How is the matrimonial home's value calculated for equalization purposes in Ontario?

For equalization purposes, the matrimonial home is valued at its fair market value on the valuation date, which is the date of separation. Fair market value is the price a willing buyer and a willing seller would agree upon in an arm's-length transaction, typically established by a real estate appraisal.

Outstanding mortgage balances are subtracted from the gross value to arrive at net equity, which then enters the net family property calculation. Unlike most other assets, no deduction is available for the value of the home at the date of marriage — the entire net equity at separation is counted.

If the parties disagree on value, each can retain an independent appraiser. If the appraisals differ significantly, the court can weigh the evidence or appoint a single appraisal expert. The cost of appraisal is a practical expense in any contested property matter. Timing also matters: if a significant period passes between separation and settlement, values may change, and the parties may need updated appraisals. Always clarify the valuation date and appraisal basis with your lawyer early in the process.