Posted on
February 21, 2025
by
Pam Horn PREC*
We get it. The idea of buying a home has, for many, become more of a distant dream than a reality. The constant rise in prices, the intense competition, and the pressure to save more and more just to keep up—it can feel overwhelming. We’ve watched firsthand as many of our friends, family, and clients have struggled with the same feelings of doubt, wondering if homeownership is even a realistic goal anymore.
But here’s the thing: 2025 is bringing changes that could make that dream a whole lot more achievable. And we want to be real with you: we understand how difficult it’s been to even consider buying a home. After all, we’ve been through every type of economy, every market state, and we’ve been right alongside you—through the ups and downs. Whether it was dealing with the crazy highs or the sobering lows, we’ve seen it all. We know that saving for the future hasn’t felt like a choice, but a luxury. But we’re here to tell you—homeownership is still possible, and the changes coming could make it easier than you might think.
What Are the 2025 First-Time Homebuyer Changes?
Over the years, many of us have heard, “Homeownership is out of reach.” The high prices, tight lending conditions, and competition in cities like Vancouver or Victoria made it seem like buying your first home was just a dream that wasn’t meant for most people. But things are changing, and here’s what’s new for first-time buyers in 2025:
Larger Tax Rebates and Credits
The upfront costs of buying a home—the closing costs, taxes, and fees—are some of the hardest things to plan for. It’s one thing to have a down payment, but the other costs can often feel like a wall you can’t get over. The First-Time Homebuyer Tax Credit is expanding in 2025, offering larger rebates and credits to help cover those extra expenses. This means less financial stress when you’re trying to get everything together to make your first purchase.
More Access to the First-Time Homebuyer Incentive
The First-Time Homebuyer Incentive (FTHBI) has been a game-changer for many buyers, but it hasn’t always been accessible to everyone. Starting in 2025, more buyers will be eligible for this program, meaning more of you will have the chance to reduce your monthly mortgage payments with a government-backed shared-equity loan. This program can help make homeownership more affordable by giving you more breathing room financially.
Increased Down Payment Assistance
We’ve all been there, struggling to save enough for a down payment. In a market like BC’s, where prices can feel out of reach, it often feels like you’re constantly saving, but never quite getting there. Down payment assistance is increasing in 2025, meaning you could receive help in the form of government-backed loans or grants to help fund that critical portion of your purchase. It’s one less thing to worry about when making the leap into homeownership.
Expanded Property Transfer Tax Exemption
The Property Transfer Tax (PTT) is another financial hurdle that makes purchasing a home feel even harder. Right now, first-time buyers who purchase homes under $500,000 are exempt from the PTT—but in 2025, that exemption will likely expand. This could save you thousands of dollars in upfront costs, making homeownership feel a lot more possible.
A Push for More Affordable Housing
Affordable housing is something we hear about constantly, but for many, it feels like just a talking point. However, in 2025, the BC government is pushing for more affordable housing options specifically targeted at first-time buyers. The goal is to make housing in high-demand areas more accessible, which means that, for the first time in years, there may be more affordable homes for first-time buyers to choose from.
Why Now is the Time to Start Thinking About Buying
We know buying a home doesn’t feel easy or simple. We’ve heard the stories from friends and clients, felt the frustration, and seen the look of doubt when someone wonders if they’ll ever be able to own a home in such a competitive market. But these new changes are a sign that homeownership is possible, even when it feels like the odds are stacked against you.
Government Support is on Your Side
These new policies are designed specifically for people like you—people who have been holding on to the dream of owning a home, but haven’t been able to make it happen because of high costs. The tax credits, down payment assistance, and expanded exemptions will make things more affordable for first-time buyers. This is real help, and it’s available to you.
The Market Is Stabilizing
After a period of rapid price increases and bidding wars, things are beginning to stabilize. Prices aren’t skyrocketing like they used to, and there’s a little more room to breathe. While we’re not saying the market is perfect, it’s definitely a better environment for first-time buyers than it’s been in a long time.
Interest Rates Are Still Manageable
Yes, interest rates have been on the rise, but they’re still relatively manageable compared to the historical highs we’ve seen in the past. In fact, rates are still lower than they were a few decades ago, which means securing a mortgage now could help keep your payments more affordable in the long run.
Fewer Investors in the Market
With some of the market cooling, investor demand has started to slow down in certain areas. That’s good news for first-time buyers because it means fewer people competing for the same properties. You won’t have to fight to the bitter end in bidding wars, and you may have more negotiating power than before.
The First Step: Educating Yourself
We know that buying a home can feel like a mountain to climb. But if there’s one thing we’ve learned over the years, it’s that knowledge is power. Understanding your options, knowing what’s available, and making informed decisions are the first steps toward making homeownership a reality. And that’s what we’re here for.
Get Pre-Approved for a Mortgage
Talking to a lender and getting pre-approved is one of the first things you should do. This will give you clarity on your budget and make the process feel less intimidating when it’s time to start shopping.
Find a Realtor Who Gets It
We’ve been doing this for a long time, and we’ve worked with people in all sorts of situations. We get how confusing and overwhelming the process can be, and we want to help. Having someone in your corner who understands the market and can walk you through the available programs can make all the difference.
Understand Your Market
Take the time to research the areas you're interested in, and get a feel for the market trends. Whether you're looking at condos in the city or houses in the suburbs, knowing the ins and outs of the area is key to making smart decisions.
Attend Workshops and Seminars
Many programs offer free workshops or seminars for first-time buyers, and they can be an incredibly valuable resource. They’ll help you better understand the process and the changes coming in 2025, and give you the confidence you need to take the next step.
Key Takeaways
2025 brings exciting changes for first-time homebuyers in BC, including expanded tax credits, down payment assistance, and more affordable housing options.
Educating yourself about these new opportunities is crucial to understanding how they can make homeownership more attainable.
Start by getting pre-approved for a mortgage, researching your local market, and finding a realtor who can help guide you through the process.
Government programs are designed to help ease the financial burden, making homeownership more accessible than it has been in years.
While the road to homeownership may still feel daunting, these changes are making it more achievable. Take the time to explore your options, understand the process, and most importantly, know that you don’t have to do this alone
