First Time Home Buyers

 

Did you know that two out of three Canadian families own a house? That is one of the highest rates of home ownership in the world. And for good reason . Real estate is a great investment.


And with increasing housing prices, it's all the more important for first-time buyers to get a foot on the first rung of the property ladder. If you want to make it big, about 80 per cent of millionaires made their first million in real estate!

So what are some of the advantages of becoming a homeowner today?


1. Home ownership is the single largest source of savings for Canadian households.


2. Your payments build equity (as opposed to renting, where your money goes to the building owner).


3. Unlike other investments that can be volatile, when you buy a home the increase in its value is relatively steady. The average price of a house for sale on the Canadian real estate market has increased every year since 1998.


4. The return on investment for a house can be substantial. In Canada, there has not been a recorded 10-year period where average house prices have not increased.


5. Homeowners can use the equity in their homes as security for other loans.


6. Buying a home and building equity is the first step on the property ladder. It gets you into the housing market, keeps you in touch with increasing house prices, and puts you in a good position to trade up to bigger and better homes as your circumstances allow.

 

If you are purchasing your first home, you may qualify for an exemption from property transfer tax. To qualify, you must be a first time home buyer and your property must meet certain requirements.

WHAT ARE THE REQUIREMENTS?

 

First Time Home Buyer Qualifications

You qualify as a first time home buyer if:

 

  • you are a Canadian citizen, or a permanent resident as determined by Immigration Canada,
  • you have lived in British Columbia for 12 consecutive months immediately before the date you register the property, or you have filed 2 income tax returns as a British Columbia resident during the 6 years before the date you register the property,
  • you have never owned an interest in a principal residence anywhere in the world at anytime, and
  • you have never received a first time home buyers’ exemption or refund.

 

Please note: You cannot re-qualify as a first time home buyer. This rule may be different for other federal programs for first time home buyers (e.g. the Canada Revenue Agency Home Buyers’ Plan).

Property Requirements

The property you purchase qualifies if:

 

  • the fair market value of the property is not more than the qualifying value of 425,000 (only if purchasing an existing home)
  • the land is 0.5 hectares (1.24 acres) or smaller
  • the property will only be used as your principal residence.

 

If the property does not meet all of these requirements, you may still qualify for a partial exemption.

 

GETTING STARTED

 

Before you begin searching for a home, it is important not to waste your time… Sign Up for more information and to schedule a meeting.

 

Jessica Prasad P.R.E.C. - www.ilovehomes.ca
Cell: 778-241-8946
Office: 604-942-0606
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The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Real Estate Board of Greater Vancouver (REBGV), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the REBGV, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the REBGV, the FVREB or the CADREB.