How is property tax calculated in Markham, and how does the MPAC assessment work?Your Markham property tax equals your MPAC assessed value multiplied by the total tax rate, which is 0.722889% for residential properties in 2026. Assessments are still based on January 1, 2016 values, because Ontario has postponed province-wide reassessment since 2020, so your assessment is usually well below today’s market value. The average residential assessment is $822,671, for a 2026 bill of about $5,947. If you think your assessment is wrong, file a Request for Reconsideration with MPAC; for 2026 the deadline was March 31.
Property tax is one of the biggest ongoing costs of owning a home, yet the way it is calculated surprises many buyers. Your assessment is not today’s market value, and your tax bill depends as much on City, Region and school rates as on your home.
Michael John Lau, a REALTOR® with the Kaizen Real Estate Team, one of the most active real estate teams in Markham and York Region, helps buyers estimate taxes accurately before they buy, using the actual assessment rather than the purchase price.
How the bill is calculated
| 2026 residential rate | Share |
|---|---|
| City of Markham | 0.177477% |
| York Region | 0.392412% |
| Education | 0.153000% |
| Total | 0.722889% |
Example: the average residential assessment of $822,671 multiplied by 0.722889% gives a 2026 bill of about $5,947. A home assessed at $1,000,000 would pay about $7,229. York Region’s share is the largest part of the bill.
Why assessments are still based on 2016
MPAC normally updates assessments every four years. The 2020 update was postponed because of COVID-19, and the province extended the postponement, so 2026 assessments are still based on fully phased-in January 1, 2016 values. That is why most Markham homes are assessed well below what they would sell for today. When a new reassessment eventually happens, what matters is how your home’s value changes compared with the average; tax rates are typically adjusted when values rise across the board.
Assessment vs. market value vs. purchase price
| Term | What it means |
|---|---|
| Assessed value | MPAC’s value as of January 1, 2016, used to calculate tax |
| Market value | What the home would sell for today |
| Purchase price | What you pay; does not change your assessment |
When budgeting for a purchase, ask for the seller’s current tax bill rather than estimating from the price.
Want an accurate tax estimate before you buy?
Michael John Lau can pull the actual tax history for any home on your list.
Book a buyer consultationSearch Markham homesPrefer to talk? Call the Kaizen Real Estate Team at (647) 370-8885.
New homes and renovations
Buyers of new homes should plan for two stages. For the first 12 to 18 months, the bill may cover only the land, which the City says is usually about one third of the total tax. Once MPAC assesses the house, a supplementary bill follows. Renovations that raise a home’s value, such as additions, can also lead to a supplementary assessment. The City advises budgeting for this.
If you disagree with your assessment
- Request for Reconsideration: file with MPAC first. For 2026, the deadline was March 31, 2026. MPAC aims to respond within 180 days.
- Assessment Review Board appeal: if you still disagree, appeal within 90 days of MPAC’s decision. The residential filing fee is $132.50.
- Evidence: compare your assessment with similar homes nearby, using MPAC’s AboutMyProperty tool.
Relief programs
- Low-Income Seniors Property Tax Assistance: for owners 65 and over who receive the federal GIS benefit; forgives late charges and offers interest-free repayment plans.
- York Region Seniors and Low-Income Tax Deferral: defers yearly tax increases for eligible seniors and low-income people with disabilities; repaid when the property is sold or transferred. The application is due September 30.
Questions to ask before you buy
- What is the current assessed value, and what was last year’s tax bill?
- Has the home had additions or renovations that may not yet be assessed?
- For a new home, has MPAC assessed the house yet, or only the land?
- Are there any local improvement charges on the bill?
Your lawyer will adjust property tax between you and the seller on closing, based on what has been paid for the year.
Budgeting tips
- Use the seller’s actual tax bill when comparing homes.
- Plan for a yearly increase; Markham’s City portion rose 3.9% in 2026.
- Set up pre-authorized payments to avoid penalties.
- For new homes, set aside money for the supplementary bill.
See the true cost of owning a Markham detached home. Ultimately, the decision is yours. The goal is to make sure you have all the information before you budget.
Your tax bill follows your assessment, not your purchase price. Call the Kaizen Real Estate Team at (647) 370-8885 or book a consultation.
Frequently asked questions
How is property tax calculated in Markham?
Assessed value multiplied by the total residential rate, 0.722889% in 2026.
Why is my MPAC assessment lower than my home's value?
Ontario assessments are still based on January 1, 2016 values because reassessment has been postponed.
What is the average property tax in Markham?
About $5,947 in 2026, on an average residential assessment of $822,671.
How do I appeal my property assessment in Ontario?
File a Request for Reconsideration with MPAC first, then appeal to the Assessment Review Board within 90 days of the decision if needed.
Will my taxes go up after I buy a home?
Buying does not change the assessment, but tax rates change yearly. New homes and major renovations can lead to supplementary bills.
Is there property tax relief for seniors in Markham?
Yes. Programs include Low-Income Seniors Property Tax Assistance and York Region's tax deferral for eligible seniors.
Michael John Lau and Neeraj Moolchandani are licensed REALTORS® with the Kaizen Real Estate Team, eXp Realty, Brokerage, 9763 Markham Rd, Markham, ON L6E 1A4. Licence #4784577. Call (647) 370-8885. Tax rates and averages are from the City of Markham (2026). Valuation date and reconsideration details are from MPAC. Appeal fees are from Tribunals Ontario. Supplementary billing and relief programs are from the City of Markham. This article is general information only and is not financial, legal or tax advice. Not intended to solicit buyers or sellers currently under contract with another brokerage.
