Here are a few facts about how HST will affect home purchases after July 1st 2010.
For more detailed information please contact Jennifer Sanderson at Century 21 In Town Realty at www.jennifersanderson.ca
1) HST does not replace the current PPT (property transfer tax). PPT is a separate provincial tax on ALL property transfers. The rate is 1% on the 1st $200,000 and 2% on the balance of the purchase price, and it is charged on the price before GST/HST is charged.
2) If you rent a parking space, the HST will apply as of July 1st, 2010. GST applies before July 1st, 2010.
3) HST will be applied to newly constructed homes, not resale homes.
4) There are a range of services that will include HST after July 1st, 2010. They include but are not limited to: home renovations, appliances, heating and electrical bills, closing costs such as appraisals and inspections, realtor and lawyer fee's, as well as movers costs.
5) There are New Housing Rebates available through the Provincial Government. Detailed information on how these rebates apply is available through Provincial government websites.