BC Real Estate: Current PolicyBC省房地产：现行政策

Policy at a glance

Policy 1

First-time buyer GST relief

Federal GST relief for first-time buyers of new homes became law on March 12, 2026 (Bill C-4).

• Up to $50,000 saved. The 5% GST is fully removed on new homes up to $1,000,000.
• $1,000,000 to $1,500,000: the relief phases out on a sliding scale, losing about $10,000 for every $100,000 above $1M.
• Above $1,500,000: no relief.
• Dates: agreements signed on or after March 20, 2025 and before 2031.
• New builds only. Resale homes have no GST, so this does not apply to them.

Who qualifies

• Canadian citizen or permanent resident, 18 or older
• Has not owned a home you lived in during the current or previous four calendar years
• Buying as your primary residence, and the first to live in it
• Buying personally. Corporations and partnerships do not qualify

How to claim

• From a builder: sign a declaration and the builder credits it at closing.
• Already paid GST: apply to the CRA with form GST190.
• Owner-built: claim with form GST191 once finished.

It works together with BC's first-time buyer property transfer tax exemption and the federal FHSA and Home Buyers' Plan.

Policy 2

Foreign buyer ban and BC foreign buyer tax

Two separate rules apply to non-Canadian buyers.

Federal ban

Since January 1, 2023, non-Canadians cannot buy most residential property in Canada. It covers buildings with up to three units, including condos. The ban is scheduled to end on January 1, 2027. The federal government has said it is reviewing what comes next, so check for news if you are planning around that date.

• Banned: people who are not citizens or permanent residents, and companies controlled by them.
• Exceptions include: work or study permit holders meeting set conditions, refugees, diplomats, and spouses of Canadians or permanent residents.
• Penalty: a fine of up to $10,000, and a court can order the property sold.

BC foreign buyer tax

BC adds 20% to the property transfer tax for foreign nationals and foreign corporations buying residential property in designated areas, including Metro Vancouver, the Fraser Valley, the Capital Region, the Central Okanagan and Nanaimo. This is separate from the federal ban and is not tied to its end date.

Policy 3

3-day cooling-off period

Since January 3, 2023, most BC home buyers can cancel within three business days of an accepted offer.

• The period starts the next business day after the contract is signed.
• Weekends and holidays do not count, and the right cannot be waived.
• You must give written notice and pay the seller 0.25% of the price.
• It runs alongside your subjects such as financing and inspection.

Some property types, such as presales, follow separate rules.

Policy 4

BC Home Flipping Tax

A provincial tax on profit from selling a home, or assigning a presale contract, within two years of buying. It applies to sales on or after January 1, 2025.

The rate is 20% x [1 - (days held - 365) / 365]. Example: selling after 18 months (about 547 days) gives a rate of roughly 10%, so on a $200,000 profit the tax is about $20,000.

• Presale assignments use the same sliding scale, based on the time since you signed the presale contract.
• Primary residence deduction: up to $20,000 off your taxable income if you lived there as your main home and owned it at least 365 days.
• Exemptions exist for certain life events (such as divorce, serious illness, death, job relocation) and for builders. Conditions apply.
• Filing: you must file a separate BC home flipping tax return within 90 days of the sale.

Policy 5

Airbnb and short-term rentals

A short-term rental is a stay of less than 90 days. BC's Short-Term Rental Accommodations Act has applied since May 1, 2024.

• Principal residence only. In BC municipalities over 10,000 people (and many nearby communities), you can only rent short-term in the home you live in, plus one secondary suite or accessory unit on the same property.
• Provincial registration is required, and the registry has been running since January 20, 2025.
• City licence. Vancouver, for example, also requires a business licence displayed on every listing.
• Platforms such as Airbnb must remove listings without valid registration numbers.
• Fines can be significant, and a provincial enforcement unit investigates complaints.
• Strata bylaws can ban short-term rentals outright, so check them first.

Looking to rent your second property? Rentals of 90 days or more are not short-term rentals. From 2027, communities with a sustained vacancy rate of 3% or more may apply to opt out of the principal residence rule. Rules differ by city, so check Burnaby, Richmond, Surrey and Coquitlam directly.

Policy 6

Multiplex and transit-oriented housing

BC law now requires most cities to allow more homes on lots that used to be single-family only.

Small-scale multi-unit housing (Bill 44)

Municipalities over 5,000 people had to update zoning by June 30, 2024. The provincial minimums are:

• 3 homes on smaller lots
• 4 homes on larger lots (about 280 square metres, or 3,000 sq ft, and up)
• Up to 6 homes on larger lots close to frequent transit
• No off-street parking minimums within 400 metres of frequent transit stops

Cities may allow more than the minimum, and a laneway or garden suite may count toward the total, so each city's rules differ. Richmond, for example, rezoned about 27,000 lots in June 2024.

Transit-oriented areas (Bill 47)

Near designated SkyTrain and bus-exchange stations, cities must allow much taller buildings (minimum heights of 8, 12 or 20 storeys depending on distance), with no minimum parking for residential projects.

Policy 7

Rent increase limit

BC caps yearly rent increases at inflation, set each August.

• Landlords must give 3 full months' written notice on the official form.
• Rent can only go up once every 12 months.
• A $2,000 rent can rise by at most $44 a month in 2027.
• The cap does not apply to commercial tenancies, co-ops, non-profit rent-geared-to-income housing or some assisted living.

Policy 8

Taxes and mortgage rules

Property transfer tax

1% on the first $200,000, 2% up to $2,000,000, 3% up to $3,000,000, and 5% on the residential portion above $3,000,000. First-time buyers are exempt up to $835,000 (partial up to $860,000, saving up to $8,000). New homes are exempt up to $1,100,000, phasing out at $1,150,000.

Speculation and vacancy tax

Applies in certain larger urban areas, with annual declarations. A principal residence is generally exempt. Foreign owners pay more, and their rate rises from 3% to 4% starting with the 2027 tax year.

Additional school tax

From the 2027 tax year, homes pay 0.3% on value between $3 million and $4 million and 0.6% above $4 million.

Mortgage rules

• Minimum down payment: 5% up to $500,000, 10% on the portion from $500,000 to $1.5M, and 20% at $1.5M or more.
• 30-year amortization is available on insured mortgages for first-time buyers and new builds.
• The stress test requires qualifying at your rate plus 2 points, or 5.25%, whichever is higher.

See our full Real Estate Tax, Real Estate Grant and Tenancy Rules pages.

Official sources

• BC Home Flipping Tax
• BC Property Transfer Tax
• BC Short-Term Rentals
• BC Housing Initiatives (Bills 44, 46, 47)
• BC Rent Increases
• BCFSA (cooling-off period and licensing)
• Canada Revenue Agency (GST rebates)