Estimate closing costs in BC and across Canada: transfer taxes and rebates, legal fees, PST on insurance premiums, and GST on new builds, including the 2026 first-time buyer GST rebate.
A real Kelowna example, line by line
First-time buyer, $700,000 resale home, 10% down. Property transfer tax comes to $12,000, but the first-time buyer exemption applies below $835,000 and is worth up to $8,000, so $4,000 is actually payable. Add roughly $1,400 for legal work and disbursements, $300 for title insurance, $550 for an inspection, and a property tax adjustment that depends on your closing date. The appraisal is usually the lender’s problem. Cash needed beyond the down payment: about $6,500.
Same house, not your first: the exemption disappears and the bill lands near $14,500. That one line is most of the difference.
The BC rules this calculator applies
Property transfer tax runs 1% on the first $200,000, 2% up to $2 million, 3% above that, with a further 2% on any residential value past $3 million. The first-time buyer exemption gives full benefit up to $835,000 and fades out by $860,000; on newly built homes the threshold is $1.1 million. GST only exists on new construction, 5%, and first-time buyers on new builds up to $1 million can now recover the full amount under the federal rebate. Minimum down payment is 5% of the first $500,000 and 10% of the rest, up to the $1.5 million insured ceiling.
Frequently asked questions
How much should I budget for closing costs in BC?
Plan on 1.5% to 2% of the purchase price on top of your down payment. On a $700,000 Kelowna home that’s $10,500 to $14,000, mostly property transfer tax, legal fees and adjustments. First-time buyers often get some or all of the transfer tax back.
What’s the biggest single closing cost?
Property transfer tax, almost always. BC charges 1% on the first $200,000 and 2% up to $2 million, so it dwarfs the lawyer’s bill. The calculator breaks it out so you can see where the money actually goes.
Does my lender cover any of these costs?
Sometimes. On switches at renewal the new lender often covers legal and appraisal fees, and some purchase promotions include the appraisal. Cash-back mortgages exist too, but you pay for them in the rate.
Do I pay GST when buying a home?
Only on new construction. Resale homes carry no GST. A new build adds 5%, with a partial rebate below certain price points, and the calculator includes it.