FIRST-TIME BUYERS
Buying your first home in British Columbia
Buying your first home in BC takes seven steps, and the first one isn’t looking at houses. It’s finding out what you can carry, which means talking to a mortgage broker or lender before you talk to a REALTOR®. Below is the whole sequence in order, what you need for a down payment, what closing costs run to, and which programs are worth using. I’m a REALTOR® in Kelowna, and I’ve been straight below about where I actually fit. It’s later than most people expect.
Every figure here was checked against the government source that sets it, and each one is named where it appears. Last verified 2 September 2026.
The short answers
The questions people actually ask first, answered on their own.
How much do I need for a down payment?
In Canada the minimum is 5% on the first $500,000 of the price, 10% on the portion between $500,000 and $1,499,999, and 20% at $1.5 million and above. On a $600,000 home that's $35,000. Under 20% down your mortgage has to be insured, which adds a premium your broker will quote you. Source: Finance Canada, in force 15 December 2024.
Does the BC first-time buyers' exemption wipe out my property transfer tax?
Only under $500,000. Between $500,000 and $835,000 the exemption is capped at $8,000, so there's usually still tax to pay. On a $600,000 purchase the tax is $10,000 and the exemption covers $8,000 of it, leaving $2,000. Source: Government of BC.
Can I use the FHSA and the RRSP Home Buyers' Plan together?
Yes. They're separate programs and you can use both on the same purchase. The FHSA holds $8,000 of room a year to a $40,000 lifetime maximum; the Home Buyers' Plan lets you withdraw up to $60,000 per person from an RRSP. Two qualifying buyers can each do both. Source: Canada Revenue Agency.
What's the deposit, and when is it due?
The deposit isn't the down payment. It's a good-faith payment that forms part of it, commonly around 5% of the price, usually due within 24 hours of your offer being accepted, and held in trust by a brokerage. That means you need those funds liquid before you write, not on completion day.
How long does it take?
From accepted offer to keys is normally 30 to 60 days. Inside that, the subject period where you confirm financing and get the inspection done is usually one to two weeks. The searching that comes before it is the part with no fixed length.
What credit score do I need?
There's no single number, and it isn't my call to make. Lenders set their own thresholds and weigh your income, debts and down payment alongside the score. Pull your own credit report before you apply so nothing on it surprises you, and let a broker tell you what you qualify for.
The deposit is the one that catches people out, because it moves faster than everything else and it has rules of its own in BC. I’ve written that one up on its own: deposit vs down payment, including where the money actually sits and what happens to it if a deal falls apart.
The seven steps, in order
From working out your number to the day you get the keys.
Nothing here is complicated on its own. What catches people out is the order, and how quickly the middle of it moves once an offer is accepted.
1 · Work out what you can carry
Income, debts, savings, and what's left each month. A lender qualifies you at a rate higher than the one you're offered, so your approval is smaller than your contract rate suggests. Pull your credit report first.
2 · Get pre-approved
The step people skip and then regret. It gives you a real number and holds a rate while you shop. Ask your broker how long yours holds. Have T4s or notices of assessment, pay stubs, bank statements and ID ready.
3 · Bring in a REALTOR®
How I'm paid is set out in writing in a buyer's agency agreement before we look at anything. Usually the listing brokerage shares its commission with mine. That isn't automatic, and I'll tell you before we write if a listing is different.
4 · Write the offer
A Contract of Purchase and Sale is more than a price. It sets the deposit, the completion date, and the conditions, usually subject to financing and subject to inspection. The deposit is commonly around 5%, due within 24 hours of acceptance, and held in trust by a brokerage.
5 · Do the diligence
The subject period is normally a week to two. You confirm financing and get the inspection done. Six years in the trades means I'm reading the mechanical, plumbing and electrical while you're looking at the kitchen. That doesn't replace an inspection. It means we walk in with a view.
6 · Remove conditions
Once you're satisfied, conditions come off in writing and the deal is firm. Book your lawyer or notary early, confirm your mortgage documents, and get home insurance bound. Your lender will want it in place before completion.
7 · Complete and take possession
Your lawyer transfers the funds, title registers in your name, and you get the keys. Possession is usually the same day or the next. Set up utilities before then, and change the locks.
If you want to browse listings while you work through this, that lives on my neighbourhood site, uppermissionkelowna.ca.
What to budget beyond the down payment
Set aside roughly 2% to 4% of the purchase price for these.
These are planning ranges from what I see locally, not published rates. Build the budget from them, then get real quotes before you commit to anything.
Property transfer tax
The big one, and the one first-time buyers can reduce but usually not erase. On a $600,000 purchase it's $10,000 before any exemption. See the programs below for what comes off.
Home inspection
Roughly $400 to $800. Get one every time, from an independent certified inspector, not one you were handed.
Legal or notary fees
Roughly $1,500 to $3,000, covering title transfer, title insurance and registration.
Home insurance
Roughly $1,200 to $2,400 a year, and your lender will want it bound before completion.
The programs, and what they're worth
Every figure below is stated with the threshold that governs it, and the source that sets it.
Several of these stack. Every one has eligibility conditions I can’t confirm for your situation, so treat this as the map and have your lawyer, broker or accountant confirm the route.
BC property transfer tax exemption
Full exemption only at or under $500,000. Between $500,000 and $835,000 the exemption is capped at $8,000, so there is still tax to pay. On an $800,000 purchase you would owe roughly $6,000 after it. It reduces proportionally between $835,000 and $860,000, and is nil above that. Thresholds in place since 1 April 2024. Source: Government of BC.
BC newly built home exemption
A full exemption on new construction at or under $1,100,000, phasing out to nil at $1,150,000. In place since 1 April 2024. Source: Government of BC.
First-time home buyers' GST rebate
Up to $50,000 back on a new or substantially renovated first home at or under $1,000,000, reducing to nil at $1,500,000. Applies to agreements signed on or after 20 March 2025. Bill C-4 received royal assent on 13 March 2026. Source: Canada Revenue Agency.
RRSP Home Buyers' Plan
Withdraw up to $60,000 per person, tax free. Two qualifying buyers can combine for $120,000. Repayment runs 15 years, and on a first withdrawal made between 2026 and 2028 that clock doesn't start until the fifth year after the year you withdrew. Source: Canada Revenue Agency.
First Home Savings Account
$8,000 of room a year to a $40,000 lifetime maximum. Unused room carries forward, but only $8,000 of it. Contributions are deductible and a qualifying withdrawal comes out tax free. It stacks with the Home Buyers' Plan. Source: Canada Revenue Agency.
30 year amortization
Available on insured mortgages over 80% loan to value where you're a first-time buyer or buying a new build, in force since 15 December 2024. The same package raised the insured mortgage price cap to $1,500,000. Source: Finance Canada.
Home buyers' tax credit
Claim $10,000 on your federal return in the year you buy. Non-refundable, worth up to $1,500 against tax payable, which roughly covers your legal fees. Source: Canada Revenue Agency.
Where to start
Two moves, in this order. Don't overthink the rest yet.
- Talk to a mortgage broker or lender. Know your number before you get attached to a house. Everything else here depends on that number being real.
- Then talk to me. Tell me what you’re trying to do, where you’re looking, and what your approval came back at. I’ll tell you what that buys right now and where I’d start. If what you want doesn’t exist at that number, I’ll say so.
You’ll also want a lawyer or notary and an independent home inspector. I’ll tell you when each one comes in, and you’re free to use your own.
The longer version of how I handle a purchase once we’re working together is on how I represent buyers. If you want to know who you’d be working with first, that’s on my background.
I do this full time. The record below is current and year-stamped.
This guide is general information, not legal, mortgage, tax or financial advice. Program eligibility, thresholds and amounts change, and the ones above were verified on 2 September 2026 against the Government of BC, the Canada Revenue Agency and Finance Canada. Confirm anything you plan to rely on with a qualified lawyer, notary, mortgage broker or accountant before you act on it. Braden Koop Personal Real Estate Corporation operates under RE/MAX Kelowna. Each RE/MAX office is independently owned and operated.
