By Michael A. Jones - PREC* | Royal LePage Kelowna

Moving here from out of town? My guide to moving to Kelowna and the Okanagan puts all my relocation articles in one place.

Older couple at a kitchen table comparing a model family house and a smaller townhome while planning to downsize in Kelowna, with an Okanagan lake view behind them
Downsizing in Kelowna often starts at the kitchen table, weighing the family home against a smaller place with a view.

You have decided to downsize in Kelowna. Now comes the next question. Do you sell your home first, or buy the new one first?

There is no right answer for everyone. Each path trades one worry for another. Selling first protects your money. Buying first protects your choice of home.

This guide is part of my retirement and downsizing resource centre for Okanagan homeowners. Here is how I would think it through.

1. Selling first: you know your numbers

When your home sells first, you know what you have to spend. You are not guessing about price or timing.

  • You will not carry two homes at once.
  • You can shop with a firm budget.
  • Your offer on the next home can be clean, with no sale condition.

The catch is time. You may need a place to live between homes. That could mean a short rental, a stay with family, or a longer closing date. If you can, ask your buyer for a closing date that gives you room to find your next place.

Selling first often suits people who need every dollar of equity, or who feel calm with a little short-term uncertainty.

2. Buying first: you get the home you want

Buying first lets you lock in the right home. That matters when the right condo or rancher does not come up often.

The risk is owning two homes if yours sells slowly. You may also need to sell for less than you hoped, just to meet a deadline. In a slower market, that pressure can be real.

Before you buy first, I suggest you get answers to three questions:

  • Could you carry both homes for a few months?
  • What is the lowest price you would accept on your current home?
  • Is the home you want hard to find again?

BC has a three-business-day home buyer rescission period on most homes. It lets a buyer back out after an accepted offer, for a fee of 0.25% of the price. It is a safety net, not a plan. Do your homework before you write the offer.

3. The middle path: a subject-to-sale offer

You can also make an offer on your next home that depends on selling your current one. In BC this is often called a "subject to sale" condition.

The BC Financial Services Authority keeps standard clauses for subject-to-sale offers. These often include a time clause. That means the seller can keep showing the home. If a better offer comes in, you may get a short notice to remove your condition or let the deal go.

  • Your offer can look weaker to a seller than a clean one.
  • You may pay a little more to get it accepted.
  • It works best when your home is priced well and ready to show.

Your lawyer or notary should review any condition before you sign.

Wooden footbridge joining a larger family house to a smaller single-level home, a picture of bridge financing between homes, with Okanagan vineyards and hills behind
Bridge financing can carry you from one home to the next when your sale and purchase dates do not line up.

4. How bridge financing fits in

Bridge financing is a short loan that uses the equity in your current home. It can cover the down payment on your new home before your sale money arrives.

Here is the part that surprises many people. Big banks usually want a firm sale first. RBC says a firm sale agreement must be in place on your existing home. TD says its bridge loans typically run up to 90 days and need both the sale and purchase agreements.

So bridge financing helps when both deals are firm and the dates do not match. It does not usually help if your home has not sold yet.

  • Ask your lender about fees and the interest rate.
  • Ask how long the bridge can run.
  • Get it approved before you set your dates.

If you are mortgage free and on a fixed income, you may still qualify. Talk to your lender early. Some people also look at a reverse mortgage to access equity without rushing a sale, but that is a separate decision with its own costs.

5. Count the costs on both sides

Downsizing does not free up as much cash as the price gap suggests. Make a simple list:

  • Property transfer tax. In BC you pay it when you buy. The general rate is 1% on the first $200,000 and 2% up to $2 million. On a $700,000 condo, that is about $12,000.
  • Selling costs, legal fees and moving.
  • Strata fees, if you move to a condo or townhome.
  • Rent or storage if you sell first.
  • Two sets of bills if you buy first.

Also check your home owner grant. It lowers property tax on your principal residence, and there are extra rules when you buy or sell in the same year. Seniors may qualify for a larger amount. You must apply for it each year.

Stacked moving boxes in a bright entryway beside a calendar with two circled dates and house keys, timing a downsizing move
Sell first or buy first, the goal is two moving dates that give you time to settle in without a rush.

6. My take: choose the risk you can live with

I ask clients one question. Which would bother you more: a few months in a rental, or a few months paying for two homes?

If the money worry is bigger, sell first. If losing the right home is the bigger worry, and you can carry both, buying first may fit. If you are somewhere in the middle, a well-priced listing and a subject-to-sale offer can work.

Whichever way you go, start early. Clear out, fix small things and price your home with care. A home that is ready to sell gives you more choices.

Not sure you want to move at all? Read Should I Downsize My Home in Kelowna? 10 Questions to Ask First and Aging in Place in Kelowna: Making Your Home Work for You.

Downsizing in Kelowna: common questions

Is it better to sell first or buy first when downsizing in Kelowna?

It depends on which risk you can live with. Selling first protects your money because you know your budget. Buying first protects your choice of home, but you may carry two homes for a while.

Can I get bridge financing before my home sells?

Usually not. Big banks such as RBC and TD generally want a firm sale on your current home before they offer bridge financing. It helps when both deals are firm and the dates do not match.

What is a subject-to-sale offer?

It is an offer on your next home that depends on selling your current one. It often includes a time clause, so the seller can keep showing the home and ask you to remove the condition if a better offer comes in.

What costs should I plan for when downsizing in BC?

Plan for property transfer tax on the new home, selling costs, legal fees, moving, strata fees, and rent or storage if you sell first, or two sets of bills if you buy first.

Know your numbers before you choose

The first step is knowing what your home could sell for today. Ask me for a no-pressure home valuation, or call me at 250-258-4663. For more planning help, visit the Okanagan retirement and housing resource centre.

Explore more retirement and downsizing articles and guidance for Kelowna home sellers.

This article provides general information, not legal, tax or financial advice. Lending terms, tax rules and grant rules change and depend on your situation. Confirm details with your lender, lawyer or notary, and accountant before you act. Michael A. Jones is a REALTOR® with Royal LePage Kelowna, not a mortgage, legal or tax advisor. Prepared with AI assistance; sources checked Oct 30, 2026.
*Personal Real Estate Corporation