February, 2016 RSS Icon
Found 5 entries for February, 2016.

Answers you must know on the NEW Property Tax Rules!

The following is an Update on the New PPT Rules from Merrily Hackett, the Managing Partner at Sutton Group - West Coast Realty.

A quick update below on the recent changes to the latest budget regarding the PTT as you are most likely fielding lots of questions:

1. How do these changes affect first-time buyer exemptions?
First time home buyer exemption limits have NOT changed

2. If my buyer purchases a home worth $770,000 is there a partial exemption?
All buyers (whether first-time buyers or not) no longer pay PTT on purchases of NEW homes up to $750,000 in value; note the buyer must be a Canadian citizen or a permanent resident; there is a partial exemption for homes between $750,000.00 and

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Last Wednesday February 17, 2016 the British Columbia government announced changes to BC property transfer tax that will help local new home buyers save money.

Since the announcement, many are talking how this policy may not provide immediate relief to those who cannot afford a new house or those who are not first time buyers.

The British Columbia Real Estate Association (BCREA) is quoted as saying:

“The PTT exemption for new homes up to $750,000 will help stimulate supply of new housing and provide more opportunities for home ownership across the province. This exemption is commendable, however with many new housing projects taking years to complete, it may not have the immediate impact desired by the government ... While the new three per

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This morning the BC government announced major changes to their budget, including changes to the BC Property Transfer Tax (PTT) to help deal with housing affordability. Here is what we know so far:

1. No Change to First Time Buyers Property Transfer Tax Exemption

There are no changes to the first time home buyer exemption limits – the property transfer tax exemption for first-time buyers still exists.

2. New Property Transfer Tax Exemption for New Homes Up to $750,000

All buyers (whether first time buyers or not) no longer pay PTT on purchases of NEW homes up to $750,000 in value; there is a partial exemption for homes between $750,000.00 and $800,000.00. Note that this new property tax exemption is still only available to buyers who are

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Starting February 15, 2016 the Canadian Mortgage and Housing Corporation (CMHC) will require a 10% down payment on the portion of any mortgage it insures over $500,000.

Here’s how the new mortgage rules in Canada apply to the purchase of a $750,000 home:

5% on the first $500,000 = $25,000
10% on the next $250,000 = $25,000
A down payment of $50,000 is now required to finance the home.

The new Canada mortgage down payment rules causes an increase of $12,500 in your down payment.

“We recognize that, specifically in the Toronto and Vancouver markets, we have seen house prices that have been elevated and we want to make sure we create an environment that protects the people buying homes so they have sufficient equity in their home."~ Bill

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If there’s one thing we can say about the January real estate market in popular Fraser Valley cities like Surrey, White Rock, Langley, and Abbotsford, it’s that there’s no signs of slowing down.

Jorda Maisey, President of the Fraser Valley Real Estate Board (FVREB) says, “Typically, we see January numbers slow down post-holiday season, but so far demand for Fraser Valley homes hasn’t let up. Homebuyers are reluctant to wait when the market is moving this fast.”

There’s an increased demand for owning a home in BC and the inventory of houses is hardly keeping up. Both job creation and a strong economy is bringing more people into our cities. The FVREB also points out that many of our cities here remain affordable compared to other Lower Mainland and

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