By Janine Thomson - Realtor | Pemberton Holmes
GREATER VICTORIA & VANCOUVER ISLAND REAL ESTATE
Buying your first home in Victoria, BC, is exciting. It is also a transaction where a missed deadline, an overlooked strata document, or an incomplete budget can have a lasting financial effect.
The most expensive mistakes are not always obvious when you walk through a property. A fresh renovation can draw your attention away from the building’s maintenance history. A manageable mortgage payment can look very different once you add strata fees, property tax, insurance, and repairs.
Here are the first-time home buyer mistakes I want Greater Victoria buyers to understand before they write an offer—and practical ways to avoid them.
1. Shopping at the top of your pre-approval
A mortgage pre-approval is an important starting point. Your lender or broker reviews your finances and estimates what you may qualify to borrow. Depending on the lender, it may include a temporary rate hold.It does not guarantee final approval for a particular home. The lender must still review the property and confirm your application. And the largest mortgage you could qualify for is not necessarily the payment you will feel comfortable carrying.How to avoid the mistake: Ask your mortgage professional for payment estimates at several purchase prices. Build your own monthly budget using the mortgage payment plus property tax, insurance, utilities, applicable strata fees, transportation, and a maintenance reserve. Leave room for the life you want outside your home.
My Mortgage and Pre-Approval Guide explains what to prepare before you start your search.
2. Confusing the down payment with the deposit and closing costs
These are related, but they are not the same expense.Your down payment is the portion of the purchase price you fund rather than borrow. A deposit is an amount and payment deadline negotiated in your offer. It is generally held in trust and credited toward your purchase at completion. Closing costs are additional amounts you need to budget for, which may include legal or notary fees, property transfer tax, insurance, adjustments, and GST if you are purchasing a taxable new home.A buyer who has saved enough for the minimum down payment may still be short of the cash needed to complete the purchase.
How to avoid the mistake: Request a property-specific estimate before making an offer. Make sure you understand when the deposit is due, where it will be held, how much more you must provide to your lawyer or notary, and whether your funds can be accessed in time.
Use my Buyer Closing Costs Guide for Victoria, BC to build that list.
3. Assuming you qualify for every first-time buyer benefit
B.C. and federal programs can make a meaningful difference, but each has its own eligibility rules. Some reduce tax; others help you use money you have already saved.For example, an eligible buyer may qualify for up to $8,000 off B.C. property transfer tax under the provincial First Time Home Buyers’ Program. An FHSA lets an eligible person make contributions, subject to a $40,000 lifetime limit; that amount is your own savings, not a grant. The RRSP Home Buyers’ Plan may let an eligible buyer withdraw up to $60,000 of their own RRSP funds, generally with a repayment obligation.Buying a qualifying new home introduces different questions, including B.C.’s newly built home property transfer tax exemption and the federal first-time home buyers’ GST/HST rebate.
How to avoid the mistake: Check each program against your ownership history, the specific property, the purchase dates, and the way you will use the home. Have your lawyer or notary, mortgage professional, or tax adviser confirm any benefit you plan to include in your budget.
My First-Time Home Buyers Guide for Victoria and Greater Victoria brings the current programs and official government links together.
4. Waiving an inspection without understanding the risk
A home can present beautifully and still have issues involving moisture, roofing, plumbing, electrical systems, drainage, or previous work. An inspection gives you information about visible conditions and may identify areas needing specialist review. It does not guarantee that every hidden defect will be found.In a multiple-offer situation, a buyer may feel pressure to remove the inspection condition. That decision deserves a clear understanding of the financial risk.How to avoid the mistake: Discuss an inspection condition when preparing your offer. If you are considering a different approach, understand its limitations, the time available, and the cost of potential repairs before you decide.
Review the inspection findings carefully and ask follow-up questions while you still have time under your contract.
Read my Home Inspection Guide for a closer look at the process.
5. Reading the condo listing but not the strata documents
When you buy a strata condo or townhouse, you are also joining a corporation responsible for shared property and expenses. A stylish unit does not tell you whether the building faces major work or how the strata plans to pay for it.Strata fees are only one part of the picture. A proposed roof replacement, low contingency reserve fund, insurance issues, or special levy can change the cost of ownership.How to avoid the mistake: Allow enough time to review the available Form B, bylaws and rules, financial statements, budget, meeting minutes, depreciation report, insurance information, and relevant reports. Ask what projects are planned, what has been deferred, and whether any levies have been approved or discussed. Consider obtaining professional strata-document advice where appropriate.
Check the rules that affect your intended use, including pets, parking, storage, smoking, and any applicable 55-plus age restriction. B.C. does not allow strata bylaws that restrict long-term rentals, but short-term rental rules and other legal requirements can still matter.
My Guide to Buying a Condo or Townhouse in Victoria explains what to examine.
6. Offering more than your finances—and the property—can support
A buyer can become attached to a home and focus on “winning” rather than the numbers. Paying more than planned increases the down payment required, the mortgage payment, and potentially the financial gap if the lender’s assessment of the property does not support the agreed price.The asking price is a seller’s marketing decision. It is not, by itself, proof of market value.
How to avoid the mistake: Review relevant recent sales and the home’s condition before setting your offer price. Decide on a comfortable ceiling in advance, including room for repairs and closing costs. If a competing-offer situation develops, reassess the facts rather than raising your price automatically.
A strong offer is one you understand and can complete. My Making an Offer Guide explains the terms and dates to consider alongside price.
7. Removing subjects before the answers are in
An accepted offer with subjects is already a contract. The subject period gives you time to investigate the matters set out in those clauses. It is not simply a waiting period before you sign a removal form.Financing, inspection, title, insurance, and strata-document review can each uncover questions that need attention. Once you remove your subjects, your contractual position changes significantly.
How to avoid the mistake: Make a written list of every condition, its deadline, the documents or decisions needed, and the professional responsible for helping you. Do not treat a verbal reassurance as a completed lender approval or an unanswered insurance question as settled. Discuss unresolved issues and your contractual options before the subject-removal deadline.
For most eligible residential purchases in B.C., there is also a separate three-business-day Home Buyer Rescission Period after acceptance. Exercising that right carries a fee of 0.25% of the purchase price, and some transactions are exempt. It is not a substitute for appropriate subjects.
8. Assuming a new build has no extra costs
A new condo or townhouse may have appealing finishes and less immediate maintenance, but the price in an advertisement may not tell you the complete amount needed at closing.GST generally applies to a taxable new-home purchase. Eligible first-time buyers may qualify for the federal First-Time Home Buyers’ GST/HST Rebate, potentially worth up to $50,000 on a qualifying home. It is a rebate, not an automatic GST exemption. The contract and rebate arrangements affect what you may need to pay at completion.
New construction can also raise questions about upgrades, completion timelines, strata budgets, warranty coverage, and what happens if a lender values the finished home differently than expected.
How to avoid the mistake: Before signing, confirm whether the price includes GST, how any rebate is treated, what finishes and appliances are included, and what funds you must have available at completion. Have the contract and financing reviewed with the appropriate professionals.
I explain the tax distinction in First-Time Home Buyer GST Rebate in BC: Who Qualifies and What You Pay at Closing. You can also explore my New Homes and Pre-Sales Guide.
9. Ignoring insurance until the last minute
A lender will usually require suitable property insurance before advancing mortgage funds. Insurance can also affect your ownership costs after you move in. For a strata purchase, the corporation’s policy does not replace the coverage an individual owner may need.How to avoid the mistake: Seek insurance information during your due-diligence period. Ask an insurance professional about availability, coverage, premiums, deductibles, and any concerns raised by the property’s condition or claims history. If you are buying a strata home, review the strata’s insurance information and discuss appropriate owner coverage.
Confirming insurance before subject removal is far less stressful than discovering a problem just before completion.
10. Choosing a home without checking how you will actually live there
A beautiful property can still be the wrong purchase if the commute is exhausting, the parking does not work, noise affects your daily life, or the layout will not suit you in two years. These issues may not show up during a brief showing.How to avoid the mistake: Visit the surrounding area at different times, check your commute, and ask practical questions about storage, accessibility, pets, guests, and future plans. Separate your must-haves from features you can change later.If your preferred neighbourhood stretches the budget too far, explore adjacent Greater Victoria communities. The right first home might be in Victoria, Esquimalt, Saanich, View Royal, Colwood, Langford, or Sidney, depending on your priorities and the homes available when you search.
The best way to avoid an expensive first-home mistake
You cannot remove every uncertainty from buying real estate. You can make each decision with better information.Start with a realistic financing range. Budget for the complete cost of ownership. Read the contract and property documents. Use your due-diligence time well. And pause when an answer is missing rather than hoping the issue will resolve itself after you buy.
If you are beginning your search, my step-by-step first-time buyer article walks through the purchase from planning to possession. You can also browse all my Buyer Resources for Greater Victoria.
Have a question about buying your first home in Victoria? I would be happy to help you plan your search and connect you with the mortgage, inspection, insurance, legal, and strata professionals you need.
Updated September 27, 2026. This article provides general information, not property-specific mortgage, legal, tax, inspection, or insurance advice. Program eligibility, contract rights, and costs depend on the buyer and property. Confirm the details with the appropriate qualified professional before making a purchase decision.
