Downsizing in Victoria BC

Sequencing: buy first, sell first, or bridge

Selling first gives certainty about proceeds and risks having nowhere to go. Buying first gives certainty about the destination and risks carrying two properties. Bridge financing covers the gap at a cost and requires a firm sale in most cases.

There is no universally correct answer; it depends on the market, on whether the new home is a specific property or a general type, and on tolerance for the failure mode of each. Deciding deliberately is what matters.

From freehold to strata is a change in how you live

Moving from a detached house to a strata means monthly fees, bylaws, and decisions made collectively — including about money. For someone used to deciding when the roof gets done, a strata’s timelines and special levies are a genuine adjustment.

Reading the bylaws and the minutes before committing matters more here than for a first-time buyer, because the constraints will be felt more.

The costs on both sides

A downsize incurs selling costs on one property and purchase costs on the other, including property transfer tax on the purchase. It is entirely possible to move to a less expensive home and release less than anticipated. Working both sets of numbers before listing avoids that discovery late.

Tax questions that need an accountant

Principal residence treatment, any period the home was rented or used for business, and the treatment of a property held for a long time with a low cost base are all questions with real consequences and belong with an accountant before the sale rather than after.

Before you rely on any of this

This is general information about how things work in British Columbia, not advice about your situation, and it is not legal, tax or financial advice. Rules, thresholds and programs change. Anything that turns on a current figure or a statutory period should be confirmed against the primary source or with the relevant professional before you act on it.