Q&A: 4 frequently asked questions about property value in Ontario

Buying your first home in Ontario is a major milestone. And with this exciting new chapter, you’ll find plenty to learn and get used to.

While homeownership is incredibly rewarding, it can also be complex. Navigating property assessments and taxes can be confusing without the right information, but understanding these elements is key to making informed decisions about your new investment and staying connected with your local property market.

MPAC, the Municipal Property Assessment Corporation (MPAC), has free resources and answers to important questions about property taxes, assessments, and everything in between so current homeowners and those looking to buy can feel confident in their decisions.

Ready to brush up on your property value knowledge? Here is what you’ll need to know!

Q: What is MPAC and how does it determine your home’s property value?

A: The Municipal Property Assessment Corporation is an independent, non-profit organization that assesses the value of every property in Ontario.  An “assessment” is an estimate of the market value of a property as of a specific valuation date. Assessments are shared with municipalities, which then use those figures to calculate property tax rates.

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Using a database of property information, MPAC determines residential assessments by comparing a homeowner’s property to similar ones that have sold in the area.

Here are the major factors that impact Ontario property values:

• Location
• Lot size
• Total square footage of living area
• Building age
• Construction quality

Q: How do MPAC’s property value assessments impact homeowners and their property taxes?

A: Property values determine how much each property owner contributes toward taxes. The amount each homeowner pays is based on the rate set out by municipalities. Municipalities decide how much money is required to build and operate their community, and then decide on the municipal tax rates and policies.

Home valuations can help owners anticipate and budget for taxes since property taxes are based on assessed home values. MPAC also provides insights into the local real estate market, which can impact decisions around buying, selling, and even investing. The more you know, the better!

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Q: What is the difference between property tax and property assessment?

A: Property taxes are calculated using the assessed value of your property, and multiplying it by the combined municipal and educational tax rates for your property’s class.

It’s also important to remember that a property assessment often does not reflect a property’s sale price! That’s because MPAC bases assessments on market value and sales analysis as of a fixed date, not what the home may sell for today.

Q: What is MPAC’s AboutMyProperty™ online tool?

A: Every property owner in Ontario has access to MPAC’s free online portal, AboutMyProperty™, which provides in-depth information about your property. You can learn more about how your property was assessed, see information MPAC has on file, and compare it to others in your neighbourhood.

It’s a secure, easy-to-use portal that also provides documents like market valuation reports, copies of property assessment notices, and more.

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Register today

Ready to explore details about your property and start planning for the future?

Visit the MPAC website to register for AboutMyProperty™, with the Roll Number and Access Key found on your Property Assessment Notice. You can also contact one of MPAC’s customer service representatives at 1-866-296-6722.