land or a heritage district can rule out the addition, or push it to a variance. Our [build up or out guide](https://www.jarviscontracting.ca/guides/build-up-or-out) lists the limits by town.
- The house needs a gut anyway. One RedFlagDeals reply in November 2025 put it this way: "Almost always easier to sell and move than to do a full gut renovation" ([RedFlagDeals thread](https://forums.redflagdeals.com/help-advice-wanted-renovating-possible-addition-bungalow-2790193/)).
- You need a different school, commute or neighbourhood. No addition fixes that.
- The budget is small. Another RedFlagDeals poster, tallying a move against a modest renovation in 2021, got the reply "$100k these days can't get you far." ([RedFlagDeals thread](https://forums.redflagdeals.com/calculating-cost-benefit-moving-vs-renovating-2480375/)).

Be honest about the disruption, too. A second storey usually means moving out for part of the build, so you pay rent and still deal with movers twice.

## When does adding on win?

Adding on wins when you like the street, the lot has room, and your mortgage is one you'd rather keep. It also wins when the bigger houses near you sell for much more than yours: the wider that price gap, the more an addition saves, because you're buying the space at construction cost instead of market price.

It helps to check the land before the house. A house on a deep lot with room behind it is an easier case than one already close to its zone's lot coverage cap, which is 20% in Whitby's older R1 to R3 zones. Your town's zoning map and by-law will tell you which you have.

There may also be a tax angle for a large project. The CRA says owner-built rebates can apply when you renovate the existing house and build a major addition, such as a full second storey that at least doubles the living space; a family room or bedroom addition by itself doesn't count. Our [HST relief guide](https://www.jarviscontracting.ca/guides/ontario-hst-relief-substantial-renovation) has the rules, and you should confirm with the CRA before counting on it.

## How we help with add-on-or-move decisions

We build additions for a living, so we're not neutral, and we'd rather you know that up front. What we can do is give you the addition side of the comparison in real numbers: Ceara Jarvis designs through Juliette Interiors, James Jarvis prices and builds, and we draw the permit set in-house, so the plan your town reviews is drawn to that price. Our contracts are fixed price, so the addition side is a signed number, and any change goes through a change order you sign. The ranges on this page are ours; your price comes after James sees the house, and the first estimate is free. You bring the move side from a brokerage and your lender.

The closest finished example we can show you is [Greenwood](https://www.jarviscontracting.ca/projects/greenwood), in east Toronto, roughly 30 km west of our Ajax office. It added a rear extension and a new top storey with a primary suite, enlarged the basement by removing a brick wall, and took 10 months including design, permits and construction. See our [home additions](https://www.jarviscontracting.ca/home-additions) and [second-storey additions](https://www.jarviscontracting.ca/second-storey-additions) pages, or how [design-build](https://www.jarviscontracting.ca/design-build) keeps design and price in one place.

## Questions

### Is it cheaper to renovate or move in Ontario?

Whether renovating or moving is cheaper in Ontario depends on the price gap to a bigger house plus the transaction costs of moving, compared with the cost of the addition. Land transfer tax, commission, legal fees and the move buy no space, so they count only against moving. On the addition side, our 2026 range for a 600 to 1,200 sq ft second storey is $300,000 to $800,000 before HST.

### How much is land transfer tax on a $1,000,000 house in Durham Region?

Land transfer tax on a $1,000,000 house in Durham Region is $16,475, calculated from Ontario's provincial brackets as of October 2026. Durham towns charge no municipal land transfer tax, so that's the whole tax. First-time buyers can get up to $4,000 of it refunded.

### Do Whitby, Oshawa or Ajax charge a municipal land transfer tax?

No. Whitby, Oshawa, Ajax, Pickering and Clarington don't charge a municipal land transfer tax as of October 2026; Toronto is the only Ontario city that does. Buyers in Durham Region pay only the provincial tax.

### What is the typical real estate commission in Ontario?

There's no typical real estate commission set in Ontario. RECO says neither RECO nor any government fixes commission; the brokerage sets it, it's negotiable, and it can be a percentage, a flat fee or both. Get quotes from a few brokerages and multiply the rate by your expected sale price.

### How long does an addition take compared with moving?

An addition takes much longer than a move. Our Greenwood job, a rear extension plus a new top storey, took 10 months including design, permits and construction, and a minor variance adds time on top. A move takes as long as your closing dates, but costs you land transfer tax and commission that an addition doesn't.

### Is a second storey worth it compared with buying a bigger house?

A second storey is worth it compared with buying a bigger house when it costs less than the price difference plus the money lost to moving. We price a second storey of 600 to 1,200 sq ft at $300,000 to $800,000 before HST in 2026. Compare that with what larger homes on your street sell for, then add the land transfer tax and commission you'd avoid.