Completion Costs in Vancouver – What Buyers Need to Know

When purchasing property in Vancouver or across British Columbia, there are several closing costs to consider in addition to your down payment. Below is an overview of the most common expenses.

Property Transfer Tax (PTT)

In British Columbia, Property Transfer Tax applies to most real estate purchases and is calculated as follows:

• 1% on the first $200,000
• 2% on the portion from $200,000 to $2,000,000
• 3% on the portion above $2,000,000
• An additional 2% on the portion above $3,000,000 (residential properties)

In certain regions, including Metro Vancouver, an additional 20% Foreign Buyer Tax may apply to non-resident purchasers.

First-Time Home Buyer exemptions may be available for qualifying buyers purchasing properties under specific price thresholds. Eligibility requirements and limits change periodically, so it is important to confirm current criteria at the time of purchase.

Home Inspection

Most buyers choose to obtain a professional home inspection. Fees typically range from $500 to $900 depending on property size and complexity. Larger homes and specialty inspections may cost more.

Legal Fees / Notary Fees

You will require a lawyer or notary to handle conveyancing and title transfer. Legal fees generally range from $1,500 to $3,000, depending on transaction complexity, plus applicable taxes and disbursements.

Adjustments (Property Taxes & Utilities)

On completion, you may need to reimburse the seller for prepaid property taxes, strata fees, or utilities. These amounts are calculated by your lawyer or notary.

Mortgage Loan Insurance

If your down payment is less than 20%, mortgage default insurance is required (through CMHC or a private insurer). The premium is calculated as a percentage of the mortgage amount and is typically added to your mortgage. Insurance rates vary depending on down payment percentage and current insurer guidelines.

Appraisal

Your lender may require an appraisal to confirm market value. Appraisal fees typically range from $350 to $700. In some cases, lenders cover this cost.

Survey / Title Insurance

Instead of a traditional survey, most lenders now require title insurance, which typically costs between $250 and $400. In rare cases where a survey is required, costs may exceed $1,500.

Land Title Registration & Disbursements

Registration and disbursement costs through the Land Title Office generally range from $300 to $600 and are arranged by your legal representative.

Planning Ahead

Closing costs typically range from 1% to 3% of the purchase price, depending on price point and financing structure. Proper planning ensures a smooth and stress-free completion.

If you would like a personalized cost estimate based on your purchase price and financing structure, feel free to contact Oleg Tsaryov at 604-719-4490 for a confidential consultation.

Oleg Tsaryov

Vancouver Real Estate Agent