Laxman's First-Time Buyer Guide
Your first home, step by step.
No jargon. Just what actually happens, what it costs, and what to do next when you're buying your first place in BC. It's the same walkthrough I give every client on our first call.
First-time buyer programs worth knowing
Tax-free savings account for your first home. Up to $40,000 lifetime, and you get a tax deduction when you put money in.
Borrow from your own RRSP for the down payment, then pay it back over time. A couple can use it together.
Resale: no transfer tax up to $500K, and up to $8,000 off up to $835K. New homes: fully exempt up to $1.1M (principal residence).
First-time buyers of a new or presale home can get the full 5% GST back on homes up to $1M, phasing out by $1.5M.
Each program has eligibility rules (first-time status, citizen/PR, living in the home). I'll check which ones apply to you before you write an offer.
7 steps from "just looking" to keys
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Know your real number
Not the bank's max, your comfortable monthly payment. Minimum down is 5% of the first $500K and 10% of the part above. Set aside roughly 1.5–4% of the price for closing costs.
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Get pre-approved
A mortgage broker or bank checks your income and credit and holds a rate for 90–120 days. You'll qualify at a stress-test rate, so the approval is usually lower than you expect.
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Pick the area and home type
Condo, townhouse, presale or resale. We compare Surrey, Langley, Coquitlam, Burnaby and Vancouver on price, commute, schools and future SkyTrain.
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Tour homes with a checklist
Strata health, parking and storage, rental and pet rules, noise, and resale appeal. I send you the numbers before every showing.
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Make an offer with protection
Subjects for financing, inspection and strata documents protect you. On resale, BC gives you a 3-business-day rescission period (a 0.25% fee applies if you back out).
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Remove subjects and pay the deposit
Usually 5% of the price, held in trust. Your lender, inspector and notary or lawyer all do their part in this window.
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Completion and keys
Sign with your notary, pay the balance of the down payment plus closing costs, and get your keys, usually on possession day.
Presales, simplified
You buy now at today's price and move in when the building is done, often 2–4 years later. Here is what's different:
- Deposits in stages. Often 5% + 5% (sometimes up to 20%), paid over the first year or so.
- 7-day rescission. In BC you can cancel a new presale contract within 7 days of receiving the disclosure statement.
- Mortgage at completion. You qualify when the building finishes, not when you sign. Rates and your income can change.
- GST and transfer tax. GST is added on new homes, but first-time buyers may get it all back. The newly built home exemption can remove transfer tax.
- Assignments. Selling before completion depends on the developer's rules and fees. Read this clause before you sign.
Mistakes I see first-time buyers make
You fall for a home you can't finance. Get the approval first.
Transfer tax, legal fees, inspection and adjustments add up fast.
Minutes and the depreciation report show special levies before they hit you.
New debt or a new job before completion can break your mortgage approval.
Strata fees, commute and future transit change what a home really costs you.
FHSA, HBP, PTT and GST savings can be worth tens of thousands.
Not sure where you stand?
Send me your budget and the areas you like. I'll reply with a simple plan: what you can buy, what it costs monthly, and your next step.
Laxman Hanmaiahgari PREC* · REALTOR® · Real Broker B.C. Ltd. General information only, not financial, legal or tax advice. Program rules change, so confirm details with your lender, notary or accountant.