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Rescission Period
BC Home Buyer Rescission Period | Janine Thomson, ABR®
Buying a Home › BC Home Buyer Rescission Period
Victoria, BC · Buyer Resource Guide
The BC Home Buyer Rescission Period.
Introduced January 1, 2023, BC’s Home Buyer Rescission Period gives buyers a legal right to cancel an accepted offer within a defined window — without a subject clause. This page explains how it works for educational purposes. Always consult your REALTOR® and lawyer before relying on these rights.
The Home Buyer Rescission Period — commonly called the “cooling-off period” — is a right granted to home buyers by BC legislation to cancel an accepted purchase contract within a defined number of business days. It does not require a subject clause. It does not require the seller’s agreement. It is a statutory right that exists by law, independently of anything written in your Contract of Purchase and Sale.
The rescission period was introduced through amendments to the Property Law Act and came into effect January 1, 2023. It was created in response to concerns about BC’s fast-moving real estate market — where buyers were sometimes pressured into unconditional offers, only to discover significant problems after they were legally committed.
The rescission right is not free. Exercising it comes with a financial penalty — 0.25% of the purchase price paid to the seller. But it provides a meaningful safety net, particularly in competitive offer situations where buyers feel pressure to waive subject clauses.
Statutory right
No subject clause needed
The rescission right exists by law — it applies automatically to all eligible residential purchases in BC, without needing to be written into your contract.
Not free
0.25% penalty applies
Exercising rescission requires paying 0.25% of the purchase price to the seller. On a $750,000 home that is $1,875 — meaningful, but far less than the cost of a bad purchase.
A backstop
Not a replacement for subjects
Subject conditions let you exit at no cost. Rescission always costs 0.25%. Use subjects as your first line of defence — rescission is your safety net.
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Educational note: This page explains the rescission period in general terms to help buyers understand how it works. Because every transaction is different, always speak with your REALTOR®, managing broker, and a qualified real estate lawyer before relying on your rescission rights or making any decisions about your contract.
Official document
The Disclosure of Buyer’s Right of Rescission
Before your Realtor prepares or presents an offer on your behalf, BC law requires them to provide you with a written disclosure of your rescission rights. This document — the Disclosure: Buyer’s Right of Rescission — must be given to you as a buyer client. Below is the official BCREA form that became mandatory in February 2023.
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Disclosure: Buyer’s Right of Rescission — BCREA Prescribed Form (February 2023)
What this form does: This disclosure is provided by your Realtor as required by s. 57.1 of the Real Estate Services Rules before preparing any offer on your behalf. It states the exact acceptance date, when your rescission right expires (11:59:59 PM on the last business day), the offer price, and the exact fee you would owe if you chose to cancel. A buyer cannot waive their rescission right. It is a legal right that exists regardless of what you or the seller agree to in the contract. 🔗 For the most current version of this form and regulatory guidance, visit recbc.ca ↗
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When Janine provides this to you: I provide the Disclosure of Buyer’s Right of Rescission to every buyer client before preparing any offer — and I review every field with you so you know exactly when your rescission window closes and what it would cost to exercise it. You should never sign an offer without having received and understood this disclosure.
Watch
The rescission period — explained on video
Watch this short explainer on the BC Home Buyer Rescission Period — what it is, how it works, and what buyers in Victoria BC need to know. This video is provided for educational purposes.
BC Home Buyer Rescission Period — educational overview · Janine Thomson, ABR® · Pemberton Holmes
Resale properties
The 3-business-day rescission period — resale homes in Victoria BC
For most residential resale purchases in BC, the Home Buyer Rescission Period is 3 business days from the day after the contract is signed by both parties.
How the 3-day clock works
The period begins the day after both parties sign the contract. Business days are counted — Saturdays, Sundays, and BC statutory holidays do not count. If your offer is accepted on a Friday, your 3-day window will not expire until the following Wednesday at 11:59:59 PM.
The rescission right applies even if your offer has no subject clauses. The Disclosure form your Realtor provides states the exact expiry date and time. Always confirm the exact timeline with your REALTOR® and lawyer.
3-day generally applies to
Eligible resale properties
Detached single-family homes — all price points
Strata condominiums (resale, not new development)
Townhouses and row homes (resale)
Half-duplexes and side-by-sides
Manufactured homes on a strata lot or land
Properties with up to 4 residential units on one title
Co-operative housing units
Generally exempt — confirm with your lawyer
Excluded transaction types
Sales between related persons (family transfers)
Court-ordered sales and foreclosure proceedings
Properties sold at auction
Properties on leased land or leasehold interests
Properties with more than 4 residential units
Purchases under a right of first refusal
New pre-sale developments — 7-day period may apply
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Important: The Disclosure of Buyer’s Right of Rescission that your Realtor provides before every offer states the exact date and time your rescission right expires. Keep this document and refer to it if you have any questions about your window. Confirm the exact timeline with your REALTOR® and lawyer before taking any action.
New construction & pre-sale
The 7-business-day rescission period — new developments
For purchases of newly constructed homes and pre-sale developments, British Columbia generally provides an extended 7-business-day rescission period under the Real Estate Development Marketing Act (REDMA).
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7-Day Rescission — New Development (General Overview)
Why new developments may get a longer window — and when the clock may start
Pre-sale purchases involve buyers committing to a property based on floor plans, renderings, and a developer’s disclosure statement — not a completed, inspectable home. The 7-day period generally gives buyers time to review the disclosure statement fully and consult a lawyer before they are bound.
Important: The 7-day clock is generally understood to begin when the buyer receives the developer’s disclosure statement — not necessarily when the contract is signed. Always confirm with your REALTOR® and lawyer exactly when your window begins and ends in your specific transaction.
Material change: If the developer makes a material change to the project and issues an updated disclosure statement, a new 7-day period may be triggered. Speak with your REALTOR® and lawyer to understand how this applies to your purchase.
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Pre-sale buyers: The developer’s sales representative works for the developer — not for you. Having your own REALTOR® and your own lawyer in a new development purchase is essential to understanding and protecting your rights. Always use the full 7-day window to review the disclosure statement with your lawyer before making any decision.
At a glance
3-day vs. 7-day — the key differences
Both rescission periods give BC buyers the statutory right to cancel an accepted contract — but they differ in length, trigger date, governing legislation, and typical use case.
Resale Properties
3 days
Business days from day after contract acceptance
Generally applies to resale residential properties
Clock starts the day after both parties sign
Governed by the Property Law Act
Rescission fee: 0.25% of purchase price to seller
A buyer cannot waive this right
Certain sales are exempt — confirm with your lawyer
Notice must be given in writing to the seller’s licensee
Speak with your REALTOR® and lawyer before acting
New Developments & Pre-Sale
7 days
Business days from receiving the disclosure statement
Generally applies to pre-sale and new construction
Clock starts when disclosure statement is received
Governed by the Real Estate Development Marketing Act
Rescission fee: 0.25% of purchase price
A buyer cannot waive this right
New period may be triggered by material changes
Notice must be given in writing to developer or agent
Always confirm details with your REALTOR® and lawyer
Feature
3-Day (Resale — general)
7-Day (New Development — general)
Length
3 business days
7 business days
Clock starts
Day after both parties sign
Day buyer receives disclosure statement
Governing law
Property Law Act (BC)
Real Estate Development Marketing Act
Rescission fee
0.25% of purchase price
0.25% of purchase price
Can buyer waive it
No — statutory right
No — statutory right
Re-triggered by
N/A
Potential material change disclosure
Professional advice
Always consult your REALTOR® and lawyer
Always consult your REALTOR® and lawyer
The cost
The rescission fee — 0.25% of the purchase price
Exercising your rescission right is not free. BC law requires any buyer who rescinds a contract to pay the seller a rescission fee equal to 0.25% of the accepted purchase price.
0.25%Rescission fee
Worked examples: $600,000 purchase × 0.0025 = $1,500 $800,000 purchase × 0.0025 = $2,000 $1,000,000 purchase × 0.0025 = $2,500 $1,500,000 purchase × 0.0025 = $3,750 Always confirm the exact fee for your transaction with your REALTOR® and lawyer. The Disclosure form your Realtor provides before any offer states the exact rescission fee amount for that specific transaction.
Cost of rescinding
You pay 0.25% — confirm details with your lawyer
The rescission fee cannot be negotiated, waived, or avoided. The exact amount is specified on the Disclosure form your Realtor provides before every offer. Confirm the timing and handling of the fee with your REALTOR®, managing broker, and lawyer.
Sometimes the right call
Far less than a bad purchase
0.25% is far less than the cost of completing a purchase you cannot finance, do not want, or that has serious undisclosed problems. But always consult your REALTOR® and lawyer before deciding to rescind.
The process
How rescission generally works in BC
If you decide to rescind within the rescission period, a specific process must be followed correctly. If you are considering exercising your rescission right, speak with your REALTOR® and a qualified BC real estate lawyer immediately.
1
Act within the window — know your exact expiry
Your notice must be given before the rescission period expires. The exact expiry date and time (11:59:59 PM on the last business day) is stated on the Disclosure form your Realtor provided. If you are unsure of your window, contact your REALTOR® and lawyer immediately.
2
Complete the Home Buyer Rescission Notice form
BC requires the prescribed Home Buyer Rescission Notice — the standardized document from the Real Estate Council of BC. Your Realtor prepares this form on your behalf. It must be completed accurately and signed by all buyers named in the contract.
3
Deliver written notice to the seller’s licensee
The notice must be delivered to the listing agent or directly to the seller if there is no Realtor. Delivery must be by a method creating a verifiable record. Your Realtor and lawyer will advise on proper delivery for your specific situation.
4
The rescission fee is paid to the seller
The 0.25% rescission fee is payable to the seller. See the FAQ below for more detail on how deposits interact with the rescission fee.
5
Contract cancelled — keep all documentation
Once properly exercised and the fee paid, the contract is cancelled. Keep copies of all rescission documentation.
From Janine’s perspective
What the rescission period means for buyers in Greater Victoria
As an Accredited Buyer’s Representative working exclusively with buyers across Greater Victoria, Janine has guided clients through offer situations before and after the rescission period was introduced. The following reflects her professional perspective — not legal advice.
Preparing every buyer for their rescission rights before any offer is signed
Before preparing any offer, I review the Disclosure of Buyer’s Right of Rescission with every client — what the form says, when the window closes, exactly what the rescission fee would be for that specific transaction, and what exercising the right actually involves. My clients are never surprised by these details.
The rescission period is a meaningful safety net — but it is not a substitute for proper subject conditions or legal advice. My job is to structure your offer correctly from the start so that you never need to rely on it. But if a situation arises, you will already know your rights and your deadlines.
★ Janine Thomson, ABR® · Pemberton Holmes Victoria
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Professional perspective
It does not replace subject clauses — and it is not free
The most important thing to understand is what the rescission period is not. It is not a free pass. It is not a substitute for a home inspection condition, a financing subject, or a strata document review. Subject clauses let you exit a contract at zero cost if a condition is not satisfied — rescission always costs you 0.25%.
Where rescission provides value is in situations where an unconditional offer was submitted and something material surfaces within the window. It is a last resort — not a first line of defence. Always speak with your REALTOR® and lawyer before deciding whether to rescind.
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Pre-sale purchases in Victoria BC
The 7-day period is especially important in Greater Victoria’s new development market
Victoria has seen significant pre-sale activity — particularly in Langford, Colwood, and Downtown Victoria. The 7-day period gives buyers of new Victoria developments time to have their lawyer review the disclosure statement properly. Use the full window — do not rush a pre-sale disclosure review.
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Janine’s approach: From the moment an offer is accepted, I track your rescission deadline precisely alongside all subject removal deadlines. The Disclosure form I provide before every offer makes your exact expiry time clear. If a situation arises where you are considering rescinding, I will connect you with the right legal professionals immediately — time-sensitive decisions like this require a qualified lawyer, not just a Realtor.
Common questions
Rescission period FAQ — Victoria BC buyers
The following answers are provided for general educational purposes only and do not constitute legal advice. Every transaction is unique. Always consult your REALTOR®, managing broker, and a qualified BC real estate lawyer before relying on any of the information below or making any decisions about your contract.
Why does my Realtor give me a disclosure form before every offer? ⌄
Section 57.1 of the Real Estate Services Rules requires your Realtor to disclose your rescission rights in writing before preparing or presenting any offer. The Disclosure of Buyer’s Right of Rescission form confirms the exact acceptance date, when your rescission right expires, the offer price, and the exact fee you would owe if you chose to cancel. It must be provided on every offer — including counter-offers where the price changes.
Can I waive my rescission right to make my offer more attractive? ⌄
No. A buyer cannot waive their rescission right under BC law. It is a statutory right — no clause in the contract can remove it. This is explicitly stated in the Disclosure form: “A buyer cannot waive their rescission right.”
Do I need a reason to rescind? ⌄
No. The rescission right is unconditional. You do not need to explain or justify your decision. You complete the prescribed notice form, deliver it within the window, and pay the 0.25% fee. However, before you decide to rescind, speak with your REALTOR®, managing broker, and a qualified BC real estate lawyer to understand all of your options and obligations.
What counts as a business day for the rescission period? ⌄
As generally understood, a business day is any day that is not a Saturday, Sunday, or statutory holiday in BC. The period begins the day after the contract is signed by both parties. Your Disclosure form states the exact expiry date and time (11:59:59 PM on the last business day). If you have any uncertainty about your window, contact your REALTOR® and lawyer immediately — do not rely solely on your own calculation.
What happens to my deposit if I rescind? ⌄
If you exercise your rescission right, the rescission fee is 0.25% of the purchase price and is payable to the seller. If a deposit has already been paid and is being held in trust, the rescission fee is paid to the seller from the deposit, and the remaining balance is returned to the buyer once the funds have cleared. If the deposit is less than the rescission fee, the buyer is responsible for paying the difference to the seller. If no deposit has been paid, the buyer must still pay the full rescission fee to the seller.
Can the seller accept another offer during my rescission period? ⌄
Generally, the rescission period is a buyer’s right only — the seller is bound by the accepted contract. However, the specific rights and obligations of both parties during the rescission window should be confirmed with your lawyer, particularly if any unusual circumstances arise in your transaction.
If I remove subjects before the 3-business-day window closes, do I still have rescission rights? ⌄
The rescission period runs from final acceptance and runs at the same time as any subject conditions. Subject removal does not restart or extend the rescission period. Because removing subjects can make the contract firm and unconditional, buyers should speak with their REALTOR® and lawyer before removing subjects or relying on rescission rights.
Does the rescission period mean I no longer need subject conditions in my offer? ⌄
No — and this is one of the most important things to understand. Subject conditions give you the right to exit a contract at no cost if they are not satisfied. The rescission period always costs 0.25% of the purchase price. Subject conditions also generally protect you for a longer period than the 3-day rescission window. The rescission right is a safety net, not a substitute for properly structured subject conditions. Always discuss your offer structure with your REALTOR® and lawyer.
What clients say
Buyers who trusted Janine to guide them through
★★★★★
“Janine works for you to achieve the best outcome. She is passionate about what she does. Above and beyond is what I experienced. If you want someone to truly represent you and understand your needs, she is simply the best in the area.”
— Troy Wilson, Victoria BC
★★★★★
“Janine was easy to work with and understood what our requirements were. She was highly dedicated and I would have no hesitation in recommending her. Her professionalism and interpersonal skills are second to none.”
— Ralph Miller, Victoria BC
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