First Time Home Buyers (FTHB) status should not be confusing, but it is.
If you are lucky enough to find the property these days that is under $500,000.00 and you never owned property before that could be considered as your principal residence, you may be qualified to be a First Time Home Buyer.
Please see full info on this government link:
Q&A on Common Myths and misconceptions regarding FTHB:
- I did not own a property for 10 years now, do I get my First time home buyers status back – NO
- I was previously on title as 1% owner only, does it mean that I am still a First time Home buyer – No, you no longer qualify.
- I owned rental property before, but I never lived in it, am I still a first Time home buyer?- yes, as long as you and property qualifies under the criteria on the link provided above.
- I heard that Property Transfer Tax (PTT) exemption is now on the homes up to $750,000.00, is it true?- No, BC Housing is providing second mortgages to the First time Buyers. If the purchase of the property under $750,000.00, First time home buyer may qualify for a second mortgage with no interest for 5 years (https://www.bchousing.org/news?newsId=1479148447000) . This amount is extremely confusing to many buyers, as rule for the purpose of exemption from paying PTT tax is up to $500,000.00 and is prorated to $525,000.00. So, to summarize, you are FTHB for the purpose of exemption from PTT if property is under $500,000.00. You are FTHB for the purpose of getting second mortgage with BC housing if property is under $750,000.00, but you may be facing paying PTT as a result of higher price.
Please give my office a call if you have any more questions