British Columbia Real Estate Association

Home > Market News > British Columbia Real Estate Association

Shelter Tax Relief - February, 2012

  • Photograph of Tom Whitfield
  • Parksville Qualicum Beach REALTOR®
  • Published: Feb 23rd, 2012 at 5:32 pm

Specifically, effective April 1, 2012, the government will substantially increase the BC Harmonized Sales Tax rebate threshold for new homes purchased as primary residences to $850,000 (from $525,000), and create a grant of up to $42,500 for newly-constructed secondary homes where no grant has existed before. The temporary BC First-Time New Home Buyers’ bonus announced in the budget on February 21 will also provide additional support for buyers who need it the most.

Overall, the benefit to buyers of new homes and people who work in the real estate sector is obvious. Perhaps less apparent is the fact that real estate sales generate significant additional spending and taxes, driving activity throughout the provincial economy.

According to a study conducted by Altus Group Economic Consulting, each BC home sold on the Multiple Listing Service® (MLS®) in 2009 generated nearly $60,000 in expenditures—well above the national figure. In 2011, nearly 78,000 homes were sold on the MLS® in BC, resulting in nearly $4.7 billion in additional economic activity.

Now that the rules for the transition back to a Provincial Sales Tax/Goods and Services Tax world have been published, and the transition date of April 1, 2013 set, buyers of new homes, REALTORS®, builders and developers around BC can get down to business and move forward.

BCREA looks forward to the release of additional information about the transition, and plans to make resources available through its website at www.bcrea.bc.ca.

BC Government Return to PST website: www.pstinbc.ca

BC First-Time New Home Buyers’ bonus, fact sheet: www.bcbudget.gov.bc.ca/2012/homebuyers/2012_First_Time_Home_Buyers_Fact_Sheet.pdf

Listings by Community

Featured Listing

Video Tours

Search by Price

Price:
 
Sort order:
Results/page:

Listings by Type

Tom's Picks

Community Info

Community Resources

Community Videos

  • Amazing Places in the Mount Arrowsmith Biosphere Region
RE/MAX Platinum Club Badge RE/MAX Hall of Fame Badge Qualicum Beach REALTOR® Tom Whitfield

Green Homes

Green Homes Icon

Weather

Web cam thumbnail preview image

Tools

Resources

Video