If you have ever signed an offer on a home in BC and wondered what your options are in the days that follow, the Home Buyer Rescission Period is the answer — and it is one of the least understood buyer protections in the province.
Since January 3, 2023, most residential real estate buyers in BC have had the legal right to rescind a signed purchase contract within three business days of acceptance, without needing to provide a reason. The right comes at a cost — 0.25% of the purchase price — but it exists, it is enforceable, and knowing exactly how it works before you write an offer can change how you approach a transaction.
This post covers the mechanics of the rescission period in plain language, walks through the cost at different price points, and links to the calculator on this site so you can run your own numbers before you sit down with your agent.
Table of Contents
- What Is the Home Buyer Rescission Period?
- How the Rescission Amount Is Calculated
- How the Rescission Period Is Counted
- When the Rescission Period Applies — and When It Does Not
- Rescission vs. Subject Removal — What Is the Difference?
- What Happens If You Rescind?
- Using the Rescission Calculator
- Questions About Buying in the Tri-Cities?
What Is the Home Buyer Rescission Period?
The Home Buyer Rescission Period (HBRP) is a statutory cooling-off period introduced under BC’s Home Buyer Rescission Period Regulation (OIC 0436/2022). It gives residential real estate buyers in BC three business days after a contract is accepted to rescind — walk away — from the deal.
The period begins the day after final acceptance by both the buyer and seller. It applies regardless of whether the offer has subjects (conditions) or not. It cannot be waived or contracted out of by either party.
The cost of exercising this right is 0.25% of the purchase price. That amount is paid to the seller. It is not a penalty in the traditional sense — it is a statutory fee for exercising a legal right. If you rescind, the seller keeps that amount; the remainder of your deposit is returned.
How the Rescission Amount Is Calculated
The rescission amount is straightforward: 0.25% of the purchase price stated in the contract.
If there are counter offers that change the price, the rescission amount must be recalculated based on the final accepted price.
Examples at common Tri-Cities price points:
| Purchase Price | Rescission Amount (0.25%) |
|---|---|
| $700,000 | $1,750 |
| $900,000 | $2,250 |
| $1,100,000 | $2,750 |
| $1,500,000 | $3,750 |
| $2,000,000 | $5,000 |
You can calculate the exact amount for any purchase price using the Rescission Calculator on this site.
How the Rescission Period Is Counted
The three business days do not include Saturdays, Sundays, or statutory holidays. Under Section 29 of BC’s Interpretation Act, holidays include:
- Sunday, Christmas Day, Good Friday, and Easter Monday
- Canada Day, Victoria Day, BC Day, Labour Day, National Day for Truth and Reconciliation, Remembrance Day, Family Day, and New Year’s Day
- December 26
- Any day proclaimed as a public holiday by the Governor General or Lieutenant Governor
This means a contract accepted on a Thursday gives a buyer a rescission deadline of the following Tuesday — not Sunday. A contract accepted the day before a long weekend can extend the period by several calendar days.
The Rescission Period Expiration Calculator on this site handles holiday exclusions automatically. Enter the final acceptance date and it returns the exact expiration date.
When the Rescission Period Applies — and When It Does Not
The HBRP applies to:
- Detached houses
- Semi-detached houses
- Townhouses
- Apartments in duplexes or other multi-unit dwellings
- Residential strata lots under the Strata Property Act
- Manufactured homes affixed to land
- Cooperative interests under the Real Estate Development Marketing Act
The HBRP does not apply to:
- Residential property on leased land
- Leasehold interests in residential property
- Property sold at auction
- Property sold under a court order or court supervision
If you are unsure whether your transaction falls within scope, confirm with your REALTOR and legal counsel before assuming the period applies.
Rescission vs. Subject Removal — What Is the Difference?
These are two separate mechanisms that often exist simultaneously in the same transaction, and the distinction matters.
Subjects (conditions) are negotiated terms in your offer — financing, inspection, strata document review — that allow you to walk away at no cost if the condition is not satisfied or waived within the agreed timeframe. Subject removal is the act of satisfying and waiving those conditions, completing the contract.
The rescission period runs concurrently with your subject period. If your subject removal date is Day 7 and your rescission period expires Day 3, you have two separate but overlapping rights during the first three business days.
If you remove subjects on Day 2 and then want to exit on Day 3, you have already waived your conditions — but the rescission period may still be active. In that case, rescission is still technically available, but the 0.25% fee applies. Once both your subject period and rescission period have expired, you are bound to the contract.
This interplay is one of the reasons understanding the rescission timeline precisely — not approximately — matters before you make a move.
What Happens If You Rescind?
To rescind, the buyer must deliver a written rescission notice to the seller before the rescission period expires. The notice must comply with the requirements set out in the regulation.
Once the seller receives valid notice:
- The contract is terminated
- The seller is entitled to the rescission amount (0.25% of the purchase price)
- The balance of any deposit paid is returned to the buyer
- Neither party has further obligations under the contract
The rescission amount comes out of your deposit if your deposit covers it. If your deposit is less than the rescission amount, you owe the difference directly to the seller.
Using the Rescission Calculator
The Rescission Calculator on this site has two functions:
Rescission Amount Calculator — Enter the accepted purchase price and it calculates the 0.25% rescission fee.
Rescission Period Expiration Calculator — Enter the final acceptance date and it returns the exact date the rescission period expires, accounting for weekends and BC statutory holidays.
Both calculators ask whether the HBRP applies to your transaction before proceeding — consistent with the regulation’s scope requirements.
These tools are for reference only. For any active transaction, confirm the rescission amount and deadline directly with your REALTOR and legal counsel.
Questions About Buying in the Tri-Cities?
If you are actively searching in Coquitlam, Port Moody, or Port Coquitlam and want to understand how the rescission period fits into your specific transaction — or want to work through the full closing cost picture before you write — reach out directly.
Sebastian Czarkowski | Coquitlam REALTOR Royal LePage Elite West (604) 788-4355 hello@sebastianrealestate.ca sebastianrealestate.ca
The information in this post is provided for general reference only and does not constitute legal advice. The Home Buyer Rescission Period Regulation is subject to change. Always confirm rescission details with your REALTOR and a qualified real estate lawyer before proceeding with any transaction.