When thinking about selling your home in BC, it’s important to understand the costs associated with potentially selling. Finances are always a part of the equation during any real estate deal in BC, so understanding what this may cost you is key to moving forward or not.
In this article, we’ll give you a full breakdown of the common costs when selling a home in BC, the different costs for different homes types, and other commonly asked questions!
By the end, you’ll feel fully equipped to understand the potential costs you might face when you go to sell your BC home. Let’s dive in!
Table of Contents
Common Costs Associated With Selling Your Home in BC
Realtor Commissions
Realtor commissions are paid by the seller and often the largest expense you’ll have when selling your home. While there are no set regulations for Realtor commissions, the standard is 7% on the first $100,000 of the sale price, and 2.5% on the remaining sale price.
While it is usually the highest cost associated with selling, the value a qualified and experienced Realtor can bring to your deal can be unmatched. They’ll be able to help you with pricing it effectively to meet your needs, whether that’s a high sale price or a quick close, they’ll handle everything from the listing to negotiations, making sure your priorities are met.
This fee is due at the time of the sale when the transaction closes.
Learn how you can negotiate realtor commissions in BC here.
Real Estate Lawyer Fees
The next largest associated cost is typically the Real Estate Lawyer fees. They’re essential for reviewing contracts, making for a smooth transaction, and finalizing the sale properly.
Legal fees generally range from $600 to $1,500. These fees range depending on the complexity of your real estate transaction and the expertise of the professional.
For example, a real estate notary can be suitable for very straightforward real estate transactions and can cost anywhere from $600 to $900. Whereas a Lawyer may charge into the higher end from $1,000 to $3,000.
Your Realtor will help you understand what the best options for you may be and they’ll have recommendations for either a notary or lawyer to get your transaction situated.
This fee is due typically right before closing, when you’ll meet with the notary or lawyer.
Cleaning Services
Cleaning services are a must when you’re preparing to sell. A clean home creates a strong first impression.
Professional cleaning services typically cost $200 to $500, depending on the size of your home. A three-bedroom townhouse in Metro Vancouver may cost around $400 to clean thoroughly before listing.
This is typically paid right before you list so the home is clean, ready for photos, staging, and viewings.
Pre-Listing Inspections & Repairs
While not required, it’s recommended to get a pre-listing inspection if you own a large townhouse or detached house. While you can also get this done for a condo, it’s not always needed due to the size and nature of the home.
A pre-listing inspection can highlight issues that may deter potential buyers, that way you’ll be ahead of the curve with either getting repairs or knowing this may come up during negotiations.
Inspections cost $400 to $1,200, depending on the size of the home and required detail of review. But, it can help you be prepared in case there is something wrong that the buyer will find out about when they do their inspections.
For example, if the inspector found that there needs to be a roof replacement, this could be a $10,000 job that may need to be worked into the sale price.
This is typically paid for right before you list, either before or after the cleaners come in.
Home Staging
Staging is becoming more and more of a want than a need in most instances when selling your home. There are usually options for minor decorating, using virtual staging, and other creative ways to bring a home together when preparing for viewings. However, if you’re looking to stage the home, this may be included in the costs that your Realtor will take on, as their responsibility for marketing to sell the place. If it’s not included and you do want to stage the home, it can cost from $1,000 to $5,000, depending on the scope.
For instance, a two-bedroom condo in Vancouver’s West End might cost $1,500 to stage, but the increased sale price can make this investment worthwhile.
Recommended Reading: 8 Items To Think About BEFORE Selling Your Home
Moving Costs
Once your home is sold, moving costs need to be budgeted for.
For local moves within Metro Vancouver, you can expect to pay between $1,000 and $3,000, depending on the size of your home and the distance. There are also packing and un-packing services that can be useful, too. And long-distance moves will also cost significantly more.
This is typically paid after you’ve moved.
Utilities & Property Taxes
As a seller, you’re responsible for prorated property taxes and utilities up to the closing date. For example, if you sell your home in July, you’ll owe property taxes for the first six months of the year, which could amount to $2,000 to $3,000, depending on your municipality.
This is typically adjusted and paid for during the closing and taken into account by your notary or real estate lawyer during the final Statement of Adjustments.
Condo Information Certificates
If you’re selling a condo, you’ll need to provide an Information Certificate (Form B) to potential buyers. This document outlines the financial and legal status of the strata corporation and costs around $35 to $75, plus additional fees for rush orders.
This is typically paid before the property is listed so all the documentation is ready for listing.
Mortgage Discharge Fee
If you’re paying off your mortgage early, your lender may charge a discharge fee, which typically ranges from $75 to $400.
If your mortgage has a prepayment penalty, this cost could be significantly higher, into the thousands of dollars. Be sure to check with your lender or mortgage broker for specifics.
This is typically paid for during your re-financing process if you’re going to be purchasing again.
Breakdown By Property Type
| Category | Detached Home (Approx. Cost) | Condo (Approx. Cost) | Townhouse (Approx. Cost) |
| Realtor Commissions | $25,000 – $40,000 | $15,000 – $25,000 | $20,000 – $30,000 |
| Legal Fees | $1,200 – $1,500 | $1,000 – $1,200 | $1,000 – $1,500 |
| Cleaning Services | $400 – $600 | $200 – $400 | $300 – $500 |
| Home Staging | $2,000 – $5,000 | $1,000 – $3,000 | $1,500 – $4,000 |
| Moving Costs | $1,800 – $3,000 | $1,000 – $2,000 | $1,500 – $2,500 |
| Utilities & Property Taxes | $2,500 – $4,000 | $2,000 – $3,000 | $2,500 – $3,500 |
| Mortgage Discharge Fee | $300 – $1,000 | $300 – $1,000 | $300 – $1,000 |
| Total (Approx.) | $33,200 – $55,100 | $20,500 – $35,100 | $27,100 – $43,000 |
*These are hypothetical numbers to illustrate the typical increasing costs from Condo, townhouses and detached properties.
Do Closing Costs Apply for Sellers?
In short, yes there are closing costs to consider as a seller, this includes costs discussed above like Lawyer fees, Realtor commissions, and Utilities & property taxes.
For example, if you’re selling a $900,000 home in Surrey, here’s a breakdown of potential costs:
- Realtor Commissions: $24,000
- Legal Fees: $1,200
- Cleaning Services: $350
- Home Staging: $0
- Moving Costs: $1,800
- Utilities & Taxes: $2,500
- Mortgage Discharge Fee: $300
Total: $30,150
The great thing about selling is that you don’t have to worry about Property Transfer Tax (PTT), which is a large portion of the closing costs for a buyer.
Other Frequently Asked Questions
What are the biggest closing costs usually paid by sellers?
The biggest closing costs for sellers to pay are typically the realtor commissions and legal fees. Realtor commissions, calculated as a percentage of the home’s sale price, can amount to tens of thousands of dollars, especially for higher-priced properties. While legal fees, a smaller expense, are important to make sure the deal is legally binding.
Does a seller pay closing costs in BC?
Technically, yes, there are closing costs for sellers in BC and Metro Vancouver.
While buyers shoulder the PTT, sellers must cover expenses like legal fees, realtor commissions, and prorated utilities and property taxes. There isn’t any way around these costs when selling your property in BC.
What taxes do you pay when you sell a house in BC?
Sellers in BC don’t pay PTT, but they may be subject to capital gains tax if the property is not their primary residence. We highly recommend you consult an accountant or tax lawyer to better understand your specific situation and potential capital gains you’ll have to pay when selling.
Looking for a Trusted Realtor in Metro Vancouver?
Navigating the home-selling process can feel overwhelming, but having a trusted realtor by your side can make all the difference.
From pricing your home strategically to handling negotiations, a skilled realtor ensures you get the best possible outcome.
If you’re thinking of selling your home in Metro Vancouver, we’re here to help.
Reach out today to discuss your goals and start your journey toward a successful sale!
