What It Costs to Sell a Home in BC

Your sale price isn't what lands in your bank account. Here is what sellers in BC pay, from commission and legal fees to mortgage penalties and adjustments, and the taxes that can apply, so you can estimate what you will walk away with before you list.

The short version

Real estate commission

BCFSA, the regulator, doesn't set or approve commissions, and any commission amount can be negotiated with your agent and their brokerage. The Financial Consumer Agency of Canada says commission is typically 2% to 6% of the sale price, depending on where you live. Your listing agreement should set out:

• The commission, and what share, if any, goes to the buyer's brokerage
• When the commission is owed
• What happens if you end the listing early

GST applies to commission even though the sale of a resale home is GST-exempt, so every $10,000 of commission carries $500 of GST. When your agent presents an offer, they must give you a Disclosure to Seller of Expected Remuneration, which shows in dollars what you will pay and how it is shared.

Legal or notary fees

You and the buyer each usually hire a lawyer or notary. Yours prepares the statement of adjustments, pays out your mortgage from the sale proceeds, makes sure the mortgage is discharged, and sends you the balance. Fees vary, so ask for a written quote. GST and 7% PST apply to legal services. Registering the discharge of your mortgage at the land title office costs $33.53 since April 1, 2026, plus a small electronic filing charge.

Paying off your mortgage

If you sell before your mortgage term ends, you may owe a prepayment penalty. It is usually the higher of three months' interest or the interest rate differential. The Financial Consumer Agency of Canada gives this example: on a $200,000 balance at 6%, with 36 months left and a current rate of 4%, three months' interest is about $3,000, but the interest rate differential is about $12,000, so the penalty is $12,000. Your lender may also charge a discharge fee.

Ask your lender for a payout statement before you list, and ask whether you can port the mortgage to your next home instead of breaking it. I explain how penalties work in Fixed or Variable? and how to time a move in Buying and Selling at the Same Time.

Adjustments on completion

Your lawyer or notary's statement of adjustments splits the costs that run through the year. If you have prepaid property taxes or strata fees for the period after the adjustment date in your contract, which is often the day the buyer takes possession, the buyer reimburses you. If you owe for the period before it, the amount comes off your proceeds.

Selling a strata home

• Form F. The certificate of payment, which the land title office needs to transfer a strata lot. The strata can charge up to $15, and it can hold the form back if you owe strata fees, special levies or fines.
• Form B. The information certificate buyers rely on, which can cost up to $35 plus 25 cents a page for copies.

The strata has seven days to provide either form, and a rush fee is sometimes charged if you give less notice. Your lawyer or notary usually orders them.

Taxes when you sell

• Your principal residence. If the home was your principal residence every year you owned it, there is usually no tax on the gain. You still have to report the sale on Schedule 3 of your tax return, or CRA can deny the exemption.
• A rental or second home. Half of the capital gain is taxable. The planned increase to the inclusion rate was cancelled in March 2025.
• A short time owned. BC's home flipping tax can apply if you owned the home for less than 730 days. Under the federal flipping rule, profit on a home owned for less than 365 days is fully taxable as business income, unless a life event such as a separation, a death or a job relocation applies.
• Selling from outside Canada. Non-resident sellers need a clearance certificate from CRA. Until it is issued, the buyer can hold back 25% of the price, or 50% for some properties.
• GST. Resale homes are exempt. If you built or substantially renovated a home in order to sell it, GST may apply.
• Speculation and vacancy tax. The tax is based on who owns the home on December 31, so if your sale completes earlier in the year, the buyer is the owner for that year.

What sellers don't pay

Property transfer tax is paid by the buyer, not the seller. And if a buyer cancels during BC's three-business-day home buyer rescission period, they pay you 0.25% of the price, or $2,500 on a $1,000,000 home. If the brokerage is holding the deposit, it pays you that amount.

Other costs to plan for

• Getting ready. Repairs, cleaning, staging and any pre-listing inspection.
• Moving. Movers, storage and the cost of overlapping dates if you are buying too.
• Insurance. Under the standard BC contract, the home stays at your risk until 12:01 am on the completion date. Keep your home insurance in place until after the buyer takes possession, and check the dates with your insurer.

Questions sellers often ask me

How much does it cost to sell a house in BC?

It depends on your commission, mortgage and home. The biggest cost is usually the commission plus GST. Other costs include legal fees, any mortgage penalty, and your share of property taxes and strata fees.

Is real estate commission negotiable in BC?

Yes. BCFSA doesn't set commissions, and any amount can be negotiated. The commission and how it is shared are set out in your listing agreement.

Do sellers pay property transfer tax in BC?

No. Property transfer tax is paid by the buyer when the transfer is registered.

Do I pay tax when I sell my home?

Usually not, if it was your principal residence for every year you owned it, but you must report the sale on your tax return. Rentals and second homes can have capital gains tax.

What happens if the buyer uses the rescission period?

The buyer can cancel within three business days of acceptance, and pays you 0.25% of the purchase price.

Planning your sale? Read the BC selling process from listing to completion and my seller's checklist, see how your list price is set, or request a free home evaluation.

This article is general information, not financial, legal or tax advice. Fees were current at the time of writing. For the federal guide, see selling a home.