Buying a home involves more than saving for your down payment and figuring out your monthly mortgage payment. There are several other costs that can come up before, during and after your purchase, and knowing about them ahead of time makes the whole process much easier to plan for.

Some costs apply to almost every purchase, while others depend on the property, your financing and whether you're buying a resale home or new construction.

Here are some of the expenses I discuss with my buyers when we're preparing for a purchase in Vancouver.

The Deposit

The deposit is different from your down payment.

In a typical resale purchase, the deposit is paid according to the terms of the Contract of Purchase and Sale and forms part of the purchase price on completion.

It's important to have these funds accessible when you're preparing to make an offer. The amount and timing aren't something you want to figure out after you've already negotiated an accepted offer.

Home Inspection

A professional home inspection is an important part of due diligence for many buyers.

The cost will vary depending on the type and size of the property and the scope of the inspection.

For condo buyers, an inspection is only one piece of the due-diligence process. Reviewing the strata documents, depreciation report, Form B, minutes, financial statements, bylaws and other available records can be equally important because an inspector is generally assessing the strata lot and accessible physical components—not the financial and governance health of the strata corporation.

Appraisal

Your lender may require an appraisal to confirm the property's value before advancing the mortgage.

Sometimes the lender absorbs this cost and sometimes it is charged to the buyer, so it's worth asking your mortgage broker or lender about it in advance.

Property Transfer Tax

BC Property Transfer Tax is one of the larger closing costs buyers need to consider.

The amount depends on the property's fair market value, and exemptions or reductions may be available to qualifying buyers in certain circumstances, including some first-time home buyers and purchasers of qualifying newly built homes.

Because the rules and thresholds can change, I recommend confirming the current amount and any potential exemption as part of your purchase planning rather than relying on an old online estimate.

GST and New Construction

If you're purchasing a newly constructed home, GST may apply.

This becomes particularly important with presales because you need to understand whether the advertised purchase price includes or excludes GST and whether you may qualify for any available rebate.

It's something I encourage buyers to clarify before signing a presale contract, not shortly before completion.

Legal or Notary Fees

A BC lawyer or notary handles the conveyancing required to transfer the property into your name and complete the purchase.

Your final bill can also include disbursements and other charges associated with the transaction, so ask for an estimate rather than budgeting for the professional fee alone.

Home Insurance

Your lender will generally require appropriate property insurance to be in place before mortgage funds are advanced.

For strata properties, the strata corporation carries insurance for the building and common property, but owners still need to consider their own coverage, including contents, improvements and other appropriate coverage.

Adjustments at Closing

There are also financial adjustments made at completion.

For example, if the seller has already paid certain property expenses covering a period after your completion date, your portion may be adjusted on the statement of adjustments prepared for closing.

Your lawyer or notary will calculate these amounts.

Moving and Immediate Home Expenses

Then there are the costs that are easy to forget when you're focused on the purchase itself:

Moving, utility setup, new furniture, painting, repairs and renovations can add up quickly.

If you're buying a strata property, you'll also want to account for monthly strata fees—and understand what those fees actually include.

Plan the Costs Before You Start Shopping

One of the reasons I like buyers to speak with a mortgage professional early is that your purchase price isn't the only number that matters.

Understanding your available cash, down payment, closing costs and likely post-purchase expenses gives you a much clearer idea of what you're comfortable spending.

And when we find the right property, you can make decisions based on numbers we've already considered rather than trying to work everything out under the pressure of an offer.

Planning to Buy a Home?

The costs involved in buying a home can vary depending on the property and your individual circumstances. You may also qualify for exemptions or rebates that can make a meaningful difference to your overall costs.

If you’re thinking about buying and would like to discuss your plans, the expenses to prepare for, and what exemptions or rebates may be available to you, fill out the form below and I’ll be in touch.

LET’S TALK ABOUT YOUR HOME PURCHASE

For most homeowners, their home is their largest financial asset. We insure it, maintain it and secure it — but how often do we think about monitoring the title to the property itself?

A recent notice from the Land Title and Survey Authority of British Columbia (LTSA) about mortgage fraud attempts in BC is a timely reminder of why property owners should be aware of activity involving their land title.

The good news is that BC homeowners now have another tool to help them stay informed: BC Property Connect.

What is BC Property Connect?

BC Property Connect is a secure online service provided by LTSA that gives eligible BC residential property owners direct digital access to information about their property and land title.

One of its most useful features is Property Alerts.

Once you connect your property to your account, BC Property Connect can notify you when there is new activity on your land title.

This can include:

• a new mortgage

• a transfer

• a lien

• a correction to the title

In most circumstances, title activity will be something you initiated yourself or already know about.

But in the unlikely event that you weren't expecting the activity, receiving an alert allows you to become aware of it quickly, review what happened and determine whether further action is necessary.

Why are property alerts particularly relevant right now?

LTSA recently advised the public that it is aware of mortgage fraud attempts in British Columbia involving false identification.

In these cases, fraudsters have allegedly attempted to impersonate legitimate property owners in order to obtain mortgages against their properties.

This doesn't mean BC's land title system is suddenly unsafe. LTSA continues to emphasize the strength and security of BC's land title system.

BC Property Connect should also not be thought of as something that prevents title or mortgage fraud.

Instead, Property Alerts provide an additional early-warning mechanism. If unexpected activity involving your title occurs, knowing about it sooner gives you an opportunity to investigate and respond.

How does BC Property Connect work?

Getting started is quite straightforward:

1. Find your property by entering its address.

2. Verify your identity using your BC Services Card account.

3. Create your BC Property Connect account and ensure your contact information is correct.

Once connected, you'll have secure digital access to information about your property and can receive Property Alerts when there is new activity on the title.

I contacted BC Property Connect directly and also confirmed that there is currently no cost to use the service.

Who can use BC Property Connect?

The service is currently available for eligible residential properties in British Columbia with up to two owners.

Each owner can register for their own account.

At this time, you also need a BC Services Card account to verify your identity and create a BC Property Connect account.

LTSA has indicated that eligibility and functionality will continue to expand, so homeowners who aren't currently eligible may want to check back as the service develops.

Is BC Property Connect worth signing up for?

For eligible BC homeowners, I think it's a very useful tool to know about.

It takes only a few steps to set up, there is currently no cost, and you gain another way to stay informed about an asset that may represent a significant portion of your net worth.

It's important to understand what the service does and doesn't do: BC Property Connect doesn't guarantee that property or mortgage fraud cannot occur. Instead, its Property Alerts can help you become aware of unexpected activity involving your title so you can investigate promptly.

That's a worthwhile distinction — and a worthwhile additional layer of awareness.

It’s your property. Be the first to know.

You can learn more about the program, eligibility and Property Alerts or create an account directly through BC Property Connect, a service of the Land Title and Survey Authority of British Columbia:

BC Property Connect

If you have questions about your property, its value, or buying or selling real estate in Vancouver, I’m always happy to be a resource. Feel free to reach out anytime.

This article is provided for general informational purposes only and should not be considered legal advice. Information about BC Property Connect, including eligibility and available features, may change. Property owners should refer directly to LTSA and BC Property Connect for current information.