BC’s new out of province speculation tax could lead to a sizeable drop in home prices.
Real estate company Royal LePage has released a report that claims the new tax is likely to convince many to sell off their vacation properties.
The company claims that this will lead to a drop in BC’s recreational housing prices, estimating a 2.8 percent drop to an average of around 530 thousand dollars by September.
The new tax will see Canadians living outside of BC but owning properties in the province pay 1 percent higher taxes, and foreign investors face a 2 percent higher rate by next year.
