According to Peter Simpson, not too many home buyers are waiting until the referendum on the harmonized sales tax is finished before making their purchase.
“I think people are smarter than that,” said the president and CEO of the Greater Vancouver Home Builders’ Association.
In a phone interview with the Georgia Straight, Simpson related that his group has been encouraging buyers to make the leap because rising property values and a likely increase in interest rates down the road may cost them more than having to pay the HST.
“If they are in the market for a home for their family now, I think they’re kind of looking at the HST as being an annoyance,” Simpson said.
The 12-percent HST applies only to new homes and not to previously occupied houses being resold. However, the provincial government apparently hasn’t done a good job informing people about this. “I had somebody, who’s a very smart person, tell me the other day or at least expressed surprise that the HST did not apply to resale homes,” Simpson said.
I remember when there were no applicable taxes on a real estate purchase!
Posted on Vancouver Real Estate-Vancouver Homes For Sale
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