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Did You Know ? |
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Our Provincial Government collects tax on all real property purchases. The current rate is 1 % on the first $200,000 and 2 % on the balance. There are a few exceptions: In essence the only two classes that are exempt are :
1) Mobile homes on rented land
2) Qualified First Time Home Buyers
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The First Time Home Buyers’ Program
If you are purchasing your first home, you may qualify for an exemption from property transfer tax
if certain requirements are met.
What are the Requirements?
Purchaser
You qualify for the exemption if:
you are a Canadian Citizen, or a permanent resident as determined by Immigration Canada,
you have lived in British Columbia for 12 consecutive months immediately before the date
you register the property, or you have filed 2 income tax returns as a British Columbia
resident during the 6 years before the date you register the property,
you have never owned an interest in a principal residence anywhere in the world at anytime,
and
you have never received a first time home buyers’ exemption or refund.
Property
The Property you purchase qualifies if:
the fair market value of the property is not more than the current threshold of $425,000,
the land is 0.5 hectares (1.24 acres) or smaller, and
the property will only be used as your principal residence.
If the property does not meet all of these requirements, you may still qualify for a partial
exemption.
For further details, please see Bulletin PTT 004, First Time Home Buyers’ Program.
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Our Federal Government also offers a Home Buyer's Plan for the First Time Buyer. Do you or your spouse have an RRSP ( registered retirement savings plan ) ? If so, the government allows you to use up to TWENTY THOUSAND DOLLARS ( $20,000) each , towards the purchase of your home , tax and interest free. There are a number of conditions that have to be met to be eligible to qualify.
As a first time home buyer, you'll soon see the benefits of working with one Realtor, one who will introduce and thoroughly explain the brochure " Working With a Real Estate Agent "so you'll understand how and by whom you're being represented.
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