Blog by Andrew Peck

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"Is first time buyer exemption still eligible after profit taking on a flip?"

"Is first time buyer exemption still eligible after profit taking on a flip?"

"My buyer has never owned real estate anywhere in the world so they are eligible for the first time buyer exemption on the PTT.  However they has asked if they enter into an agreement to purchase a property but then flip the contract to someone else for a profit and don’t actually become the new owner, will they lose their first time buyer exemption of the PTT when they do eventually purchase later on?"

Great question and frankly I didn’t know the answer so called a lawyer. We know that the requirement for the exemption is a purchase price under $375,000 and that the buyer has to be eligible. To be eligible you need to have lived in British Columbia for at least one year and can not have owned real estate anywhere else in the world.

As the exemption eligibility is on previous ownership and not profit taking on a flip, the buyer will still retain their right to claim the exemption later when they do purchase property.

Is our housing market at risk?

May 31st, 2017
Is our housing market at risk? Today, the International Monetary Fund reported that Canadian households are highly indebted and housing affordability, particularly in Vancouver and Toron...Click here to read more detail about 'Is our housing market at risk?'

Moving towards a National Housing Strategy

May 1st, 2017
Moving towards a National Housing Strategy The Canadian Real Estate Association and its member real estate boards and associations across Canada have long advocated for better access to ...Click here to read more detail about 'Moving towards a National Housing Strategy'

What are the key challenges we face as a profession?

February 18th, 2016
What are the key challenges we face as a profession? If someone were to ask me what one characteristic Realtors® share, I'd say - adaptability.  Take a minute and think about i...Click here to read more detail about 'What are the key challenges we face as a profession?'

Will a luxury or speculation tax create more affordable housing?

February 2nd, 2016
Will a luxury or speculation tax create more affordable housing? In the last month, both the Mayor of Vancouver and economists from the University of British Columbia and Simon Fraser Un...Click here to read more detail about 'Will a luxury or speculation tax create more affordable housing?'