What Are the Closing Costs When Buying a Home in British Columbia?

This answer covers the law of British Columbia.

Closing costs in BC are the expenses beyond your down payment, and the largest for most buyers is property transfer tax. It is charged on fair market value at 1% on the portion up to $200,000, 2% on the portion above $200,000 up to $2,000,000, and 3% on the portion above $2,000,000. A further 2% applies to the residential value above $3,000,000.

As the buyer receiving title, you pay the tax and file the return. It is normally paid through your lawyer or notary on completion. A first-time buyer may be fully exempt if the fair market value is $835,000 or less for registrations on or after April 1, 2024, with a partial exemption above that and below $860,000. A newly built home may be fully exempt at $1,100,000 or less, phasing out by $1,150,000. Both exemptions have conditions, including citizenship or permanent residency and use as your principal residence.

Other costs may apply. A federal rebate of up to $50,000 may be available to first-time buyers of new or substantially renovated homes, but resale homes are not covered. Foreign nationals, foreign corporations and taxable trustees may pay an extra 20% in certain regions. Adjustments, title registration and inspection costs vary, so ask your lawyer or notary for an estimate.