08/21/2026
🏡 What happens to the family cottage when it becomes part of an Ontario estate?
One child may want to keep it.
Another may prefer the money.
And the tax question can make everything more complicated.
🔗 Read the full blog:
https://gracesimon.ca/blog/ontario-cottage-inheritance-estate-planning
For many Ontario families, the cottage is more than real estate. It holds memories, traditions, and years of family history.
But when it becomes part of an estate, important questions can come up around:
✨ Cottage inheritance in Ontario
💰 Capital gains on a cottage
🏠 The principal residence exemption
👨👩👧👦 Different wishes between children
📊 The current value of both properties
💼 Estate liquidity and future costs
⚖️ When to involve a CPA and estate lawyer
A cottage may have increased significantly in value over the years, and the estate may need to understand the possible tax impact before deciding what happens next.
And then there is the family side.
One child may use the cottage every summer.
Another may not have visited in years.
Another may simply want their share in cash.
💡 Equal shares do not always feel equal.
That is why these conversations are usually easier to have now — while everyone can still talk openly about what they actually want.
Before making a decision, families should consider:
✅ Who truly wants to keep the cottage?
✅ Who would rather receive the money?
✅ Who will pay the ongoing costs?
✅ Could one child buy out the others?
✅ What happens if someone wants to sell later?
✅ Does the estate have enough liquidity for taxes and expenses?
📌 Start with the numbers. Then have the family conversation.
If your family owns a cottage, second home, or recreational property in Ontario, early planning can help create more clarity and fewer surprises later.
📅 Book a private market conversation:
https://calendly.com/grace-newdoors/market-update-call
📞 Call: 905-953-6926
🌐 Website:
https://gracesimon.ca
🏡 Grace Simon
New Doors Group | eXp Luxury