Cash to Close
Cash to Close
Estimate only. First-time buyer exemption: up to $8,000 off for homes up to $835,000, phasing out to $860,000. Newly built home exemption: whole tax waived up to $1,100,000, phasing out to $1,150,000 (only one exemption can be claimed). Confirm eligibility with your lawyer. GST, if ticked, is 5% of the price before any new housing rebate. Home insurance is a typical first-year premium for a house (condos usually cost less); lenders require it before closing. Excludes adjustments. In BC, closing costs are paid in cash on or before completion and cannot be added to your mortgage (only the CMHC mortgage insurance premium can be, and the 7% PST on that premium is paid at closing). Plan your down payment plus these closing costs as cash on hand. Cash needed to close assumes 10% down (20% at $1,500,000 or more, the minimum there); under 20% down, CMHC insurance is added to the mortgage and its 7% PST is paid in cash.