What is the minimum down payment to buy a home in BC?

How It Works by Price

Under $500,000

The minimum down payment is 5% of the purchase price.

$500,000 to $999,999

A blended rule applies: 5% on the first $500,000, then 10% on the amount above $500,000.

• $750,000 home → 5% of $500,000 ($25,000) + 10% of $250,000 ($25,000) = $50,000 minimum
• $900,000 home → 5% of $500,000 ($25,000) + 10% of $400,000 ($40,000) = $65,000 minimum

$1,000,000 and Over

The minimum is 20% of the full purchase price. Mortgage default insurance (CMHC) is not available at this price point.

What Happens If You Put Down Less Than 20%?

If your down payment is less than 20%, your mortgage must be insured through CMHC, Sagen, or Canada Guaranty. This is called a high-ratio mortgage. The insurance premium is added to your mortgage balance — it is not paid upfront.

Does BC Have Additional Rules?

BC does not add its own down payment rules on top of federal requirements. However:

• Property Transfer Tax (PTT) is due at closing and must come from your own funds — it cannot be borrowed. First-time buyers may qualify for a full or partial PTT exemption.
• Gifted down payments are allowed but require a signed gift letter confirming the funds are non-repayable.

What About the First Home Savings Account (FHSA)?

The FHSA lets first-time buyers save up to $40,000 tax-free toward a down payment. Contributions are tax-deductible, and withdrawals for a qualifying home purchase are tax-free. It can be combined with the RRSP Home Buyers' Plan (HBP), which allows a further $35,000 withdrawal per person ($70,000 per couple).