Coldstream affordability and transfer tax calculator

How the calculator works

The stress test

Federally regulated lenders qualify you at the higher of your contract rate plus 2% or 5.25%. The calculator finds the highest price where your housing costs (mortgage at the qualifying rate, property tax, heat and half of any strata fee) stay within 39% of gross income, and all debts within 44%. Those are the common insured-mortgage limits; your lender may use different ones, especially for acreage or self-employed income.

Down payment and mortgage insurance

Minimum down payment is 5% of the first $500,000 and 10% of the portion from $500,000 up to $1.5 million. At $1.5 million and above, 20% is required. With less than 20% down, a mortgage default insurance premium is added to the loan; the calculator uses standard premium tiers plus a surcharge for 30-year amortizations. Premiums and eligibility change, so treat this as a guide.

Property transfer tax

BC charges 1% on the first $200,000, 2% up to $2 million, 3% above that, and an extra 2% on residential value over $3 million (BC government).

• First-time buyers: no tax on the first $500,000 for homes up to $835,000 (saving up to $8,000), phasing out to zero at $860,000. The property must be 0.5 ha or smaller, so many Coldstream acreages won't qualify.
• Newly built homes: full exemption up to $1.1 million, phasing out to $1.15 million.
• You can claim only one of these on a purchase, so the calculator applies the larger.

GST on new homes

New homes carry 5% GST. The federal First-Time Home Buyers' GST rebate covers up to 100% on a new home up to $1 million, phasing out by $1.5 million (CRA). The regular GST new housing rebate is not included here. Builders often price with rebates assigned to them, so check the contract.

What's not included

Speculation and Vacancy Tax (if it won't be your principal residence), home insurance, septic and well maintenance, and sewer connection charges. See the buying guide for the full list.

Estimate only, not financial, legal or tax advice. Always confirm with your lender, lawyer or notary, and the BC and federal governments before relying on these figures.