Just announced by the Real Estate Board of Greater the new HST Transitional rules set by the federal and provincial government.
When the HST was first introduced most people felt that the Tax threshold of $525,000 with a maximum New Home owners Rebate of $26,250.00 was just wasn’t enough. Most New Burnaby Condo offered for sale at the presentation centres such as intracorp, have 2 bedroom units within the 600k-900k range.
Part of the new changes included increasing the maximum New Home Owners rebate up to $850,000, the real estate board of vancouver says that would cover about 90 percent of the available inventory of newly priced condos offered at presentation centres such as intracorp.
Another better change was instead of paying the 7 percent of the PST portion of the HST, New Condo Purchasers will be paying a transitional portion of just 2 percent.
If you notice with new transitional rules in place you will save more money now on the final purchase price as compared with before. On a 300k condo purchase you would be saving an additional $15,000 and with a $850,000 you would be saving about $58,750 more. Thats a true savings of about 5%.
If you have any questions please post below.