Effective February 19, 2014, under the Property Transfer Tax First-Time Home Buyers’ Exemption program, qualifying first-time buyers can buy a home worth up to $475,000. The previous threshold was $425,000.
Property Transfer Tax First-Time Home Buyers’ Exemption
The partial exemption continues and will apply to homes valued between $475,000 and $500,000.
With this change, the government estimates 1,700 additional first-time buyers will annually be eligible to save up to $7,500 in PTT when they buy their home.
The government estimates this measure will cost $8 million in lost tax revenue each year.
The Real Estate Board, together with BC Real Estate Association, has actively lobbied to make home ownership more affordable for first-time home buyers. This increase in the threshold clearly signals our efforts have paid off as in past years.
The Property Transfer Tax First-Time Home Buyers’ Exemption program calculates the exemption at a rate of one per cent on the first $200,000 and two per cent on the remaining value of the purchase price.
For more information on the Property Transfer Tax First-Time Home Buyers’ Exemption program visit http://www2.gov.bc.ca/gov/topic.page?id=BBD16E2D7C1841A7BBD420E3AC5380F1
$8,000.