Closing Costs in BC: Everything You Pay Beyond the Down Payment

A buyer messaged me in August asking whether she could borrow her legal fees from her father for two weeks. She had saved a 20% down payment over four years.

Nobody had told her about the rest.

Why this catches people

The down payment gets planned for. It has a number, and the number sits in a savings account growing toward a target.

Closing costs arrive in the last three weeks, all at once, and they cannot be added to the mortgage. The loan is sized against the purchase price. Everything below covers what you pay in cash on completion day, on top of the down payment you already saved.

The rule your lender uses. CMHC's qualifying requirements ask buyers to have closing costs equal to 1.5% to 4% of the purchase price available. On an insured mortgage, your lender will ask to see that money in an account before they fund. Treat 1.5% as the floor you must prove, and budget toward the middle of the range if you are buying new construction or paying full property transfer tax.

On a $900,000 purchase, 1.5% is $13,500 that has to exist separately from your down payment.

Property transfer tax

For most buyers this is the largest single line.

It is charged in bands on the fair market value:

• 1% on the first $200,000
• 2% on the portion from $200,000 to $2,000,000
• 3% on the portion from $2,000,000 to $3,000,000
• an additional 2% on the portion above $3,000,000

Each rate applies only to the dollars inside its band. A first-time buyer or a buyer of a newly built home may qualify for a full or partial exemption, and that single question moves your closing cost budget more than every other line combined. We set out the thresholds and the qualifying conditions in property transfer tax for first-time buyers.

Check your exemption before you decide how much cash to hold back.

GST on new construction

Resale homes do not attract GST. New construction and presale condos do, at 5% federal GST, and there are rebates that can reduce or remove it depending on the price and on whether you are a first-time buyer. The mechanics are in GST on new construction homes in BC.

The detail that matters for cash planning: where GST is payable and you are not financing it, it lands on completion day with everything else.

Legal or notary fees, and disbursements

Two separate things appear on the same bill.

The professional fee is what your lawyer or notary charges for the work: reviewing the contract, preparing the transfer and mortgage documents, meeting you to sign, and handling the funds.

Disbursements are amounts they pay out on your behalf and bill back at cost:

• the land title registration fees
• a title search
• a tax certificate from the municipality
• strata form charges, where there is a strata
• courier and filing charges

Ask for a written quote that separates the two. A low headline fee with a long disbursement list is a different number from what it looks like.

Title insurance

Most lenders require it as a condition of funding, so on a financed purchase it is part of the cost rather than a choice. It is a one-time premium, paid at closing, covering defects in title, boundary and survey problems, and certain kinds of fraud.

Your lawyer or notary arranges it and it shows up as a disbursement.

Land title registration

Every registration at the Land Title and Survey Authority carries a fee. As of April 1, 2026, registering a transfer of title costs $83.82, and registering a mortgage costs $83.82. A financed purchase involves both.

This is a small line, and it is one of the disbursements your quote should already include.

The statement of adjustments

This is the document that surprises buyers, because it arrives near the end.

Your notary or lawyer prepares an accounting that starts with the purchase price, subtracts your deposit and your mortgage proceeds, then adds the adjustments. The final figure is the cash you wire before completion.

Property tax. BC property tax is billed once a year for the whole calendar year. If the seller already paid the full year and you complete in September, you reimburse them for the months you will own the home. Complete before the tax has been paid and the adjustment runs the other way, with the seller crediting you.

Strata fees. Fees are paid monthly in advance, so a mid-month completion means repaying the seller for the remaining days. Special levies are their own question, and who pays depends on when the levy was approved. Our piece on strata fees explained covers what sits inside the monthly number.

Ask your notary for the draft statement as early as they can produce it. That is the only document that tells you the exact wire amount.

The costs paid before completion

Two of these come out of your account weeks earlier, which is why people stop counting them as closing costs.

Home inspection. Paid during the subject period, before you know whether the deal will complete. If you walk away, the money is gone, and a second inspection on a second property is a second payment. What an inspector actually checks is in the BC home inspection checklist.

Appraisal. Your lender may order one to confirm the property is worth what you agreed to pay. Some lenders absorb the cost, some pass it to you, and some waive it entirely on a straightforward insured file. Ask which applies to you when you are arranging financing.

Mortgage default insurance

With a down payment under 20% you pay a mortgage default insurance premium. The premium is calculated as a percentage of the loan and is normally added to your mortgage balance, so it is not cash you need on completion day.

CMHC lists Ontario, Quebec and Saskatchewan as the provinces that charge provincial sales tax on that premium, payable in cash because the tax cannot be added to the loan. British Columbia is not on that list, so a BC buyer does not face that particular charge at closing.

Moving and utilities

Movers. Cost depends on distance, volume, whether you need packing, and whether the building requires an elevator booking. A strata may also charge a move-in fee, which the bylaws will state.

Utility hookups and first bills. Account setup at BC Hydro, FortisBC where there is gas, internet installation, and in some municipalities a utility account transfer. These are small on their own and they land in the same two weeks as everything else.

Insurance. Your lender will require proof of home insurance in place before they fund. On a strata, that means unit owner coverage that accounts for the building's deductible, which our post on strata insurance deductibles explains.

The survey certificate question

A survey certificate shows where the buildings sit relative to the lot lines.

On a detached house, a lender may ask for a current one, particularly where a garage, fence, or addition sits close to a boundary. Many lenders accept title insurance in its place, which is why the question often disappears once title insurance is arranged.

Ask your mortgage broker early. Ordering a survey late is one of the few closing costs that can also delay your completion date.

What this comes down to

• Closing costs are paid in cash on completion day and cannot be added to the mortgage.
• CMHC's qualifying requirements ask for 1.5% to 4% of the purchase price available, and lenders ask to see it.
• Property transfer tax is the largest line for most buyers: 1% to $200,000, 2% to $2,000,000, 3% to $3,000,000, plus 2% above that.
• Check your exemption first. It moves the budget more than everything else combined.
• The statement of adjustments repays the seller for property tax and strata fees covering days you own the home.
• Inspection and appraisal are paid weeks earlier and still belong in the total.
• Contact our team for a line-by-line estimate on a specific address, or browse listings.

Plan your next step

Work through search preparation so the closing cost number is in your budget before you write an offer rather than after. If you are buying into a building, strata review covers the documents behind the fee adjustments and the insurance requirement.