House flipping calculator for Canada
Enter the purchase, the renovation and the sale to see your profit, your return on the cash you put in and a rough income tax estimate under CRA's 365-day flipping rule. Ontario's land transfer tax (doubled in Toronto) and the mortgage costs while you hold are built in, and the profit is shown two ways: selling with a flat fee MLSÂź listing and selling with a typical 5% agent.
Updated October 6, 2026
House flipping calculator
Buy and renovate
Sell
More assumptions (mortgage, holding and selling costs, our plan)
Buy, renovate and hold
Sell
With our flat fee, that's 28.4% on your cash in 6 months, or about 65.0% a year.
Income tax estimate (profit with our flat fee)
Profit = sale price â purchase price â land transfer tax and closing costs â renovation â mortgage interest and holding costs â selling costs and commission. The purchase mortgage is a Canadian fixed-rate mortgage spread over 25 years (interest compounded twice a year). Ontario, 13% HST on commissions. The tax lines are a rough estimate at one rate; an estimate, not financial or tax advice.
Cash you put in = down payment + land transfer tax and closing costs + renovation + the mortgage payments and holding costs until the sale. Profit = what comes back at the sale (after selling costs, commission, the mortgage payoff and any penalty) minus that cash. Change the commission boxes to compare a flat fee MLSÂź listing with a full-service agent, and set your tax rate to 0 to hide the tax estimate.
A worked example
A house bought for $600,000 with 20% down, $60,000 of renovation, sold 6 months later for $780,000 (the calculator's starting numbers):
| Step | Amount |
|---|---|
| Cash you put in (down payment, $8,475 land transfer tax, closing, renovation, 6 months' mortgage and holding costs) | $213,125 |
| Profit selling with a flat fee MLSÂź listing (3-month plan + 2.5% to the buyer's agent, + HST) | $60,628 |
| Profit selling with a 5% agent (+ HST) | $38,729 |
| Return on cash with the flat fee (6 months) | 28.4% |
| Income tax at a 40% rate under the flipping rule | $24,251 |
| Profit after tax | $36,377 |
The costs that eat a flip's profit
- Land transfer tax on the purchase, doubled in the City of Toronto, which adds its own (see the land transfer tax calculator).
- Holding costs: mortgage interest, property tax, insurance and utilities for every month until the sale closes, not just until the work is done. Allow for the weeks on the market and the closing date.
- The mortgage penalty: paying off a closed mortgage early usually costs the higher of 3 months' interest or the interest rate differential. An open or private loan avoids it but costs more in interest.
- Commission: on a $780,000 sale, a 5% agent costs $44,070 with HST. A flat fee MLSÂź listing with 2.5% offered to the buyer's agent costs $22,171, and you keep the difference (see real estate commission in Ontario).
- Selling costs: the lawyer, staging and photos.
The 365-day flipping rule
Since January 1, 2023, CRA's residential property flipping rule treats the profit on a home owned less than 365 consecutive days as business income: all of it is taxed at your marginal rate, with no capital gains treatment and no principal residence exemption. A loss on such a sale is deemed to be nil. The rule doesn't apply when a life event caused the sale, such as a death, a separation, a serious illness, an involuntary job loss or a move for work.
Holding a year or more doesn't make it a capital gain automatically: CRA says it remains a question of fact, and a property bought to renovate and resell is usually business income however long you held it. That's why the calculator shows both cases from 12 months on. This is general information, not tax advice: ask an accountant about your deal.
HST on a substantially renovated house
If you buy a house intending to substantially renovate it and sell it, CRA treats you as a builder, even for a one-time flip, and the sale is generally subject to HST (CRA, RC4052). A renovation is substantial when 90% or more of the interior (livable areas) is removed or replaced. Most cosmetic flips (kitchen, bathrooms, floors, paint) don't reach that, but a gut renovation can. The calculator leaves HST on the sale out: check with an accountant before you list a gut job.
Flipping in Toronto: the Vacant Home Tax
A Toronto house left empty for more than 6 months in a year can owe the City's Vacant Home Tax, 3% of its assessed value. There's an exemption for major renovations that keep it empty for 6 months or more, but only with all the permits and work that keeps moving, and one for the year the property changes hands. Every owner has to file the occupancy declaration each year, flip or not.
Selling the flip on MLSÂź for a flat fee
- A flat fee MLSÂź listing puts your flip on the MLSÂź System and realtor.ca from $99.99 for 2 months, plus HST. You choose what to offer the buyer's agent.
- Your profit goes up by the commission you don't pay: in the example above, $21,899.
- You show it and negotiate: offers come to you directly, and your lawyer closes it. Getting ready to list? Follow the selling-a-flip checklist.
- Holding instead? The BRRRR calculator and the rent vs sell calculator use the same Ontario costs.
House flipping in Canada: questions
How do you calculate profit on a house flip?
Profit = sale price â purchase price â land transfer tax and closing costs â renovation â mortgage interest and holding costs until the sale â selling costs, commission and any mortgage penalty. Then income tax comes off that.
Is house flipping profit taxed as a capital gain in Canada?
Not if you owned the home less than 365 days: CRA's flipping rule makes it business income, fully taxed. Held longer, it depends on the facts, and a property bought to fix and resell is usually still business income. Ask an accountant.
Do I charge HST when I sell a flipped house?
Usually not for a cosmetic renovation. If you bought it to substantially renovate (90% or more of the interior removed or replaced) and resell, CRA treats you as a builder and the sale is generally subject to HST.
What is the 70% rule in house flipping?
A rule of thumb: pay no more than 70% of the value after repairs, minus the renovation cost. It leaves room for the holding, selling and financing costs. In Ontario, add land transfer tax and the tax on the profit before you trust it; the calculator does that.
Can I sell my flip on MLSÂź without a 5% agent?
Yes, with a flat fee MLSÂź listing. A brokerage enters it on the MLSÂź System and it's sent on to realtor.ca; you show it, negotiate and choose what to offer the buyer's agent. With us it's from $99.99 for 2 months, plus HST.
Flat fee MLSÂź prices
| Plan | Price | đ With code FREEUPGRADE |
|---|---|---|
| Monthly Subscription | $69.99 / month | â |
| 2-month Listing | $99.99 | You get the 3-month Listing, free |
| 3-month Listing | $119.99 | You get the 6-month Listing, free |
| 6-month Listing | $149.99 | You get the MAX Exposure Listing, free |
| MAX Exposure Listing | $239.99 | â |
Plus 13% HST on Ontario listings; no tax on Alberta listings. The monthly plan can be cancelled any time.
Flipping more than one? Pay once for the next sales
Buy listing credits in My Account after your first listing: 2 credits save 10%, 3 save 25%. Credits never expire, keep today's price and work on any property, for sale or for rent.
| Plan | 1 listing | Each, when you buy 3 |
|---|---|---|
| 2-month Listing | $99.99 | $74.99 ($224.97 for 3) |
| 3-month Listing | $119.99 | $89.99 ($269.97 for 3) |
| 6-month Listing | $149.99 | $112.49 ($337.47 for 3) |
| MAX Exposure Listing | $239.99 | $179.99 ($539.97 for 3) |
Plus 13% HST on Ontario listings. Codes like FREEUPGRADE don't apply to bundles. Already listed with us? Buy credits in My Account.
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Ready to sell your flip? List it on MLSÂź for a flat fee
Put it on the MLSÂź System and realtor.ca from $99.99. Use FREEUPGRADE at checkout to get the next plan up free.