Property Transfer Tax Rules
Great news for buyers who are purchasing a brand new home! New property transfer tax rules. Newly built homes priced up to $750,000 will be fully exempt from the property transfer tax.
Minister of Finance has announced several changes to the Property Transfer Tax program, effective Wednesday, which include:
- a property transfer tax exemption for Canadian citizens and permanent residents who purchase newly-built homes, condos and townhouses under $750,000. Purchasers must live in the property for at least one year. This is a potential savings in closing costs of up to $13,000;
- a one percent increase in property transfer tax to three percent for homes which are sold over the $2 million mark;
- the first time home buyers exemption will remain in place for homes under $475,000;
- buyers will need to start disclosing their country of residence in all property transactions;
- the beneficial ownership of properties held by corporations will also be tracked.
Let me know if you have questions or need more details on property transfer tax rules in BC!
Nickole Goeujon | Realtor | Re/Max Camosun