In the latest provincial budget, the government has announced an immediate change to the Property Transfer Tax. Effective February 22, 2017, the exemption threshold for eligible first time home buyers will be raised to $500,000. Buyers shopping in that price range may now save thousands of dollars in tax payments.
For reference, the updated first time home buyers’ exemption amounts (100% eligible) are:
| Fair Market Value | Exemption Amount | Tax Payable |
|---|---|---|
| Less than $500,000.00 |
Full amount of tax normally due |
$0 |
| $500,000.00 | $8,000.00 | $0.00 |
| $501,000.00 | $7,699.20 | $320.80 |
| $502,000.00 | $7,396.80 | $643.20 |
| $503,000.00 | $7,092.80 | $967.20 |
| $504,000.00 | $6,787.20 | $1,292.80 |
| $505,000.00 | $6,480.00 | $$1,620.00 |
| $506,000.00 | $6,171.20 | $1,948.80 |
| $507,000.00 | $5,860.80 | $2,279.20 |
| $508,000.00 | $5,548.80 | $2,611.20 |
| $509,000.00 | $5,235.20 | $2,944.80 |
| $510,000.00 | $4,920.00 | $3,280.00 |
| $511,000.00 | $4,603.20 | $3,616.80 |
| $512,000.00 | $4,284.80 | $3,955.20 |
| $513,000.00 | $3,964.80 | $4,295.20 |
| $514,000.00 | $3,643.20 | $4,636.80 |
| $515,000.00 | $3,320.00 | $4,980.00 |
| $516,000.00 | $2,995.20 | $5,324.80 |
| $517,000.00 | $2,668.80 | $5,671.20 |
| $518,000.00 | $2,340.80 | $6,019.20 |
| $519,000.00 | $2,011.20 | $6,368.80 |
| $520,000.00 | $1,680.00 | $6,720.00 |
| $521,000.00 | $1,347.20 | $7,072.80 |
| $522,000.00 | $1,012.80 | $7,427.20 |
| $523,000.00 | $676.80 | $7,783.20 |
| $524,000.00 | $339.20 | $8,140.80 |
| $525,000.00 | $0.00 | $8,500.00 |
(Source: BC Government website)
As always, the Auxilium team is up-to-date to handle any questions or concerns you might have about your specific situation. For a free consultation with one of our brokers, call Toll-Free 1-855-590-6520 or visit us at 307 Goldstream Avenue during regular business hours, Monday through Friday 8:30 a.m. – 5:00 p.m. We can also arrange an appointment evenings or weekends to work with you.
Auxilium Mortgage Corporation is based in Victoria, BC and works with clients locally and across Canada. The Auxilium team has over 100 years of combined financial experience and access to dozens of lenders to help you meet your goals.
