BC RE

BC Real Estate Info - facts are facts, opinions are my own

[BC RE @BCREfaq]

@ChrisKFilms @KaiserSozeii @rdavemohr @MelissaLMRogers More taxes are great for garnering votes. Rarely, if ever, result in an increase in supply and decrease in prices. After the last few new taxes (2018) we saw entry level home prices increase and multi million $$ home prices decrease.

[BC RE @BCREfaq]

@geoeconomic10 @therealmmr8 @JShamess @jasonpereira Additional land taxes just minimize development and the cost just gets passed down to home buyers. Same trend going back 40 years (at least on the west coast). Rental rates are up as much as 40% in parts of BC because new construction has slowed down so much.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee https://t.co/IWVoK4Nzrd

This provides a good summary. Municipal budget documents will provide more information on it as well. The point in the year when assessments are done will have zero bearing on total tax liability.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee Again, no. This is completely incorrect.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee The calculations are provided on municipal websites and there is lots of detail in their budget bylaws. Best way to think of your assessed value is a way for municipalities to determine your share of the tax burden.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee Your asmt likely went down more than the avg. This year the average increase in Burnaby is 10% and budget increase is 2.95%. generally, if your asmt went up by 10% your taxes will be ~2.95% higher. If your asmt went up by 5% or less you will likely see your taxes decrease.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee No. It would have no impact to taxes.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee Here is the Vancouver budget. https://t.co/fPwDJ5t93d

Their draft budget is requesting $1,107,622,000 (pg42). This will get divided by the total assessment base to determine tax rates. If the assessments drop by 50% the tax rate will go up proportionately to meet budget.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee That is incorrect. Municipalities set their tax rates based on budget. Without a change to the budget, lower or higher assessments across the board have no impact on total taxes payable. Simplistically tax rate = total budgetary needs divided by total assessment base.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee Because there is less data. What is the benefit of using December?

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee I think you are making the assumption that only sales in July are being looked at. Sales in March/April/may are all included. Looking at this last year, if an earlier date was used the values would even be higher because the market peaked earlier in the year.

[BC RE @BCREfaq]

@RWong1975 @bcassessment @barryjmagee Higher volume of sales in summer = more data to set accurate assessments. The assessments could be 50% lower than they are right now but municipal budgets would not change so the tax rate would just increase.

[BC RE @BCREfaq]

@deltadude3266 @bcassessment Doesn't work like that. Municipalities set mill rates based on their budgets. Assessments could be 50% lower and taxes would remain the same because municipal tax rates would increase. The purpose of assessments is to apportion taxes in a fair manner.

[BC RE @BCREfaq]

@AdamWylde @HockeyAgent1 Doesn't exemption only apply if the have lived in canada 3 of last 4 years?

[BC RE @BCREfaq]

@JosephF35921078 @OneMrAndrew @jesse_kleine

[BC RE @BCREfaq]

@GarlickyMatter @OneMrAndrew @jesse_kleine It’s for fairness purposes. Assessed values by BCA to determine apportionment of taxes. They use market value because it’s based on actual sales so easier to dispute/support. Each municipality then sets their budget and apportions it according to assessed values.

[BC RE @BCREfaq]

@OneMrAndrew @jesse_kleine That’s untrue. municipalities receives the final assessed values and THEN set their tax rates. If everyone’s assessment dropped by 50% the tax rate would increase to the point where municipality meets their budget needs.

[BC RE @BCREfaq]

@PK_TUN247 @jesse_kleine Values are based on July 1st. 2 years ago when the market was rising most properties were selling at 20-25% above assessed values. https://t.co/O9VcpvPS9M

[BC RE @BCREfaq]

@MizzzAlia That’s a development property. That whole pocket is getting redeveloped into high density housing. Price is reflective of that.

[BC RE @BCREfaq]

@AlertSoul @Realtor_Lex @jesse_kleine Doesn’t make much of a difference what BCA does. Could drop the last 3 0s off every assessment but the municipal budget would not change. Assessment down mill rate up taxes same.