Joint Tenants Vs. Tenants in Common

When buy­ing real estate with a spouse or busi­ness part­ner you will be asked to choose between reg­is­ter­ing your inter­ests as Joint Ten­ants or Ten­ants in Com­mon. The key fac­tor in this deci­sion is deter­min­ing who will acquire your inter­est in the house upon your death (oth­er­wise known as Right of Survivorship).

In the case of Joint Ten­ants, a sur­viv­ing owner will acquire the inter­ests of the deceased owner thereby increas­ing the sur­viv­ing owner’s inter­est in the prop­erty. In this case, the sur­viv­ing owner is said to have the Right of Sur­vivor­ship. [Read more…]

HST Basics for Builders & Developers of Residential Property

On July 1, 2010 the Har­mo­nized Sales Tax (HST) came into effect with sig­nif­i­cant impli­ca­tions to builders of new res­i­den­tial prop­erty. The HST will have a com­bined rate of 12%, which is com­prised of a fed­eral com­po­nent of 5% and a provin­cial com­po­nent of 7%. Gen­er­ally, the HST will apply to all sales of new res­i­den­tial prop­erty where pos­ses­sion and own­er­ship of the prop­erty is trans­ferred after July 1, 2010.
[Read more…]

Property Transfer Tax Basics for Residential Real Estate Transactions

Prop­erty Trans­fer Tax (PTT) is a land reg­is­tra­tion tax payable by the pur­chaser of res­i­den­tial prop­er­ties. It must be paid when an appli­ca­tion for changes to a cer­tifi­cate of title are made at a Land Title Office in British Colum­bia.
[Read more…]

GST/HST Rebates for Purchasers of New Residential Property

As a pur­chaser of new res­i­den­tial prop­erty you may be eli­gi­ble for a rebate for a por­tion of the GST/HST payable on the trans­ac­tion. The fol­low­ing rep­re­sents a sum­mary of the com­mon rebates that you may be enti­tled to receive.

GST/HST New Hous­ing Rebate

Effec­tive July 1, 2010, pur­chasers of new res­i­den­tial prop­erty for the pur­pose of prin­ci­pal res­i­dency may be eli­gi­ble for a rebate of 71.43 per cent of the provin­cial com­po­nent of the HST paid, up to a max­i­mum of $26,250.
[Read more…]

HST Basics for Purchasers of New Residential Property

On July 1, 2010 the Har­mo­nized Sales Tax (HST) will come into effect with sig­nif­i­cant impli­ca­tions to pur­chasers of new res­i­den­tial prop­erty. The HST will have a com­bined rate of 12%, which is com­prised of a fed­eral com­po­nent of 5% and a provin­cial com­po­nent of 7%.
[Read more…]

Personal Real Estate Corporations

The Real Estate Ser­vices Act per­mits real­tors to form Per­sonal Real Estate Cor­po­ra­tions (“PRECs”) to allow them to access the busi­ness advan­tages of incorporation.

This fol­low­ing sum­ma­rizes some of the key ben­e­fits and costs of form­ing a PREC.

A. BENEFITS OF FORMINGPREC

[Read more…]

Tips to Buying a New Home

Buy­ing real estate in Kelowna is a com­plex and uncer­tain process for most peo­ple. Mak­ing sense of the indus­try jar­gon, myr­iad of financ­ing options, and legal tech­ni­cal­i­ties can be a daunt­ing process. The fol­low­ing arti­cle pro­vides some sim­ple tips to nav­i­gat­ing through some of the most com­mon issues faced by Okana­gan home buy­ers. [Read more…]

Property Transfer Tax Bulletins

These bul­letins have been pro­vided by the Province of British Colum­bia to assist in the inter­pre­ta­tion of the rel­e­vant leg­is­la­tion in rela­tion to the basics of the Prop­erty Trans­fer Tax.

Prop­erty Trans­fer Tax

Prop­erty Trans­fer Tax Exemptions

First Time Home Buy­ers’ Program

Exemp­tions for the Trans­fer of a Prin­ci­pal Residence

Exemp­tions for the Trans­fer of a Recre­ational Residence