New Construction & Presales in Burnaby
Burnaby is one of the most active new-home markets in Metro Vancouver, with thousands of new condos and townhomes rising around its four town centres. Here is how buying new works – what a presale actually is, the costs that only apply to new homes, and how to decide whether new construction or resale is the smarter move for you.
Why Burnaby is a new-construction hotspot
More than almost anywhere else in the region, Burnaby has chosen to grow up rather than out. The city concentrates its new density around four SkyTrain-anchored town centres – Metrotown, Brentwood, Lougheed and Edmonds – and that policy has turned Burnaby into a near-constant construction site of new towers, mid-rises and townhome communities.
For buyers, that means an unusually deep pipeline of brand-new homes to choose from, often released for sale a year or two before they are ready to move into. Understanding how that pipeline works is the key to buying new well.
What is a presale?
A presale (or “pre-construction”) home is one you agree to buy before it is built – sometimes before the ground is even broken. You reserve a specific unit from floor plans and finishes, put down a series of deposits during construction, and complete the purchase only when the building is finished and ready for occupancy, often one to three years later.
It is a fundamentally different transaction from buying a resale home, and the differences are worth understanding before you commit:
- You buy from plans, not a finished home. You are choosing based on floor plans, renderings, a display suite and a disclosure statement rather than the actual unit.
- Deposits are staged. Instead of one down payment, you typically pay deposits in instalments over the construction period – commonly starting around 5% and building toward 15-20% total.
- Completion is in the future. Your money is committed now, but you take possession later. Prices, interest rates and your own circumstances can all shift in between.
- There is a rescission period. BC law gives presale buyers a 7-day right to cancel after signing – a genuine cooling-off window that resale purchases do not have.
Where the new homes are being built
Almost all of Burnaby’s new construction is concentrated in and around the four town centres, and each has its own character:
- Metrotown – the regional downtown, with the tallest towers and the largest concentration of new high-rise condos next to Metropolis at Metrotown and the SkyTrain.
- Brentwood – North Burnaby’s transformed hub, defined by a wave of master-planned tower communities and new retail.
- Lougheed – a fast-growing northeast gateway at the junction of two SkyTrain lines, with large multi-phase developments underway.
- Edmonds – Southeast Burnaby’s more affordable, family-oriented centre, with a growing share of townhomes and mid-rise condos.
Outside the town centres, most new supply comes as townhome and low-rise projects that add ground-oriented family housing to established neighbourhoods.
The presale buying process, step by step
1. Get your financing lined up early
Even though completion is years away, you will need a deposit ready and a clear picture of what you can afford at completion. Lenders cannot fully commit a mortgage rate for a home that is years from finished, so plan for the rate environment to look different when you complete.
2. Reserve your unit and sign
Popular Burnaby launches can sell quickly, often with priority access for buyers working with a realtor before public release. Once you sign, your 7-day rescission period begins – use it to have your contract and the disclosure statement reviewed.
3. Pay deposits on schedule
Deposits are paid in stages tied to the construction timeline. They are held in trust, not handed to the developer to spend freely, which offers buyers a layer of protection.
4. Watch for the completion and walkthrough
As the building nears completion you will be given a date, do a deficiency walkthrough of your finished unit, arrange your mortgage funding, and then complete and take possession.
Costs that apply to new homes but not resale
New construction carries a few costs and considerations that resale buyers never see – budgeting for them up front avoids surprises:
- GST (5%). New homes are subject to 5% federal GST on the purchase price; resale homes generally are not. Partial GST rebates exist for lower-priced and rental homes, though most Burnaby prices sit above the main rebate thresholds.
- Property Transfer Tax. BC’s Property Transfer Tax applies as it does on any purchase, but newly built homes have their own PTT exemption up to a set price threshold – worth checking whether your purchase qualifies.
- Assignment terms. If you want the option to sell your contract before completion (an “assignment”), the developer’s rules and any fees matter – read them carefully.
- Closing and interim costs. Expect the usual legal fees and adjustments, plus any developer levies or connection charges spelled out in your contract.
New construction vs. resale: the honest trade-offs
Advantages of buying new
- A brand-new, never-lived-in home with modern layouts, finishes and energy efficiency
- The 2-5-10 year home warranty required on new BC homes – 2 years on labour and materials, 5 on the building envelope, 10 on structure
- The chance to lock in today’s price for a home you complete later
- Lower near-term maintenance and often lower operating costs
Things to weigh carefully
- Your capital is committed for years before you get the keys
- Completion dates can move, and the market or rates may shift before you complete
- You are buying from plans, so finishes and views may differ from expectations
- New buildings mean new strata corporations still finding their footing
What this means for you
If you’re a buyer
Presales suit buyers who do not need to move immediately and want a new home at today’s price. The single most important move is getting your financing and deposit plan sorted early, and having your contract professionally reviewed inside the 7-day window.
If you’re an investor
Burnaby’s transit-oriented town centres are among the strongest long-term rental and appreciation stories in the region, and presales let you commit capital in stages. Pay close attention to assignment rules, rental restrictions and the completion timeline before you buy.
Thinking about buying new in Burnaby?
Get early access to upcoming Burnaby launches and a clear read on today’s market and your budget – from a Burnaby-based advisor who knows the town centres inside out.
Frequently asked questions
What is a presale home in Burnaby?
A presale is a new home you agree to buy before it is built, choosing your unit from floor plans and finishes. You pay staged deposits during construction and complete the purchase once the building is finished, typically one to three years later.
Do I pay GST on a new home in Burnaby?
Yes. New and pre-construction homes are subject to 5% federal GST on the purchase price, unlike most resale homes. Partial rebates exist for lower-priced and rental properties, but many Burnaby prices exceed the main rebate thresholds – always confirm the current limits.
Can I cancel a presale contract after signing?
Yes. British Columbia gives presale buyers a 7-day rescission (cooling-off) period after signing the contract and receiving the disclosure statement, during which you can cancel. It is the ideal time to have your contract professionally reviewed.
Is new construction a better buy than resale in Burnaby?
Neither is universally better. New homes offer modern finishes, warranty coverage and a locked-in price for later completion, while resale offers a finished home you can see and move into now. The right choice depends on your timeline, budget and appetite for a future completion date.
Sources: BC Financial Services Authority (presale disclosure & rescission rules); BC Housing new-home warranty (2-5-10) requirements; Government of BC Property Transfer Tax and newly-built-home exemption; Canada Revenue Agency GST/HST New Housing Rebate. Rebate and tax thresholds change periodically – confirm current figures before completion.
