If you ask 3 people about the new HST in BC and how if affects their home purchase or sale chances are you will get 3 different answers. Here is a quick guide on how HST will affect you when purchasing or selling your Kamloops home.
The Home Seller:
• You will have to pay HST on any of the goods and services that you would have had to pay GST on before like legal fees and commissions.
• For all resale homes, the buyer will not pay HST when purchasing your home, unless the property is a rental property where the previous owner deferred the HST. On the surface buyers may find it more appealing to purchase previously owned homes to avoid paying the HST. However, new homes will still have securities/warranties that will be attractive to Buyers considering the maintainence costs of homes (roof replacement, hot water tank, furnace, etc).
The Home Buyer:
• Like the home seller, you will have to pay HST on any goods and services like your legal fees, home inspections, etc.
• When purchasing a previously owned home, you will not pay HST on the sale price, unless it is a rental property and the HST has been deferred by the previous owner.
•You are eligible for rebates depending on the value of the home. The amount of the rebate will be depend on the price of the home. To get more information about the HST click here. To go straight to a HST rebate calculator click here.
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