Amendments To First Time Homebuyers' Program

• Amendments Relating to the Threshold for Eligible Residential Property

Effective February 20, 2008, the fair market value threshold for eligible residential property under the First Time Home Buyers' (FTHB) Program is increased. The FTHB Program now provides a full exemption from property transfer tax on properties where the value of the land plus improvements falls below the new threshold amount of $425,000. This new threshold has been increased from $375,000. A proportional exemption is provided for eligible residences that have a fair market value of up to $25,000 above the new threshold.
NB - The new threshold amount applies to purchases registered on, or after, February 20, 2008.

• Amendments Relating to Financing Requirements

Effective February 20, 2008, the financing requirements to qualify for the FTHB Program are eliminated. 
This means that if a property is purchased on, or after, February 20, 2008, the purchaser is no longer required to meet any financing requirements to qualify for the FTHB Program. 
If a property is purchased before February 20, 2008, the purchaser must meet the financing requirements that were in place when he or she purchased the property.  However, effective February 20, 2008, all purchasers (including persons who purchased their property before February 20, 2008) are free to pay down any amount owing on their mortgage and remain eligible for the exemption
 
For more information, please see Bulletin PTT 004, First Time Home Buyers’ Program.
http://www.sbr.gov.bc.ca/documents_library/bulletins/PTT_004.pdf

For information on related matters contact Pushor Mitchell associate Vanessa DeDominicis at:
dedominicis@pushormitchell.com or (250)869-1140