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Property Transfer Tax Exemptions

Matthew Robinson • March 20, 2023

What qualifies for the First Time Home Buyer exemption?

Land transfer taxes can vary depending on the province or territory you're in. In Canada, the land transfer tax is typically calculated as a percentage of the purchase price of the property. The rates can range from 0.5% to 2.5%. It's important to research the specific rates for your province or territory before making a purchase. You can also check with your lawyer, real estate agent, or me, your mortgage agent.


In BC, the general property transfer tax rate is:

  • 1% of the fair market value up to and including $200,000
  • 2% of the fair market value greater than $200,000 and up to and including $2,000,000
  • 3% of the fair market value greater than $2,000,000


A qualifying First Time Home Buyer (FTHB) may be fully exempt up to $500,000 and may receive a partial exemption up to $525,000.


The definition of being a FTHB varies with each incentive. In this particular case, being a FTHB means you have never owned a home that was your principal residence before. This includes homes outside of Canada. If you are not sure if you are truly a FTHB it is smart to give your lawyer a call. If you do not know a great lawyer, we would be happy to introduce you to one.


Have questions? Reach out.

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