Happy August, everyone – we hope you have been enjoying the month as much as we have and also enjoying the BEAUTIFUL sun while we have it, whether it is on a boat somewhere or riding the EAGLE COASTER at Cypress Mountain.
The month of August historically has always been a month where first-time home Buyers tend to start taking more action towards buying their first property; probably because they have finally saved enough, or there are lots of options because of how hot the market is, regardless, it is an exciting time!
The excitement that comes with Buying a home for the first time is uncanny, and nowadays, there are so many financial assists out there (both federal and provincial) that can REALLY help you out financially; and just like grandma and grandpa say, every penny counts.
So we are making it easy for you; here are some grants, credit plans and programs that can give you some extra income when Buying for the first time!
PROPERTY TRANSFER TAX (First-Time Home Buyers Program)
This is a great program as it reduces/eliminates the amount of property transfer tax you pay when you Buy for the first time! If you are a couple or duo and one person does not qualify, and the other does, only the percentage of interest that the first-time Buyer has in the property is eligible.
As an example, if you had acquired 60% interest and someone else acquired 40%, but you only qualify, only your share (60%) would get the exemption.
HOME BUYERS’ PLAN (RRSP Program)
This program allows you to withdraw from your RRSP (Registered Retirement Savings Plan) to purchase a home! The federal government, as of 2019, increased the withdrawal limit to $35,000, which could be your whole downpayment (if 5% is put down) if you find a place below $500,000 or be a significant contributor to anything listed above that.
For more information, click here.
GST CREDIT (Federal Tax Program)
This is a credit that not too many first-time Buyers know about but can be a great helper if you qualify! Given as a quarterly payment, the GST/HST credit helps with lower and more modest incomes to help offset the GST/HST they pay. This is an option when you file your taxes, so make sure you check the box when doing them!
Learn more about the credit here.
BC CLIMATE ACTION TAX (Provincial Government Credit)
A tax credit that helps you offset the impact of the carbon taxes paid by you or your family, which will be paid out to you by the Canada Revenue Agency. Combined with a GST credit (if applicable), you will receive these payments four times a year, and how much you get will depend on the size of your adjusted family income. Adults can now get a maximum of $193.50, and children can now get a maximum of $56.50.
To see if you are eligible for this tax credit, click here.
Four GREAT programs that can add up and ease the financial burden that comes with Buying a home, and that “distant dream” of becoming a homeowner can actually turn into a reality before you know it!
If you read through these and said, “hey, I had no idea about that,” or “hey, I think we may qualify for that one,” give us a call, and we would be more than happy to answer any questions you have and even see if you qualify!
We love working with first-time Buyers, so if you know any, shoot them our way, and we will reward you with our referral program because your referral is the biggest compliment we could ever get!
Thanks for taking the time to read – and we look forward to hearing from you and handing you the keys to your very first place!
We are always up to something, so make sure you keep up-to-date with us on Facebook, Instagram, and LinkedIn!
Have a great rest of your summer, and we will speak to you again in the fall!
KIM WHITTALL (604) 720-3659 | WHITTALLREALESTATE@GMAIL.COM
SEAN WHITTALL (604) 880-9400 | WHITTALLREALESTATE@GMAIL.COM