There are six steps: get your finances in order, get pre-approved, learn which first-time buyer programs you qualify for, build your team (agent, lawyer and inspector), find your home and write a conditional offer, and then close. Possession is usually the day after completion.
Come on in. Here are the fundamental steps to becoming a homeowner in BC. There are six of them between starting the process and moving into your new home.
Step 1: Get your finances in order
Know where your credit score lands, where your down payment is coming from, and what debts you have that could affect how much you can borrow. Make sure your tax filings are up to date, because your lender will ask.
Step 2: Get pre-approved
Your bank or mortgage broker will take you through the pre-approval. They'll pull your credit, look at your income and debts, and make sure a mortgage payment fits within the ratios lenders require. You'll also be qualified using the mortgage stress test, so your approved amount may be lower than you expect.
Step 3: Know which programs you can use
As a first-time buyer, several programs might apply to you:
- A partial or full exemption from BC's Property Transfer Tax
- The First Home Savings Account (FHSA), which lets you save toward a home tax-free
- The RRSP Home Buyers' Plan, which lets you borrow from your RRSP for a down payment
Each has its own rules, so talk to your accountant or mortgage professional early.
Step 4: Assemble your power team
Now that you know what you can afford, build the rest of your team: me as your agent, a lawyer or notary, and a home inspector to make sure you aren't buying someone else's problems. If you need a recommendation for any of them, I have people I trust.
Step 5: House hunting and your offer
This is the fun part: finding your future home, making a conditional offer, and working through the due diligence period, like your inspection and financing. That's where I guide you through every decision.
Step 6: It's closing time
Completion day is when the money changes hands and you become the legal owner. Possession, when you get the keys, is generally the day after, though it can be the same day in some cases.
Know someone thinking about buying their first home? Send them this. And if it's you, get my free Buyer's Guide for the full roadmap, or book a buyer consultation.
General information only, not legal, tax or mortgage advice. Programs and rules change; confirm your eligibility with the appropriate professionals.