January Real Estate Update
Happy New Year!?Wishing you tons of success for 2023 in your personal and business life and hopefully you can excel and concentrate on what is important to you.
We are experiencing lots of continued changes in the world and in real estate.
Central Okanagan: Comparing January last year;?our Sales are down approx. 50%, Listings are up approx. 118%. We are definitely experiencing a Buyers market. Single Family Benchmark price is down 3.4%, Townhomes 1.7% and condos 1.5%. We see daily price reductions, and pricing is crucial for Sellers to be able to sell their homes. Price reductions are not shown in the Stats.?For detailed Statistics please see Charts below.?
To cool our market more the Government decided to make further changes! More rules and documents for us realtors in BC. This was decided in the spring/summer last year when the market was still hot in order to cool down multiple offer situations.
1.What is the new Home Buyer Rescission period?
Once an offer is written there is now a Rescission period.
The Rescission period lasts for 3 business days, which means it doesn’t include weekends or statutory holidays. The period begins on the day following the accepted offer and lasts until the end of business day on the third day. No one can waive the period.
If a buyer chooses to rescind their offer during the rescission period (3 days),?they will pay a fee of 0.25% of the purchase price?to the Seller. (For example, a fee of $2,500 for a purchase of $1,000,000).
2. Foreign Buyers can not buy in Canada for 2 years!
Applies to non-Canadians purchasing residential property including Corporations or Trust Comp.
Residential properties include detached homes, semi-detached, and strata units. Ban is for a period of two years starting January 1st, 2023 and ending December 31st, 2024.
Ban does not apply to a non-Canadian who is purchasing a home with a spouse/common law partner who is a Canadian. Does not apply to Canadian citizens and permanent residents (including if they are currently living outside of Canada).
Penalties will be imposed on all individuals attempting to violate the Act, including purchasers, realtors, mortgage brokers, lenders and lawyers. More detailed forms for realtors to screen Buyers.
3. New Anti Flipping Tax
For any flipped properties, the gains from the sale are now taxable as business income and not as a capital gain.
领英推荐
This means the gains, less any associated expenses, will be fully taxable in the year of the sale.
A flipped property is defined as a property in Canada that was owned for less than 365 days prior to the sale.
On a personal note, my daughter Stephanie’s wedding was amazing in Vancouver and everything went really well.?If you are looking for an exceptional mortgage broker,?check out?www.mortgagesbysteph.ca
Any questions about the above changes, please don’t hesitate to reach out to me. Always working in your best interest.
Best wishes,
Annette and Team
Quote of the day:?Every Sunset is an opportunity to reset. Every Sunrise begins with new eyes.
Okanagan’s best website to get the latest listings:??www.moveokanagan.com
If you found this article interesting,?FOLLOW / LIKE ?us on Facebook or please feel free to SHARE it.
Move Okanagan Group – serving Kelowna – Lake Country – Vernon – Silver Star
Not intended to solicit properties currently listed for sale/under contract. Based on MLS??active residential listings taken & sold units as reported by Association of Interior Realtors??in 2022 and YTD December 2022 for Central Okanagan.