What a BC home renovation contract is for
A renovation contract protects both sides of a project where a lot of money changes hands before anyone can see the finished result. The homeowner needs to know exactly what is being built, from which products, for how much and by when. The contractor needs to be paid on time, to be protected when hidden rot turns up behind a wall, and to have changes signed before the extra work is done.
In British Columbia the contract also has to meet consumer protection law. As of 2026 the Business Practices and Consumer Protection Act lists the information every consumer contract for future work must contain, gives homeowners a 10-day cooling-off period when the contract is signed at their home, caps the deposit on those contracts and restricts which products can be sold that way. The Builders Lien Act adds a 10% holdback that the homeowner must keep for 55 days after completion. This template builds all of that into a contract that is still practical to use on a real project.
When to use it
Use it for kitchen and bathroom renovations, basement suites, additions, decks, roofing, windows and siding, flooring and other improvements to an existing home, whether the contract is signed at your office or at the homeowner's kitchen table. It works for fixed-price contracts with allowances for finishes the homeowner will choose later.
It is not for building a new home, which brings in home warranty insurance and residential builder licensing under the Homeowner Protection Act, or for commercial projects. For very large or complex renovations, a standard-form construction contract reviewed by a lawyer may suit better.
What's inside
The full list of sections and fields in this template, in the order they appear.
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Parties
- Contractor legal and business name
- Address
- GST number
- WorkSafeBC account
- Business licence
- Individual signing
- Homeowner
- Property address
-
Date and place of contract
- Date
- Place signed
- Direct sales contract checkbox
- Restricted products note
-
Description of the work
- Scope reference
- Technical specifications
- Delivery arrangements
-
Schedule
- Start date
- Expected completion
- Working hours
- Delay extensions
- 30-day start rule
-
Price
- Itemized price
- Permit fees
- Disposal
- GST
- Total
- Costs that cannot be determined
- Allowances
-
Payment
- Payment method
- Deposit and direct sales cap
- 10% holdback
- 55-day holdback period
- Holdback account at $100
- 0
- Late payment
- No credit
-
Changes to the work
- Written change orders
- Emergencies
-
Permits, codes and licensed trades
- Who obtains permits
- Inspections
- Building code
- Technical Safety BC trades
-
Hidden conditions and hazardous materials
- Stop and notify
- Hazardous materials survey
- Abatement
-
Site, workers and insurance
- Access and utilities
- Protection and cleanup
- Subcontractors
- WorkSafeBC clearance letter
- Liability insurance
-
Warranty and completion
- Workmanship warranty period
- Manufacturer warranties
- Walk-through
- Deficiency correction
- Withholding for deficiencies
-
Liens and disputes
- Payment of subcontractors and suppliers
- Statutory declaration
- Mediation
- Civil Resolution Tribunal and Small Claims
-
Cancellation and refund policy
- Statutory Consumer's Right to Cancel notice
- Cancellation for convenience
- Termination for breach
- Special orders
-
Other terms and signatures
- Promotional offers
- Other restrictions
- Renewal
- Copy of contract timing
- Signatures
- Receipt of copy
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Schedule 1. Scope of Work and Specifications
- Area
- Work included
- Products and specifications
- Exclusions
- Homeowner-supplied items
-
Schedule 2. Itemized Price and Payment Schedule
- Labour
- Materials
- Allowances
- Special orders
- Payment milestones with holdback
-
Schedule 3. Change Order
- Description
- Price change
- GST
- New total
- Schedule change
- Signatures
-
Schedule 4. Certificate of Completion and Deficiency List
- Deficiencies
- Correction dates
- Completion date
- Holdback release date
- Signatures
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Schedule 5. Contractor's Statutory Declaration of Payment
- Declarant
- Accounts paid
- Exceptions
- No liens filed
- Commissioner
Preview pages
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Page 1 -
Page 2 -
Page 3
How to fill in the contract
- Complete the contractor details. Use the legal name and any business name, GST and WorkSafeBC numbers, and the printed name of the person who will sign.
- Record where the contract is signed. If it is anywhere other than your permanent place of business, tick the direct sales box and keep the cancellation notice in Section 16.
- Check restricted products. If the job includes a furnace, heat pump, water heater, air conditioner, solar system or another restricted item, make sure the homeowner invited you after contacting you, or sign at your place of business.
- Write the scope in Schedule 1. Describe each area of work with products, models, colours and quantities, and list exclusions and homeowner-supplied items.
- Itemize the price in Schedule 2. Separate labour, materials and allowances, list special orders that cannot be returned, and set the payment milestones with the 10% holdback shown on each.
- Set a lawful deposit. For a direct sales contract, no more than the lesser of $100 and 10% of the total price.
- Fill in dates, permits and the hazardous materials survey. Enter the start and completion dates, who obtains the permits, and the home's year of construction.
- Give the homeowner the whole contract to read, then sign. Hand over a complete signed copy at the time of signing for a direct sales contract, and within 15 days in every case.
- Use the schedules as the job runs. Sign a Change Order before any extra work, complete the Certificate of Completion at the walk-through, and give the statutory declaration before the holdback is released.
Example: a completed payment excerpt
A fictional contractor, Coastline Renovations Ltd., renovates a kitchen in Burnaby for a price of $48,000 before GST. The contract is signed at the homeowner's house, so it is a direct sales contract:
Deposit: $100 (the lesser of $100 and 10% of the total price). Progress payment 1 (rough-in inspection passed): claim $18,000, holdback $1,800, paid $16,200. Progress payment 2 (cabinets and counters installed): claim $20,000, holdback $2,000, paid $18,000. Completion payment (Certificate of Completion signed): claim $9,900, holdback $1,000, paid $8,900. Holdback release: $4,800 paid 55 days after completion, if no lien has been filed.
The holdback adds up to $4,800, which is 10% of the full $48,000 (the $10 holdback on the deposit is taken from the completion payment), and it is released only after the holdback period ends and the contractor has delivered the statutory declaration of payment. Because the deposit is capped at $100, the contractor schedules the first progress payment at rough-in, before most materials are ordered. GST is added to each payment at 5%.
British Columbia rules to know
These are the BC rules this contract is built around. Municipal permit requirements and the BC Building Code (or the Vancouver Building By-law) also apply.
- Contract contents (Business Practices and Consumer Protection Act, section 18.2). Every required item, from the detailed description to the cancellation and refund policy. Missing information lets the homeowner cancel within one year (section 18.4).
- Direct sales contracts (sections 17, 20, 20.1 and 21). Contracts made away from the supplier's permanent place of business: extra contents, copy at signing, 10-day cancellation right, no credit, and restricted products.
- Deposit cap and restricted products (Consumer Contracts Regulation sections 4, 4.1 and 5.2). The lesser of $100 and 10%; heat pumps and solar systems added to the restricted list.
- Cancellation notice (regulation section 7 and Schedule A). Must appear in the prescribed form for direct sales contracts, with a pointer on the first page.
- Future performance contracts (section 23). Copy within 15 days; cancellation if work is not supplied within 30 days of the supply date.
- Builders Lien Act (sections 4, 5 and 8). 10% holdback, a holdback account for contracts of $100,000 or more, and a 55-day holdback period.
- WorkSafeBC. A clearance letter confirms the contractor's account is in good standing; a hazardous materials survey is needed before work that could disturb asbestos.
Mistakes that cause renovation disputes
The disputes that reach the Civil Resolution Tribunal usually start with a vague scope ("renovate kitchen"), extras done on a verbal "go ahead" with no price agreed, and deposits far larger than the work done. In BC, a contractor who signs at the customer's home and takes a large deposit may find the contract is not binding at all, and a contract that leaves out required information can be cancelled months later. Homeowners, for their part, often pay the full price without keeping the 10% holdback, then face a subcontractor's lien. Filling in Schedules 1 to 5 as the project runs keeps both sides out of those traps.
Frequently asked questions
What must a renovation contract include in BC?
A consumer contract for future work must include the contractor's name, the contract date, a detailed description of the work with specifications, the start and completion dates, an itemized price, taxes and other costs, payment terms, the total price, any promotional offers, other conditions, and the cancellation and refund policy (section 18.2 of the Business Practices and Consumer Protection Act). If any of it is missing, the homeowner can cancel for up to a year.
Can a homeowner cancel a renovation contract in BC?
If the contract was signed anywhere other than the contractor's permanent place of business, such as the homeowner's kitchen table, the homeowner can cancel without a reason until 10 days after receiving a copy. They can also cancel within a year if required information is missing, or if the work does not start within 30 days of the start date in the contract.
How big a deposit can a contractor take in BC?
For a contract signed at the homeowner's home or elsewhere away from the contractor's place of business, the down payment may not exceed the lesser of $100 and 10% of the total price, or the contract is not binding. Contracts signed at the contractor's office are not subject to that cap, but a deposit should still match the materials and scheduling costs it covers.
Do homeowners have to hold back 10% from a contractor in BC?
Yes. Section 4 of the Builders Lien Act requires the person who pays a contractor to retain 10% of the value of the work as a holdback until 55 days after completion. On projects worth $100,000 or more, the homeowner must also put the holdback in a separate account at a financial institution, administered with the contractor.
Can a contractor sell me a furnace or heat pump at my door in BC?
Not by a contract made at your home unless you invited them after contacting them, or after they contacted you by a means other than a door-to-door or phone visit. Furnaces, air conditioners, water heaters, water treatment devices, home security systems, duct cleaning, energy audits, heat pumps and solar panel systems are on the restricted list, and contractors may not arrange financing on direct sales contracts.
