Costs of Buying a Home in British Columbia

HST (After June 30, 2010)

If you buy a newly constructed home, you must pay the 12% HST. However, if your house is less than $525,000 you may be eligible for a rebate. There is no HST on the resale of a home unless it has been "substantially" renovated.

Property Transfer Tax (PTT)

This tax is 1% on the first $200,000 of the sale price and 2% on the remaining balance. First-time home buyers may be exempt from paying this tax.

Prepaid Property Taxes or Utility bills

You will have to reimburse the sellers for any prepaid property taxes or utilities.

Mortgage Loan Insurance

High Ratio Mortgages (less than 20% downpayment) you will have to buy mortgage loan insurance from Canada Mortgage and Housing Corporation (CMHC) or a private lender. Speak to a financial advisor for details.

Title Insurance

More and more lenders are requiring Title Insurance which costs approximately $300.

Survey

Your lender may require an up-to-date survey of the property. The fee ranges from $150 - $300.

Home Inspection

Most Realtors will recommend that you get a home inspection by a Certified Home Inspector. It will cost you from $350 - $450 for a smaller house. Larger homes may cost more.

Legal fees

Lawyers/Notary fees for closing the sale range according to the complexity of the deal, but they will probably be at least $500 and up.

Disbursements to Land Titles Office

These fees are approximately $300. Your Lawyer/Notary will arrange this payment.