- A $900,000 home costs $16,000 in property transfer tax: 1% on the first $200,000 and 2% on the rest up to $2 million.
- First-time buyers pay nothing up to $835,000; the exemption is gone at $860,000.
- Foreign buyers pay an additional 20%, and homes above $3 million pay an extra 2% on the excess.
When you buy a home in British Columbia you pay property transfer tax (PTT) when the transfer is registered at the Land Title Office. Your lawyer or notary normally collects it with the rest of your closing funds. First-time buyers and buyers of new homes can get a full or partial exemption, and foreign buyers pay an additional tax.
BC PTT rates
| Fair market value | Rate |
|---|---|
| $0 to $200,000 | 1% |
| $200,000 to $2,000,000 | 2% |
| $2,000,000 and over | 3% |
Homes worth more than $3,000,000 pay a further 2% on the residential portion above that amount. The tax is calculated in layers, like income tax brackets, so each rate applies only to the part of the value inside that band.
Examples
| Fair market value | Property transfer tax |
|---|---|
| $900,000 | $16,000 |
| $1,500,000 | $28,000 |
| $3,500,000 | $93,000 (includes $10,000 luxury surcharge) |
First-time home buyers' exemption
If you qualify, you pay no PTT on a home with a fair market value of $835,000 or less. The exemption phases out on a sliding scale up to $860,000, and there is no exemption above that. In this calculator's estimate, a first-time buyer pays $0 on $800,000, about $9,000 on $850,000 (instead of $15,000) and the full $16,000 on $900,000.
Who qualifies?
- You are a Canadian citizen or permanent resident.
- You have lived in BC for at least 12 consecutive months before the transfer, or filed BC income tax returns for at least two of the last six years.
- You have never owned a principal residence anywhere in the world, and have never received the exemption before.
- You will use the home as your principal residence, and the property is a single-family home, condo or similar residential property within the program's land-size limits.
Check the official first-time buyers' page before you rely on the exemption: the rules have changed several times.
Newly built home exemption
A new home used as your principal residence can be fully exempt up to $1,100,000, with a sliding-scale exemption up to $1,150,000. On a $1,000,000 new home the exemption removes all $18,000 of tax in this estimate; at $1,125,000 you would pay about $10,250 instead of $20,500. GST of 5% generally applies to new homes, and a partial GST rebate may be available.
Additional tax for foreign buyers
Foreign nationals and foreign corporations pay an additional 20% on the fair market value of the property, on top of the regular tax. A $1,000,000 purchase would carry $200,000 of additional tax and $18,000 of regular PTT, $218,000 in total.
Budgeting for closing
Property transfer tax is due on registration and cannot be added to your mortgage. Include it, with legal or notary fees and adjustments, when you decide how much down payment you can afford. Check your figure with the property transfer tax calculator.
Calculate your property transfer tax →
Frequently asked questions
Is property transfer tax paid by the buyer or the seller?
The buyer.
Can I roll the property transfer tax into my mortgage?
No. It is due in cash when the transfer is registered.
Does the first-time buyer exemption apply to condos?
Yes, if you meet the conditions and the value is within the limits.
Is there a rebate instead of an exemption?
No. In BC the exemption reduces the tax you pay at registration; you do not claim it back later.
Sources
- Government of BC — Property transfer tax
- Government of BC — First time home buyers' program
- Government of BC — Newly built home exemption
- Government of BC — Budget 2026 tax changes