First-Time Homebuyer Grants & Rebates in BC – Updated for 2025

Buying your first home in British Columbia can feel overwhelming — especially in competitive markets like Vancouver. The good news? BC offers a range of first-time homebuyer grants, rebates, and tax exemptions to help make that first step more affordable.

In this guide, we’ll walk you through everything available in 2025, including the updated Property Transfer Tax exemption thresholds, federal and provincial rebates, RRSP withdrawal programs, and more. Whether you’re buying a condo in Burnaby or a townhouse in Surrey, this article will help you keep more money in your pocket.

1. Property Transfer Tax (PTT) Exemption — 2025 Update

One of the biggest expenses at closing is the Property Transfer Tax. As of 2025, here’s how it works:

General PTT Rate in BC:

• 1% on the first $200,000
  
• 2% on the portion between $200,000 and $2,000,000
  
• 3% on the portion above $2,000,000
  
• Additional 2% on the portion above $3,000,000 (residential only)
  

First-Time Home Buyers’ Exemption:

You may be fully exempt from PTT if:

• The purchase price is $535,000 or less (up from $500,000)
  
• A partial exemption applies on homes up to $635,000
  

Other criteria:

• Must be a Canadian citizen or permanent resident
  
• Lived in BC for 12 consecutive months prior to registration OR filed two income tax returns in BC in the last six years
  
• Never owned a principal residence anywhere in the world
  

Full eligibility details from the BC Government

Potential savings: Up to $8,000+ depending on your home price

2. First-Time Home Buyer Incentive (Federal Shared Equity Program)

This federal program lets you borrow 5% or 10% of your home’s purchase price as a shared equity loan, reducing your monthly mortgage payments.

• 5% for existing homes
  
• 5–10% for newly built homes
  
• No interest or monthly payments, but you repay the same percentage when you sell
  

Key Limits in Metro Vancouver (2025):

• Household income must be under $150,000
  
• Maximum mortgage + incentive = 4.5x household income
  (i.e. ~$675,000 maximum borrowing power)
  

Program overview and repayment examples

This program is ideal for buyers with stable incomes but limited down payments — especially in new developments across Surrey, Burnaby, and Coquitlam.

3. Home Buyers’ Plan (RRSP Withdrawal)

The Home Buyers’ Plan (HBP) lets you withdraw up to $60,000 (as of 2024, up from $35,000) from your RRSP tax-free for a down payment.

• Must repay over 15 years
  
• You and your spouse/common-law partner can both withdraw, for a combined total of $120,000
  
• Must be a first-time homebuyer or haven’t owned a home in the last four years
  

Strategy tip: Contribute to your RRSP early in the year to lower your income tax, then withdraw under HBP for your down payment.

Government of Canada HBP details

4. GST/HST New Housing Rebate

If you’re buying a new build, you may be eligible to recover some of the 5% GST you pay.

Criteria:

• Home must be your primary residence
  
• Home price must be under $350,000 for the full rebate
  
• Partial rebate available on homes up to $450,000
  

Note: This rebate is often built into the developer pricing. Always clarify whether GST is included or excluded before making an offer.

CRA GST Rebate Forms & Eligibility

5. BC First-Time New Home Buyers’ Bonus (Phased Out)

Many buyers still ask about this one — the provincial $10,000 bonus for new builds was phased out in 2016. Currently, there’s no direct cash grant from the BC government for first-time buyers beyond the PTT exemption.

However, municipal programs are sometimes available. For example:

• Surrey’s Affordable Home Ownership Program
  
• Port Moody Inlet Affordable Housing Plan (pre-sale lottery models)
  

Keep an eye on local pilot projects as they emerge.

6. Down Payment Requirements

As a first-time buyer, here’s what you need:

• 5% down on homes under $500,000
  
• 10% on the portion between $500,000 and $1 million
  
• Minimum 20% down on homes over $1 million (not CMHC-insurable)
  

For a $750,000 home:

• First $500K = $25,000 (5%)
  
• Next $250K = $25,000 (10%)
  
• Total = $50,000 down
  

7. [Downloadable Checklist & Calculator]

To simplify your planning, we’ve created a first-time homebuyer checklist and tax savings calculator to help estimate what you qualify for.

Feel free to check out the true cost calculator I created to help you see how much housing is costing you here.

Final Thoughts: How Much Can You Actually Save?

Here’s an example scenario:

• Purchase price: $635,000
  
• RRSP withdrawal: $60,000
  
• PTT savings: ~$8,000
  
• FTHBI: $31,750 (5%)
  
• GST rebate (if new build): Up to $6,300
  

Potential savings: Over $100,000 in capital or deferrals
Lower monthly payments by hundreds

Thinking of Buying in Vancouver?

At Vancouver Home Hub, we help first-time buyers navigate all these programs — with real local insight. From guiding you through pre-approvals to understanding strata rules in a Mount Pleasant condo or finding family-ready townhomes in Burnaby, we’re here to simplify your journey.

Contact us for a free consultation or explore our neighbourhood guides to find the right fit for your goals.

Read more:

The Rise of Co-Living Spaces in Vancouver: Pros and Cons

The Role of Technology in Vancouver Real Estate: Virtual Tours and Smart Homes

Do You Really Need a Realtor to Buy a Home in Vancouver?

How Foreign Buyer Tax and Speculation Tax Affect Vancouver Real Estate

Renting vs Buying in Vancouver: Which Is Better in 2025?