Strata - the normal "freehold" ownership where the owner owns the unit plus a portion of the common areas with the rest of the owners. (Most Common in Vancouver)
Leasehold - the land is owned by a Corporation, Government, or Native Band which holds a "Master" lease on the land with an expiry period. There is a usually another lease payment required with the monthly maintenance fees. The buyer will only own improvements in the home. Once the lease expires, ownership reverts back to the Corporation which owns the land.
Co-Op - the buyer owns shares in the building with exclusive rights to the suite.
What is Property Transfer Tax and are there exemptions?
You pay Property Transfer Tax when you purchase or acquire an interest in a property. The tax must be paid when you register changes to a certificate of title with the Land Title Office. For example, a change may include adding or deleting a name from the title.
Property Transfer Tax is different from property tax. You pay property tax on an annual basis for services you receive from your local government, even if no money changes handsExemptions - 1st time home Buyers that meet the following requirements;
•For registrations on, or after, February 20 2008, the fair market value threshold for eligible residential property is $425,000.
A proportional exemption is provided for eligible residences with a fair market value of up to $25,000 above the threshold (i.e. up to $450,000).
What happens to my deposit while I'm waiting for the sale to close?
The Real Estate Services Act requires that a deposit cheque of $5,000 or more received by a REALTOR® must be submitted to the brokerage office and deposited to brokerage trust account.
This means when you give ABC Realty a deposit cheque on a home, it is held in a brokerage trust account until the sale completes, for a minimum of 30 days, and will be applied towards the purchase price of the property. Brokerages hold trust monies as impartial stakeholders on behalf of the parties, and trust monies cannot be paid out of the account without the agreement of both parties. If your original offer includes a clause that interest accrued on trust monies was part of your agreement, you will be entitled to the interest once the property sale completes. Otherwise, under the Real Estate Services Act, the interest accrued is sent to the Real Estate Foundation, a non-profit organization which funds charitable works.
What's the difference between Assessed Value and Market Value?