BC’s New Property Transfer Tax Exemption – April 1st, 2024

Property Transfer Tax Exemption:

For both first-time home buyers and newly build home buyers there are exemptions in place that offers a reduction or complete waiver of the property transfer tax for an owner-occupied home.

If you meet the program’s requirements, you could qualify for either a full or partial exemption from this tax which could save you thousands in closings costs. Below, is a summary of the new changes as of April 1st. Please check out BC’s official website for more details and speak with your lawyer to make sure you meet all the requirements.

FTHB Requirements:

  1. The home’s price must not exceed $835,000.00. You can still get a partial exemption for properties up to $860,000.
  2. The buyer must not have previously owned any interest in a principal residence worldwide.
  3. The buyer must be a citizen or permanent resident of Canada.
  4. The buyer must have resided in British Columbia for 12 consecutive months immediately before becoming the registered owner, or they must have filed two income tax returns as a British Columbia resident within the six years preceding ownership.
  5. The buyer must move into the property within ninety-two days of the purchase registration and reside in it for at least one year.

New Construction Home Buyer

  1. The home’s purchase price must not exceed $1,100,000. You can still get a partial exemption for homes with values up to $1,150,000.
  2. The property must meet the definition of “newly built” as outlined in the legislation.
  3. The buyer must be an individual and either a Canadian citizen or a permanent resident.
  4. The property must serve as the principal residence of the buyer, who must occupy it within ninety-two days of the purchase registration and reside there for a minimum of one year.
  5. The property’s size must not exceed 1.24 acres.

Penalty for False Declaration:

All applications undergo a thorough review. If you falsely declare information, you will be subject to a penalty equivalent to the amount of exemption or refund claimed, in addition to any other applicable consequences.

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About Atrina Kouroshnia

Atrina Kouroshnia is an independent, licensed, mortgage broker in the province of British Columbia. She has a degree in Human Relations & Commerce, and past work experiences in HR & Real Estate Development. She comes to the table with great customer service and problem-solving skills. Her approach to finding the best mortgage solution involves both short and long-term planning, making sure her clients are in a suitable mortgage that is flexible to their needs.