The provincial government will be raising the threshold for the homeowner grant by $50,000 following the release of the annual property assessments.
The figures, collected by B.C. Assessment, reflect home values as of July 2017, but since many properties saw an assessment increase, the government is now changing who can qualify for the grant.
LISTEN: The B.C. Homeowner’s Grant threshold has been raised to $1.65 million
The change means that anyone with a property assessed at $1.65-million or less can qualify for the basic homeowner grant of $570 if it’s the owner’s principal residence.
The break on property taxes increases to $845 if the homeowner is 65 or older, or has a disability.
WATCH: Assessment shock: Will it affect your Home Owner Grant?
The province says the threshold increase – up from $1.6-million last year – will make sure the same number of homes qualify for the grant.
At the beginning of 2017, the then B.C. Liberal government increased the threshold from $1.2 to $1.6-million following a jump in assessment values.
The new government has hinted more measures to tackle housing affordability are expected in February’s provincial budget.
But a UBC economist who focuses on real estate believes the plan will only deepen Metro Vancouver’s affordability crisis.
Speaking on CKNW’s Steele & Drex Show, Tom Davidoff said the issue is that home buyers need help.
“Once you have a low-tax policy in, or a tax-subsidy policy in, that just increases the value of these properties. People about to buy don’t win, and if it’s a condo or single family home that you’ve owned for any length of time, no, you’ve made a huge financial windfall.”
The province expects 91 per cent of homeowners will be covered by the grant, around the same amount as last year.
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