Costs Involved

TYPICAL COSTS TO BE BORNE BY THE BUYER 

ALL COSTS ARE APPROXIMATE AND SHOULD BE VERIFIED AS PART OF BUDGETING 

Its strongly recommended to have your potential home inspected by as many certified specialists as deemed necessary. A home inspector is an overall inspection that is an overview of potential issues of the home. From this inspection, follow-up inspections by other certified specialists may be considered as part of your due diligence prior to completing your purchase.

This could add additional costs to the inspection estimate.

*Only required if home has a woodstove, fireplace, pellet stove (Natural gas stoves do not apply) 

WETT or Wood Energy Technology Transfer Inc. is an Association of installers, chimney sweeps, and inspectors who have been educated, trained and certified to install and inspect such installations to ensure they meet the applicable requirements.

*Typical with rural area properties

Very important tests to verify you will have enough water year-round and the water is of good quality. Often expensive filters can/need to be installed and maintained to keep water flavor and color and to eliminate any bacteria’s and heavy metals.

PERIMETER DRAIN INSPECTION

*Typical with rural area properties. Services like sewer and water are a big focus in the valley. Depending on your preferred area both of these services could be unavailable and wells and septic become the norm. It’s important to understand the costs and advantages/disadvantages of both.

First, the inspector will inspect the septic tank to determine the solids level and to ensure that the tank is functioning as designed. The inspector will conduct an inspection of the inlet, outlet, tank divider, and the general condition of the tank. If there are two compartments of the tank, each compartment will be inspected. This requires some minor excavation to locate and open the tank covers.

The inspector will then locate the system’s drainfield. The inspector will visually inspect the drainfield and may dig down to check the drain piping and the condition of the drainfield. This may provide some indication as to potential malfunction in the future. The inspector will also locate the distribution box and inspect its physical condition.

Finally the inspector will provide you with a report on the status of the system. This provides information on whether the system needs replacement or repair. This report should be filed with your other septic system records.

One of the primary roles of the land surveyor is to find the boundaries of a property. That boundary is described in legal documents and the land surveyor follows that description and locates the boundary on the physical land and marks it, so the owner knows what land he owns. Cost is relative to location, land size, and ease of access. It is not mandatory for a seller to provide a survey. 

Appraisal is a document that gives an estimate of a property’s fair market value. An appraisal may be required by a lender before loan approval to ensure that the mortgage loan amount is not more than the value of the property.

The appraisal is performed by an “appraiser” who is typically a licensed individual trained to render expert opinions concerning property values. In an appraisal, consideration is given to the property, its location, amenities as well as its physical conditions.

*Appraisals are not always necessary. Often as a qualification for a mortgage. Your lender will determine whether or not it is a requirement. If it is, you are responsible for the fee. Some lenders will pay it on your behalf. It is negotiable.

This considers both the Buyer’s and Seller’s as they relate to the real estate sale and transfer of title (ownership), with a new Mortgage for the Buyer and discharging the existing Mortgage for the Seller. See detailed Conveyancing Information on following pages.

The application of the Goods and Services Tax (GST) to real estate transactions is complex. Generally speaking, GST applies to the sale or rental of real estate unless the sale or rental is exempt.

Exemptions may include but are not restricted to the following: residential rents, sales of used residential housing other than substantially renovated property, sales of personal-use land by an individual or an estate, certain sales of farmland to related individuals where the farmland is for personal use, and most sales and rentals of real property by charities, non-profit organizations and other public-service organizations.

GST Rebate

Properties under the $450,000 threshold have some Rebate potential. Discuss this with your accountant, lawyer and agent.

If you have any specific questions regarding GST liability, exemptions, or the right to apply for a rebate, you should contact a lawyer, accountant or the nearest Canada Revenue Agency Office.

In British Columbia first-time home buyers are eligible to receive a full land transfer tax refund on homes purchased for $475,000 or less. On homes purchased between $475,000-$500,000, the first-time home buyer will be eligible for a partial refund. Also, you may be fully exempted if you are purchasing a brand new home larger than 0.5 hectares (1.236 Acres) with a market value of less than $750,000. If your newly built home is between $750,000-$800,000 then you may receive a partial exemption.

SEE ATTACHED DOCUMENTS FOR UP TO DATE INFORMATION AND DETAILS.

TYPICAL MONTHLY/ANNUAL COSTS AS A HOMEOWNER

• PROPERTY TAX (Water, Garbage, Recycling may be included)
• STRATA fees (If in a strata)
• MORTGAGE + Mortgage Insurance
• UTILITIES (Hydro, Natural Gas, Cable)
• HOME & PROPERTY INSURANCE
• HOME APPLIANCES
• HOME RENOVATIONS, HOME SUPPLIES
• ONGOING MAINTENANCE

Buyer’s Expense Checklist