Monthly Archives: May 2024

Newly Built Home Exemption

The Newly Built Home Exemption reduces or eliminates the amount of property transfer tax you pay when you purchase a newly built home.
To qualify, the property must be newly built.

The buyer must be:

  •  an individual
  •  a Canadian citizen or permanent resident 
  •  move into the property within 92 days after registration
  •  reside in the property for at least 1 year

and the property must:

  •  be located in B.C.
  •  only be used as your principal residence
  •  have a fair market value of $1,100,000 or less
  •  be 0.5 hectares (1.24 acres) or smaller

You may qualify for a partial exemption, if the property:

  •  has a fair market value greater than $1,100,000 and less than $1,150,000

First Time Home Buyers Exemption

First Time Home Buyers may qualify for exemption 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 BC 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 ever.
  •  you have never received a first time home buyers’ exemption or refund.
  •  the land is 0.5 hectares (1.24 acres) or smaller.
  •  the property will be used as principal residence.


If the fair market value, excluding tax, is less than $500,000, a full exemption applies.
If the fair market value is between $500,000 and $835,000 an exemption of $8,000 applies.
If the fair market value is between $835,000 and $860,000 a sliding scale exemption applies.
If the fair market value is over $860,000 there is no exemption

Example of partial exemption, assume purchase price is $845,000
PTT = $200,000 x 1% + ($845,000 – $200,000) x 2% = $14,900
PTT Exemption = ($860,000 – $845,000) / ($860,000 – $835,000) = 60%
Purchaser pays = $14,900 – (8,000 x 60%) = $10,100