First-time buyers
Your first home in BC, one step at a time.
First-time buyers in BC need at least 5% down on the first $500,000 of the price, must pass the mortgage stress test, and can be exempt from property transfer tax on the first $500,000 of a home valued at $835,000 or less. Here is the whole path in order.
How much can I afford?
Lenders look at your income, debts, credit score and down payment. Banks must test you at the higher of 5.25% or your contract rate plus 2%, so your approved amount is lower than the headline rate suggests. Get a pre-approval before you fall in love with a home.
How much down payment do I need?
The federal minimum is 5% of the first $500,000 and 10% of the part between $500,000 and $1,500,000. Homes of $1,500,000 or more need 20%. With less than 20% down you pay mortgage insurance, added to the loan: 4.00% of the loan at 95% borrowing, 3.10% at 90%, 2.80% at 85% (CMHC rates).
Can I use my RRSP or FHSA?
Yes. The Home Buyers' Plan lets you withdraw from your RRSP for a first home and repay it over time, and the First Home Savings Account lets you save tax-free for a first home. Your bank or accountant confirms the current limits and the rules for your situation.
What is property transfer tax, and am I exempt?
BC charges 1% on the first $200,000, 2% from $200,000 to $2,000,000 and 3% above that. The First Time Home Buyers' Program exempts qualifying buyers from the tax on the first $500,000 of a home with a fair market value of $835,000 or less (partial exemption up to $860,000). You must be a Canadian citizen or permanent resident, have lived in BC for at least a year or filed two BC tax returns in the last six years, and never have owned a principal residence anywhere.
What other costs should I plan for?
Legal or notary fees, a home inspection, title insurance, property tax and utility adjustments, moving and setup, and for a new home 5% GST (rebates may apply). The calculator shows the tax and insurance for any price.
How do I choose the home?
Decide the three things you will not compromise on, then let the rest flex. Elena sends a shortlist that fits your budget and must-haves, and books viewings together.
How does an offer work?
Your offer sets the price, deposit, completion and possession dates, and conditions ("subject to" financing, inspection, strata documents). The seller accepts, rejects or counters. Once accepted, you have until the subject removal date to confirm everything.
What happens between subject removal and keys?
You pay the deposit, arrange insurance, and your lawyer or notary prepares the transfer. On completion day the money and title change hands; on possession day you get the keys.
Sources: Government of British Columbia, property transfer tax and First Time Home Buyers' Program pages; Financial Consumer Agency of Canada, down payment and stress test pages; CMHC premium table. Read 31 October 2026. Rules change; confirm current figures with your lender and lawyer.
Questions people ask
Do I need 20% down to buy a home in Canada?
No. The minimum is 5% of the first $500,000 and 10% of the amount between $500,000 and $1,500,000. Homes of $1,500,000 or more require 20%. Below 20% down you pay mortgage insurance.
What is the mortgage stress test?
Banks must check that you could still make payments at the higher of 5.25% or your contract rate plus 2%. It applies to insured and uninsured mortgages at federally regulated lenders.
How much is the BC first-time buyer property transfer tax exemption worth?
On a qualifying home valued at $835,000 or less, the exemption removes the tax on the first $500,000 of the price, which is $8,000 (1% of $200,000 plus 2% of $300,000). The exemption shrinks between $835,000 and $860,000 and ends above that.
Should I use a mortgage broker or my bank?
A broker compares several lenders for you and is paid by the lender; your bank offers only its own products. Many buyers get quotes from both. Elena can suggest brokers her clients have used, but the choice is yours.
Ready for your first home?
A free call to map out your budget and timeline.