These are some of the costs associated with buying and selling real estate.

A larger down payment results in lower long-term payments by reducing the mortgage amount and subsequent interest payments. While conventional mortgages typically require a down payment of at least 25% of the sale price, zero percent down payment is now permissible through CMHC.

The provincial government imposes a one-time property purchase tax, calculated as 1% on the first $200,000 of the sale price and 2% on the remaining balance. However, exemptions are available, including the first-time home buyer’s exemption, which has specific criteria to meet.

Aside from mortgage payments, you’ll need to budget for property taxes and other taxes like school taxes, typically due annually and based on the assessed property value.

A professional inspection is strongly recommended to identify potential property issues. Ensure to request a written report from the inspector for documentation purposes.

Monthly mortgage payments are calculated based on factors such as the amortization period, interest rates, and loan amount. Consider your regular monthly expenses to ensure affordability.

Some financial institutions charge an application fee for processing mortgage applications. Check with your lender to understand any associated costs.

While some financial institutions may cover appraisal fees, you can expect to pay between $250 to $400 if you have to cover the cost yourself.

Legal service fees, ranging from $800 to $1,500, vary among professionals. It’s advisable to compare rates to find the best deal for your transaction.

For strata properties like townhouses or condos, monthly fees may include utilities and maintenance. Costs vary depending on property size and usage.

Budget for potential future renovations if you plan to stay long-term. Allocating funds for occasional expenses ensures you’re prepared for any updates or maintenance required.