Don’t get caught off guard!

Your offer has been accepted, financing is coming together, and you’re already thinking about getting the keys. But there’s another important part of the home-buying budget that shouldn’t be overlooked: closing costs.

Closing costs are the expenses required to complete your purchase, with some paid before completion and others on or around closing day. As a general planning guideline, buyers may want to budget approximately 1.5% to 4% of the purchase price, although the actual amount will depend on the property, purchase price, financing and individual circumstances.

Common costs can include:

• Property Transfer Tax (PTT)

• Legal or notary fees and disbursements

• Home inspection

• Appraisal, if required

• Title insurance

• Home insurance

• Property tax, utility or strata adjustments

• GST on certain newly built homes

Property Transfer Tax Can Be a Significant Expense

For many BC buyers, Property Transfer Tax is one of the largest closing costs.

BC’s general PTT is currently calculated at 1% on the first $200,000 of fair market value, 2% on the portion above $200,000 up to $2 million, and 3% on the portion above $2 million, with an additional 2% potentially applying to the residential portion above $3 million.

There are exemptions available for some purchasers, including qualifying first-time home buyers and purchasers of certain newly built homes. Eligibility requirements and thresholds can change, so it’s important to confirm what applies to your specific purchase rather than assuming an exemption will be available.

This is a perfect example of why working closely with your mortgage broker from the beginning is so important. Your circumstances are unique, and understanding which costs, exemptions and requirements may apply to you helps ensure they are properly factored into your overall home-buying budget.

Look Beyond the Down Payment

But what happens if you qualify for the mortgage, yet haven’t budgeted for everything you’ll need to actually complete the purchase?

When I review your financing, the conversation isn’t simply about how much mortgage you qualify for or how much you have for a down payment. Closing costs and your overall cash required to complete the purchase will be considered from the beginning.

That distinction matters. The cash you need to complete your purchase may include your remaining down payment (after your deposit), closing expenses, PTT, GST (where applicable) and adjustments for expenses such as property taxes or strata fees.

Understanding these numbers early can help you establish a realistic purchase budget, determine how much of your savings needs to remain accessible and avoid stretching your finances further than intended.

Plan First. Shop Second.

A mortgage pre-approval is only one part of a successful home purchase. My goal is to help you understand the full financial picture from the beginning, so you can move forward feeling informed, prepared and comfortable with your decisions.

Before you start shopping—or before you write an offer—let’s discuss your financing, estimated closing costs and approximate cash required to complete your purchase.

The right financing strategy goes beyond the mortgage itself—it considers what you’ll need before, during and after you move in, and beyond.

Note: Cost estimates and tax information are provided as general guidance only. Property Transfer Tax information reflects BC rules reviewed in September 2026. Programs, thresholds, lender requirements and professional fees can change and should be confirmed for your specific situation.