Property Transfer Tax
You are charged property transfer tax when you make changes to a property’s title, including:
acquiring a registered interest in the property gaining an additional registered interest in the property becoming the registered holder of a lease, life estate, or right to purchase for the property.
The amount of tax you pay is based on the fair market value of the land and improvements (e.g. buildings) on the date of registration unless you purchase a pre-sold strata unit. The tax is charged at a rate of:
- 1% on the first $200,000,
- 2% on the portion of the fair market value greater than $200,000 and
- up to and including $2,000,000, and
- 3% on the portion of the fair market value greater than $2,000,000.
For example, if the fair market value of a property is $450,000, the tax paid is $7,000.
If you’re a foreign national or foreign corporation and the residential property is located in the Greater Vancouver Regional District, you also pay the 15% additional property transfer tax on the fair market value of your proportionate share.