Closing Costs in BC: What You Will Pay Beyond the Purchase Price

When you budget for a home in BC, the price and your down payment are only part of the picture. A list of other costs falls due on or before completion day, and some of them, such as property transfer tax, can run to thousands of dollars.

This guide sets out the costs a BC buyer should plan for, which ones are set by government and which ones vary, and how they come together on completion, so you can budget before you are pre-approved rather than after you remove subjects.

How much should you set aside?

The Financial Consumer Agency of Canada suggests being ready to spend 1.5% to 4% of the purchase price on closing costs such as home inspection fees, legal fees, property tax adjustments and title insurance. These are one-time costs you pay in addition to your down payment and mortgage, usually by the time the sale completes.

In BC, two government charges can take up much of that budget, or more, on their own: property transfer tax on almost every purchase, and GST if the home is new. Work both out for the price range you are looking at before you start making offers.

Property transfer tax

Property transfer tax is based on the fair market value of the property and is paid when the transfer is registered at the Land Title Office, normally by your lawyer on completion. The rates are 1% of the first $200,000, 2% of the portion up to $2,000,000 and 3% above that, with a further 2% on residential property over $3,000,000.

Example: on a $900,000 resale condo, the tax is $16,000: $2,000 on the first $200,000 plus $14,000 on the remaining $700,000.

Exemptions can reduce or remove it. A first-time buyer may be fully exempt on the first $500,000 (a saving of up to $8,000) where the home is worth $835,000 or less, with the exemption phasing out by $860,000. A newly built home worth $1,100,000 or less may be fully exempt, phasing out by $1,150,000. Both come with citizenship, principal residence and occupancy conditions. Foreign nationals, foreign corporations and taxable trustees also pay an additional property transfer tax on residential property in specified areas of BC.

If you are taking title from a family member rather than buying on the open market, other exemptions may apply; see transferring property to a family member in BC.

GST on a new or substantially renovated home

GST at 5% applies when you buy a newly built or substantially renovated home. The resale of a used home is generally exempt. On a new $900,000 condo, that is $45,000 before any rebate.

Check whether the price in your contract includes GST, and whether it assumes you will assign a GST rebate to the builder. A first-time buyer who meets the conditions may recover up to $50,000 through the federal First-Time Home Buyers' GST/HST rebate: in full on homes valued at $1 million or less, and on a reducing scale up to $1.5 million. If you are counting on a rebate, confirm before you sign that you qualify.

Legal fees, disbursements and registration

Legal or notary fees for a purchase vary with the firm and how involved the file is, for example a presale, a second lender or a title problem to clear. Ask for a written quote that lists fees and disbursements separately, so you can compare like with like.

In BC, 7% PST and 5% GST are added to legal fees. Disbursements are the third-party costs your lawyer pays on your behalf, such as title searches, strata documents and registration fees; they are generally not subject to PST.

Land Title and Survey Authority fees are small by comparison. Since April 1, 2026, registering the transfer costs $83.82 and registering your mortgage another $83.82, plus an electronic filing charge for each. On the $900,000 condo above, tax and registration fees come to $16,167.64 plus filing charges, before legal fees, title insurance and the rest.

Title insurance, inspection and mortgage costs

• Title insurance. A one-time premium for a policy that covers certain title defects and fraud. Many lenders require it, and your lawyer usually arranges it.
• Inspection and appraisal. A home inspection is usually done before you remove subjects, and your lender may require an appraisal. Prices vary, so ask for quotes.
• Mortgage default insurance. If your down payment is less than 20% of the price, your mortgage must be insured (mortgage loan insurance). The premium is 0.6% to 4.5% of the mortgage amount and can be added to the mortgage, where you pay interest on it, or paid as a lump sum.
• Home insurance. Your lender will usually want proof of coverage from completion day before it advances the mortgage funds.

Adjustments, the deposit and completion day

The statement of adjustments credits or charges each side for the days it owns the property. If the seller has already paid the year's property taxes, you reimburse the share from the adjustment date; strata fees and some utilities are prorated the same way. For a strata unit, ask early whether a special levy has been approved or proposed and who pays it under your contract.

Your deposit is not an extra cost: it is credited against the price. But it is due on the date your contract sets, often within days of acceptance or subject removal, so you need that money ready well before completion. Budget too for moving, utility connections and any repairs you plan before you move in.

For how these figures come together in the final days, see what your real estate lawyer does before completion day.

Budgeting for a purchase in BC? Get a clear quote before you commit

Our real estate lawyers can give you a written quote for fees and disbursements, estimate the property transfer tax on your purchase and check whether an exemption may apply, then review your statement of adjustments and handle registration on completion.

Call 604-259-2844 or send us a message to arrange a consultation at our Vancouver office.