As a Buyer it is important to know how much cash you will need on the completion date of your home above and beyond your downpayment at the bank. Here is a short list:
Typically $500 – $800 + 5% GST
Adjustments on Completion
Items the Seller would have pre paid including but not limited to property taxes and strata fees. Please consult with your Realtor or closing Lawyer / Notary for a complete list.
Legal / Conveyance Fees
Approx. $900 – $1500
Property Transfer Tax
The property transfer tax rate is:
- 1% on the first $200,000,
- 2% on the portion of the fair market value greater than $200,000 and up to and including $2,000,000,
- 3% on the portion of the fair market value greater than $2,000,000, and
- If the property is residential, a further 2% on the portion of the fair market value greater than $3,000,000 (effective February 21, 2018).
If the property is classified as residential and farm, or is residential mixed class (such as residential and commercial), you pay the further 2% tax on only the residential portion of the property.
For more info on transfer tax, please visit: https://www2.gov.bc.ca/gov/content/taxes/property-taxes/property-transfer-tax
GST on the purchase of a new Home
5% GST may be payable on the purchase of new homes in B.C. It is important to understand what you are buying, if the tax is applicable and if there may be any outstanding tax.
Typically $300 – $500. contact your lender to confirm appraisal fees.
This list confirms the typical purchase costs above and beyond your down payment at the bank or lender. Other fees may apply including:
- moving costs
- title insurance
- life insurance
- home insurance
- outstanding GST
Best to review the property type with your Realtor or closing Lawyer / Notary before completion to confirm you have not missed anything and there are no surprises.
You can contact Chris at 778-881-0673 to review the property and discuss any questions.