15% tax on foreign home buyers

[theloadmaster]

I would go further and make it illegal for any non citizen, or entity controlled by a non citizen, to own land in Canada.

If you want to own land then become a citizen. Canada is for us, not foreigners.

Amen. I shouldn't have to live in the valley and sit in traffic for 3 hours a day just so some foreigner can own a property I could once buy DT and let it sit empty. It shouldn't be a non-resident tax but a non-citizen tax. Don't hold a Canadian passport? Too bad, you can't buy here. And if you really must? 50% tax across the board. Use that money to pay for things actual citizens here need. And I'd go one step further in making it illegal for a landlord to be a non-citizen.

The problem now though is that it fucks over the first time home buyers when the bubble finally bursts and the hard working Canadian citizen is now under water on his/her mortgage.

 

[westwoody]

Dude, it has nothing to do with racism. Why should we care if some guy living on another continent can't make a fat profit at our expense any more? More importantly, why are you so interested in protecting that guy living on another continent?

Tax the crap out of them. If they don't live here then why should we care about them?

Totally agree with this. There are at least two very large houses on my brother's street that have been empty for months.

They are being used as a GIC not a residence, and maybe an insurance policy against a foreigner having his money and assets seized back home. It has nothing to do with immigration, it is about the market being distorted by unreasonable forces.

Another aspect not talked about is the effect on long term homeowners. A few of my parents neighbours had been in their house for fifty years and were now retired and on pensions. Because of the distorted market their property taxes rose to an unaffordable level, they lost their home. Yes they sold and got good money but that does not matter to them. They had a home and they lost it.

Vancouver is crap now, I would never live there. It's become another generic overcrowded ugly city. Robsonstrasse was once a beautiful place full of unique family run shops, now it is just panders to yuppies buying name brand junk they can brag about.

Money is not everything. A lot of you don't care about anything but money. You don't understand that difference between a home and an asset.

 

[badbadboy]

Dude, it has nothing to do with racism. Why should we care if some guy living on another continent can't make a fat profit at our expense any more? More importantly, why are you so interested in protecting that guy living on another continent?

Tax the crap out of them. If they don't live here then why should we care about them?

Exactly.

The outcry about the tax is unfounded. We have seen our property assessments sky rocket and if the values go over $1.3M, we are losing our homeowner tax discount. Why should we subsidize foreign owners in that regard? Somebody has to pay and it's about time foreign owners pay a more equitable share of the taxes here in Canada.

Only people crying foul are the foreign owners, local sellers to foreign owners and real estate agents. All of whom I could give a rats ass.

 

[westcoast555]

Has no one realized this is racism,something similar to the head taxes they charged east Indian imagrents back 100 yrs ago ..In this case if you have money and want to buy property you get charged extra only because you are a none white because that is who it will be effecting most .
Ad side from either driving the prices up even more and making it even more unaffordable for others ..or just taking more money out of the general economy. .This is just another tax grab for the government to pilfer from
And they think they can use the people's zenaphobice attitude to get away with it because we'll it not coming from my pocket.

I am ashamed of this government and people in general that that go for using predgadice and racism I'm any way against a definable group of people , in this case Asian property buyers.

Know matter what the underlying reasoning might be . It I'd still based on wrong reasoning and is economical frawe'd . It is a great way to stop an economic boom in Vancouver. Want to see all the construction grind to a halt and have half stated buildings lay abandoned like in the early 80's when there big stratagem was to charge 23%interest .

Bullshit. It's not racism. It's about crooked money from overseas. Everybody in Vancouver has Chinese friends and co-workers or they're already Chinese. If a bunch of Russian oligarchs fleeing Russia with ill gotten wealth were laundering it though speculating in Vancouver real estate you'd see just as much concern.

This is about MONEY. Not race. And nobody is calling to stop immigration. It's about crooked officials in China embezzling money and burying it in Vancouver and destroying our housing market in the process.

 

[patdragon]

I don't know ...

Honestly, whether it's 5%, 15% or even 30%, I just wish I am or will become as rich as those people that's gonna be affected by this new policy...

... else it's really nothing I can do besides moving away

 

[SFMIKE]

Too bad you do not have this in BC, or Vancouver



http://www.nber.org/digest/apr05/w11108.html

 

[CJ Tylers]

Has no one realized this is racism,something similar to the head taxes they charged east Indian imagrents back 100 yrs ago ..In this case if you have money and want to buy property you get charged extra only because you are a none white because that is who it will be effecting most .
Ad side from either driving the prices up even more and making it even more unaffordable for others ..or just taking more money out of the general economy. .This is just another tax grab for the government to pilfer from
And they think they can use the people's zenaphobice attitude to get away with it because we'll it not coming from my pocket.

I am ashamed of this government and people in general that that go for using predgadice and racism I'm any way against a definable group of people , in this case Asian property buyers.

Know matter what the underlying reasoning might be . It I'd still based on wrong reasoning and is economical frawe'd . It is a great way to stop an economic boom in Vancouver. Want to see all the construction grind to a halt and have half stated buildings lay abandoned like in the early 80's when there big stratagem was to charge 23%interest .

While we all know who is being mostly targeted by this tax, please point out to us where it says "only non-white people must pay this tax".

As far as I know, foreigners also mean US residents (by the way, one of the first publicized "victims" was a US family that had to let their deal fall through because the over night tax put them outside of what they could afford), British residents, French residents... heck, pretty much anyone that isn't a Canadian citizen or has some form of permanent residency.

Is it knee jerk? Sure! We would've been better served 20 years ago by saying that in order to purchase any land in BC / Canada, you must live & pay taxes here, and have permanent residency, Canadian citizen ship, or be in the process of obtaining residency in short order. (ie, already applied, and accepted for having your application forwarded to the next stage).

Until then, renting is fine.

To be sure, there would be similar talk if suddenly Icelandic folk invaded BC, bought up all the land, spoke only in Icelandic, and otherwise made Vancouver into Hel-Couver. I mean, after the infatuation with the buxom and flaxen haired beauties subsided.

 

[Cami Parker]

THANK YOU!! :amen::amen:

It's about non residential buyers.
Nothing about race.
If 'Billy Bob' from the deep deep south of 'Murica wants a summer home in Vancouver; he's paying the tax too.

 

[thodisipagal]

Has no one realized this is racism,something similar to the head taxes they charged east Indian imagrents back 100 yrs ago ..In this case if you have money and want to buy property you get charged extra only because you are a none white because that is who it will be effecting most .
Ad side from either driving the prices up even more and making it even more unaffordable for others ..or just taking more money out of the general economy. .This is just another tax grab for the government to pilfer from
And they think they can use the people's zenaphobice attitude to get away with it because we'll it not coming from my pocket.

I am ashamed of this government and people in general that that go for using predgadice and racism I'm any way against a definable group of people , in this case Asian property buyers.

Know matter what the underlying reasoning might be . It I'd still based on wrong reasoning and is economical frawe'd . It is a great way to stop an economic boom in Vancouver. Want to see all the construction grind to a halt and have half stated buildings lay abandoned like in the early 80's when there big stratagem was to charge 23%interest .

The policy doesn't say the 15%tax will only be applied to non-whites. If you come from Sweden, have milk white skin and reddish blond hair, it'll apply to you equally. Is that racism?

 

[UrbanBumpkin]

The law is certainly not racist, but the way the media and the populists discuss about it is certainly under the disguise of racial prejudice. The Chinese are targeted like second-class citizens due to their cultural differences and lack of assimilation. I worry for Canada's NIMBYism and protectionist policy, perhaps this is good for BC, but certainly unhealthy to Canada. What do we produce other than oil? Real Estate! There are always willing Baby Boomers to sell off their single family homes, and the "foreigners" with Canadian passport are paying with Cash! These foreigners are not pointing guns to the homeowner's head and say "Sell' or else I'll shoot you. so how criminal is the money? Is it under Canada's jurisdiction to prosecute criminal in FOREIGN lands? Does Canada have the jurisdiction to seize their assets?

 

[se7landrover97]

The law is certainly not racist, but the way the media and the populists discuss about it is certainly under the disguise of racial prejudice. The Chinese are targeted like second-class citizens due to their cultural differences and lack of assimilation. I worry for Canada's NIMBYism and protectionist policy, perhaps this is good for BC, but certainly unhealthy to Canada. What do we produce other than oil? Real Estate! There are always willing Baby Boomers to sell off their single family homes, and the "foreigners" with Canadian passport are paying with Cash! These foreigners are not pointing guns to the homeowner's head and say "Sell' or else I'll shoot you. so how criminal is the money? Is it under Canada's jurisdiction to prosecute criminal in FOREIGN lands? Does Canada have the jurisdiction to seize their assets?

You are absolutely correct! Many home owners who depend on the equity of their properties, as like in any people in any countries, need to look else where now. There is supposed to be no such thing as bubble burst that happen in the US here, it might just happen to us because of what Cristy Clark did. I was taking to my banker yesterday, and he was saying that lots have cancelled their mortgage applications. And a few went on default in their payments. City hall staff told me that their collection on transfer taxes went down big time! Sooner or later Vancouver will be a dying city. That is what some people want to happen. Good job!

 

[westcoast555]

You are absolutely correct! Many home owners who depend on the equity of their properties, as like in any people in any countries, need to look else where now. There is supposed to be no such thing as bubble burst that happen in the US here, it might just happen to us because of what Cristy Clark did. I was taking to my banker yesterday, and he was saying that lots have cancelled their mortgage applications. And a few went on default in their payments. City hall staff told me that their collection on transfer taxes went down big time! Sooner or later Vancouver will be a dying city. That is what some people want to happen. Good job!

Dying city? Please. If anything causes it to die it will be because it becomes a playground for rich foreigners and the youth and talent will have to leave. Pricking a bullshit property balloon will not do it. It just shows how fucked up the market was in the first place. Even without this overseas money laundering Vancouver would be a premium city with expensive real estate.

But 3 million for a 33 foot lot with a piece of shit stucco house from the 1940s? It had to stop. As far as the foreign speculation goes, good riddance. And everybody can stop playing the race card, it's not about race. It's about money.

 

[se7landrover97]

Dying city? Please. If anything causes it to die it will be because it becomes a playground for rich foreigners and the youth and talent will have to leave. Pricking a bullshit property balloon will not do it. It just shows how fucked up the market was in the first place. Even without this overseas money laundering Vancouver would be a premium city with expensive real estate.

But 3 million for a 33 foot lot with a piece of shit stucco house from the 1940s? It had to stop. As far as the foreign speculation goes, good riddance. And everybody can stop playing the race card, it's not about race. It's about money.

So you think the increase in property prices should stop, right? So you think also that the equity value of your house should remain the same or in fact go down and that is going to happen when government interferes with the market. Ten years from now, when you or your children decided to sell your house and you or them won't make anything from it, 100% you will blame the government. Property is a commodity. Its determined by supply and demand nothing else and for government to come in is just wrong. The last time I heard, its still a free country. If people don't like it, then for God sake, don't sell! Be the solution not the problem then.

 

[westcoast555]

So you think the increase in property prices should stop, right? So you think also that the equity value of your house should remain the same or in fact go down and that is going to happen when government interferes with the market. Ten years from now, when you or your children decided to sell your house and you or them won't make anything from it, 100% you will blame the government. Property is a commodity. Its determined by supply and demand nothing else and for government to come in is just wrong. The last time I heard, its still a free country. If people don't like it, then for God sake, don't sell! Be the solution not the problem then.

No, I think that the local market should not be distorted by overseas speculation from mostly criminally gained wealth that is a result of corrupt businessmen and officials embezzling money and hiding it in BC.
You can take 30% out of the Vancouver real estate market and it's still an expensive, premium market.

Houses typically appreciate but at a reasonable rate, using the housing stock of a city so rich foreigners can make money speculating is bad policy. We live here, some regulation is perfectly reasonable. And housing stock is not something that should be exposed to foreign markets without any control, it's too disruptive. I don't like government intervention most of the time but in this case it's justified.

 

[Kojio]

Its about time the government did something. All that dirty money flowing overseas to Vancouver is totally fucking up the locals.

 

[westwoody]

Looks like we have a poor realtor just trying to survive....let's take up a collection.

 

[se7landrover97]

Looks like we have a poor realtor just trying to survive....let's take up a collection.

Hahahah!! I am not a realtor, my friend. I only own one property and that is my home. And I am dependant of the equity of my home for my retirement. Something that probably you do not understand maybe because you are rich man. And if you check my other post about Vancouver properties, I stated that i don't like realtors as well coz they are the one making the money and jacking up the prices. Advising people to buy at higher price and selling at lower price. And bringing/marketing our real estate overseas at the detriment of locals.

We are supposed to be open minded and give our opinions on these 15% transfer tax issues and learn from discussions not to insult someone you hardly know. Get a life, my friend.

 

[huggzy]

Hahahah!! I am not a realtor, my friend. I only own one property and that is my home. And I am dependant of the equity of my home for my retirement. Something that probably you do not understand maybe because you are rich man. And if you check my other post about Vancouver properties, I stated that i don't like realtors as well coz they are the one making the money and jacking up the prices. Advising people to buy at higher price and selling at lower price. And bringing/marketing our real estate overseas at the detriment of locals.

We are supposed to be open minded and give our opinions on these 15% transfer tax issues and learn from discussions not to insult someone you hardly know. Get a life, my friend.

If you were solely depending on out of control, skyrocketing real estate prices to fund your retirement - which would be at the expense of your fellow Canadian have-nots and future generations of Canadians - instead of actually EARNING your retirement, then you made a big mistake.

Our country belongs to all Canadians (all land is owned by the crown which at the end of the day is supposed to represent all Canadians as opposed to foreigners) - not to just a subset of you that can profit from it at the expense of the rest of everyone else.

 

[se7landrover97]

No, I think that the local market should not be distorted by overseas speculation from mostly criminally gained wealth that is a result of corrupt businessmen and officials embezzling money and hiding it in BC.
You can take 30% out of the Vancouver real estate market and it's still an expensive, premium market.

Houses typically appreciate but at a reasonable rate, using the housing stock of a city so rich foreigners can make money speculating is bad policy. We live here, some regulation is perfectly reasonable. And housing stock is not something that should be exposed to foreign markets without any control, it's too disruptive. I don't like government intervention most of the time but in this case it's justified.

Yes, you are correct in what you said. But remember 70% of Canadians are property owners who have mortgages and loans from banks and when the government comes in and start changing the rules in the middle of the ball game because 30% of the people wants it is very dangerous. If those mortgages and loan defaults then we have a big problem. Government can probably make restrictions like what Australia did, only allowing foreign buyers to purchase new build houses, etc. Let them come in and buy the new house here and create more jobs. Anyway, they can afford it. Let progress continue and allow what you have to flourish. 15% transfer tax is not the answer, thats all I am trying to say.

 

[huggzy]

Yes, you are correct in what you said. But remember 70% of Canadians are property owners who have mortgages and loans from banks and when the government comes in and start changing the rules in the middle of the ball game because 30% of the people wants is very dangerous. If those mortgages and loan defaults then we have a big problem. Government can probably make restrictions like what Australia did, only allowing foreign buyers to purchase new build houses, etc. Let them come in and buy the new house here. Anyway, they can afford it. Let progress continue and allow what you have to flourish. 15% transfer tax is not the answer, thats all I am trying to say.

This isn't about what 30% of people "want". This is about 30% of people who are struggling to survive in a country we were born in, we pay taxes in, and we all have a right to live in. You can only cash in if you sell your home to foreign money (which most of it is laundered Chinese money) AND MOVE AWAY. So at the end of the day why should we give a shit about you if you have no intentions of staying. Because you can't stay here if you are going to cash in.