Accepted Offer

In BC, an accepted offer means the seller has signed the buyer's Contract of Purchase and Sale, agreeing to the stated price and terms, creating a legally binding agreement between both parties. However, most BC offers include subject clauses — such as financing approval, home inspection, or strata document review — that must be satisfied or waived in writing before the contract becomes truly firm. Until all subjects are removed by the subject removal date, the deal is conditional and either party may be able to withdraw if their conditions are not met. Licensees operating in BC are governed by the Real Estate Services Act (RESA) and overseen by the BC Financial Services Authority (BCFSA).

Yes, an accepted offer creates a legally binding contract in BC from the moment both parties have signed, but that contract is subject to the conditions (subjects) listed within it. Each subject clause specifies what must occur — and by what date — for the contract to proceed to completion. If a subject is not satisfied or waived in writing by the agreed subject removal date, the contract is typically voidable by the party whose benefit the subject was included for, and the buyer's deposit is generally returned.

Common subject clauses in BC Contracts of Purchase and Sale include financing approval, satisfactory home inspection, review of strata documents (for strata lots), title search review, and, where applicable, review of an oil tank inspection or well and septic reports. For strata properties, buyers often include a subject to review documents such as the Form B Information Certificate, depreciation report, strata minutes, bylaws, and financial statements, all governed under the Strata Property Act (SBC 1998, c. 43). The exact subjects chosen depend on the property type and the parties' individual circumstances.

In BC, if a buyer is unable to satisfy or waive a subject clause by the subject removal deadline and provides written notice to that effect, the contract is generally terminated and the deposit is returned to the buyer. The deposit is held in trust by the brokerage in accordance with the Real Estate Services Act (RESA) and its Rules, which require licensees to maintain trust accounts and handle deposits in a prescribed manner. The specific terms governing deposit return should be clearly set out in the Contract of Purchase and Sale.

Under the Real Estate Services Act (RESA) and BCFSA requirements, a BC licensee must continue to act in their client's best interests after an offer is accepted, including ensuring subject removal deadlines are tracked, required documents are obtained and reviewed, and any material changes to the property are disclosed. A licensee acting as a buyer's agent must provide honest, competent service throughout the subject period and up to completion. BCFSA publishes conduct standards and practice guidelines that licensees must follow at all stages of a transaction.

Under the Strata Property Act (SBC 1998, c. 43), a buyer of a strata lot in BC should review documents including the Form B Information Certificate (which discloses strata fees, bylaw violations, and special levies), the strata corporation's current bylaws and rules, meeting minutes (commonly two years of AGM and SGM minutes), the current budget, the depreciation report (if one exists), and the contingency reserve fund balance. The Form F Certificate of Payment confirms that all strata fees and levies are paid prior to completion. Reviewing these documents is typically captured as a subject clause in the accepted offer.

Property Transfer Tax (PTT) under BC's Property Transfer Tax Act becomes payable upon registration of the transfer at the Land Title Office, not at the time of the accepted offer. PTT in BC is calculated at 1% on the first $200,000 of the fair market value, 2% on the portion between $200,000 and $3,000,000, 3% on the portion above $3,000,000, and an additional 2% on the residential portion of fair market value exceeding $3,000,000. Exemptions such as the First-Time Home Buyer Program (full exemption up to $835,000) and the Newly Built Home Exemption (up to $1,100,000) may apply depending on eligibility — consult the BC Ministry of Finance for current details.

In BC, a seller can only have one accepted, legally binding Contract of Purchase and Sale in place at a time for a given property, as two accepted offers on the same property would create conflicting obligations. A seller may receive and consider multiple offers at once through a multiple-offer process, but once one offer is accepted in writing, the seller is bound by that contract. BC licensees handling multiple offers must comply with BCFSA conduct standards and RESA Rules regarding transparency, disclosure of the existence (but not terms) of competing offers, and fair dealing with all parties.

If a seller dies after an offer is accepted but before completion in BC, the contract generally remains binding on the seller's estate, as contractual obligations typically survive death. Under the Wills, Estates and Succession Act (WESA), the executor or administrator of the estate steps into the seller's role and has authority to complete the transaction on behalf of the estate. Buyers and their licensees should be aware that probate or grant of administration may affect the timeline for completion, and legal advice should be sought in these circumstances.

In BC, subject removal is the written process by which a buyer (or seller, depending on whose benefit the subject was included for) formally confirms that a subject clause has been satisfied or is being waived, allowing the contract to become firm. This is typically done using a Subject Removal form that is signed and delivered to the other party or their licensee by the subject removal deadline specified in the Contract of Purchase and Sale. Verbal removal of subjects is not sufficient; the removal must be in writing to be effective, and licensees are required under RESA and BCFSA standards to ensure proper documentation is completed.