Costs When Buying A New Home

Today we're going to talk about the costs that you need to be aware of if you are buying a new home.

The biggest costs that you need to be aware of when purchasing a property are the down payment, property transfer tax and appraisal cost, a home inspection and legal fees to buy a property.

The biggest cost is going to be your down payment that everybody pretty much knows about. The other cost may be a surprise. Property transfer tax is a tax that is required in B.C. and most other provinces in Canada. It is a tax that is paid to the government any time we purchase a new property. There are exemptions for this tax, but it is something that's very important for you to be aware of. An appraisal fee may not always be required, but it is generally for the lender's benefit. And just to confirm, the value of your property is actually reasonable with what you've offered to pay for it. A home inspection is entirely optional, and it's up to you. However, it's highly recommended that you have one done to be sure that the property is in good condition before you purchase it, and legal fees are a requirement of any new purchase. A lawyer is generally about $2,500 for legal fees, and appraisal and home inspection are usually about $500. And property transfer tax does vary depending on the purchase price. Down payment, of course, can vary.

If you have any questions about those and for us to discuss your specific situation, give our team a call.

Have a beautiful day!