Real estate law
A typical BC home purchase has more closing costs than most buyers expect, and the breakdown depends heavily on the price, whether you qualify for any exemptions, and whether the home is new construction or resale. Here's the full picture, line by line.
The big picture
On most BC residential purchases, you should budget 2 to 4 percent of the purchase price for total closing costs. The single largest line item is almost always Property Transfer Tax, which alone can run 1 to 3 percent of the price depending on bracket and exemptions. The rest is a mix of legal fees, registration fees, title insurance, and third-party charges.
That said, a first-time buyer purchasing a sub-$500,000 condo could see total closing costs under $5,000, while a $3 million West Side detached purchase can carry closing costs north of $90,000 — almost all of it Property Transfer Tax.
Line by line
01
The BC tax payable on most title transfers, calculated on fair market value: 1% on the first $200,000, 2% on the portion between $200,000 and $2,000,000, 3% on the portion between $2,000,000 and $3,000,000, and 5% on the portion above $3,000,000. Exemptions exist for first-time buyers, newly built homes under a threshold, and certain family transfers. More on PTT and exemptions.
02
Our flat fee for a typical purchase is $1,400 (no mortgage) or $1,600 (one mortgage). Above $2 million or on First Nations Lands, we quote on the file. Full fee schedule.
03
Government fees to register the transfer of title and any new mortgages at the BC Land Title Office. Typically under $200 for a simple file with one transfer and one mortgage; higher with multiple titles or registrations.
04
A one-time premium for a policy protecting against title defects, fraud, and certain post-closing risks. Most institutional lenders require a lender policy (paid for by the buyer); owner policies are usually optional. Combined cost on a typical residential file: $250 – $500 depending on price and policy choice.
05
Issued by the municipality, confirms current property tax status. Required for closing. Typically $40 – $75 depending on the city.
06
Form B (information certificate), Form F (certificate of payment), bylaws and rules, and depreciation report where required. Combined: typically $200 – $400.
07
Not really a "fee" — it is the proportional share of property taxes and strata fees you owe the seller for the part of the year you will own the property after closing (or, if it is the seller who owes you, a credit). Calculated as part of the statement of adjustments.
08
Lender-required confirmation that home insurance is in place by closing. Cost varies; the binder itself is from your insurance broker and usually issued at no charge or a nominal fee, but you do have to pay the first instalment of the insurance premium.
09
5% federal tax on most newly built homes, substantially renovated properties, and most commercial real estate. Two rebates can apply: the standard GST New Housing Rebate (up to $6,300 for owner-occupied homes under $450,000), and the new First-Time Home Buyer GST Rebate (up to $50,000 for FTHB-qualifying purchases under $1,000,000, contracts signed on or after March 20, 2025). Use our GST calculator to see the net amount on a specific purchase price.
10
If you have a mortgage with mortgage insurance (CMHC, Sagen, Canada Guaranty), the insurance premium is usually added to the mortgage rather than paid up front. PST on the mortgage insurance premium, however, is paid at closing.
11
A small administrative charge covering the digital tools the file runs through — electronic signing, secure document delivery, identity verification, and the conveyancing software the firm uses to keep the file moving. A flat amount disclosed at intake.
12
Small out-of-pocket costs the firm incurs running the file — courier pickup and delivery of trust cheques between law offices, registered mail to lenders, and similar physical-handling costs. Itemised on the statement of adjustments at closing.
What we collect from you at closing
Our flat fee
$1,400 – $1,600
For a typical residential purchase under $2M. Above that, on First Nations Lands, or on complex multi-title files, we quote on the file.
Third-party charges
$750 – $1,000
Government fees, title insurance, tax certificates, strata documents, insurance binders. Billed at cost. Property Transfer Tax and GST are separate again.
Frequently asked
A reasonable rough estimate is 2 to 4 percent of the purchase price, with Property Transfer Tax (PTT) being the biggest single line item if you are not exempt. On a $1 million purchase with no PTT exemption, that puts closing costs in the $25,000 to $40,000 range, most of which is PTT. On a $500,000 first-time-buyer purchase that qualifies for the PTT exemption, closing costs can be under $5,000.
For most buyers, Property Transfer Tax. PTT is calculated on the fair market value of the property at 1% of the first $200,000, 2% of the portion between $200,000 and $2,000,000, 3% on the portion between $2,000,000 and $3,000,000, and 5% on the portion above $3,000,000. There are exemptions — first-time buyers, newly built homes under a price threshold, and certain family transfers — but most repeat buyers pay PTT in full.
No. Legal fees are one component. Closing costs include legal fees plus Property Transfer Tax, government registration fees, title insurance, property tax adjustments, strata fee adjustments, and a number of small third-party charges. On most files, our legal fee is between $1,400 and $1,600 — it's a small slice of the total closing cost picture.
Sometimes. GST applies on most newly built homes, on substantially renovated properties, and on certain commercial real estate transactions. It does not apply on a typical resale of a previously occupied home. Two rebates can apply: the standard GST New Housing Rebate (up to $6,300 for owner-occupied homes under $450,000), and the new First-Time Home Buyer GST Rebate (up to $50,000 for FTHB-qualifying buyers under $1,000,000, contracts signed on or after March 20, 2025). We calculate the net GST and apply the rebate at closing where it qualifies. Use our GST calculator to estimate the net amount on a specific price.
Title insurance is a one-time premium policy that protects against title defects — fraud, encroachments, undisclosed liens, survey issues — discovered after closing. Most institutional lenders in BC require a lender title insurance policy, which is paid for by the buyer. Owner title insurance is usually optional, but on most files we recommend it: the cost is modest and the coverage is meaningful.
Sometimes. Some lenders allow you to finance up to 1.5% of the purchase price for closing costs by adding it to the mortgage. The rules depend on the lender and your overall qualification. Most buyers cover closing costs from their own funds.
Send us the address, the contract price, the closing date, and your mortgage amount. We'll come back with a numbered statement of adjustments preview.