Here is what we know.
1. There are no changes to the first time home buyer exemption limits;
2. 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 $800,000.00;
3. PTT has changed so that there is now a 3% tax on amounts over $2,000,000.00. The 3% tax is only paid on the amount over $2,000,000.00, not the full price.
These are effective for deals closing today and going forward.
Now is a great time to think about building instead of renovating! This new focus is supposed to target affordable housing in the lower mainland, however it is still unclear how the government tries to encourage new construction with no metropolitan land to build on.
Regardless, great news for construction and builders in the Okanagan area!