Presale Condo Deposits in BC: Structure, Timing & Financing (2026)
As of 2026, BC presale deposits are paid in stages across construction — commonly 5% on signing, then further 5% instalments, totalling approximately 15–20% by mid-construction (a typical pattern is 5-10-10-10). Deposit interest generally belongs to the developer once permitted under REDMA. Many buyers finance early deposits with a HELOC or line of credit. Deposits are held in trust or insured under REDMA — one of Canada's strongest buyer-deposit protection regimes.
PresaleProperties.com is the buyer-side representation practice of Uzair Muhammad (REALTOR, Real Broker BC), serving presale and new construction buyers across Metro Vancouver and the Fraser Valley from 3211 152 St, Building C, Suite 402, Surrey BC V3Z 1H8 — (672) 258-1100.
How do BC presale deposits work?
Unlike a resale lump sum, presales stagger deposits across construction. Typical Fraser Valley: 5% on signing, 5% at 90–180 days, 5–10% at a milestone, sometimes a final 5%. Total ~15–20% by mid-build. Balance due at completion via mortgage.
What's a typical Fraser Valley schedule?
The most common 2026 pattern is 5-10-10-10 (35% by completion). Wood-frame projects often run 5-5-5 (15%). Concrete towers push higher. Exact schedule is in the disclosure statement — review inside your 7-day rescission window.
Is deposit interest mine?
Generally no. Deposits sit in lawyer/notary trust under REDMA. Once developer conditions are met, they access deposits for construction. Interest earned typically belongs to the developer, not the buyer.
How do buyers finance deposits?
Three paths: cash from savings; HELOC on an existing property (often cheapest if you have equity); unsecured line of credit at your bank. Gift-letter contributions from immediate family are accepted by most Canadian lenders.
How are my deposits protected under REDMA?
REDMA requires deposits in a lawyer/notary trust until the developer meets defined conditions. Once accessed for construction, deposits are typically covered by deposit insurance — one of Canada's strongest buyer-protection frameworks.
What if I miss a deposit instalment?
It's a contract breach. Developer can serve notice, cancel the contract, pursue damages including forfeited deposits and resale shortfall. Calendar every instalment on signing day; if life changes, assign the contract before you default.
Frequently Asked Questions
How much deposit do I need for a BC presale?
Typically 15–20% total across staged instalments, with a first deposit of approximately 5% on signing.
Do I earn interest on my deposit?
Generally no — deposit interest typically belongs to the developer under BC's REDMA framework.
Can I use a HELOC to fund my presale deposit?
Yes — a HELOC on an existing property is one of the most common ways Fraser Valley buyers fund staged deposits.
Where do my deposits sit before construction?
In a lawyer or notary trust account under BC's REDMA, until the developer meets the conditions to access them.
What happens if I miss a deposit instalment?
It's usually a contract breach — the developer can cancel and pursue damages including forfeited deposits.
Founded by Uzair Muhammad, REALTOR® — Real Broker BC