The GTA Real Estate Market is about to become a lot more appealing to foreign investors as the British Columbia Provincial Government has made some changes to their international real estate purchasing rules. According to the Globe and Mail, the B.C. Government is about to implement a 1 time, 15-per-cent tax on any home purchase made by any non Canadian Resident or non permanent residents. This means that the tax is focusing on foreign buyers, international students and temporary foreign workers. If the taxes are not paid, there will be fines for the buyers. These rules take effect in just 1 week, August 2nd 2016.
This is an interesting step taken by the BC Government as they have seen a 30% increase in home values in the last year alone. Foreign investors, between June 10 and July 14 have spent over $1 Billion on B.C Real Estate and watchdogs of the industry are trying to keep home prices affordable and slow down this hot market.
This move will no doubt make British Columbia look less attractive to the international buyer and since Toronto is the second hottest market in Canada, we can expect that these foreign investors will start to consider and invest more into the GTA.
A good tip to home sellers in the GTA Real Estate Market will be to ask their realtor how they plan to market your home on an International level. An International Marketing Strategy will help attract these types of buyers which will ensure the home seller will receive top dollar.
It will be interesting to see if this move will cool the BC Real Estate market and we will soon find out if Ontario is next to implement this tax. If they do, there is a small window of opportunity for the right seller to make an even higher premium on their home sale. Please feel free to sign up below to be kept in the loop of these changes. If you are thinking of selling, it is crucial to ensure that you are marketing your home to its fullest and that you attract as many buyers as possible to your home. If you would like to discuss how I can help to ensure that your home is marketed properly and how you can take advantage of this news, please feel free to get in touch, I am here to help!
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