Foreign buyers looking to park their money in Metro Vancouver will be hit with an additional 15% property transfer tax next week.
It’s part of the government’s plan to cool down the region’s sizzling market, but at least one neighbourhing municipality says it’s worried it will feel the impact.
Squamish Mayor Patricia Heintzman says the district will be the first stop for foreign buyers once they feel the heat from the new punitive tax.
“If we’re putting it in the Lower Mainland, we would have to consider putting it in Squamish. The repercussions of not being included will be dramatic for Squamish.”
She admits, housing isn’t an issue in Squamish but it will be.
“Obviously as well we wouldn’t likely have access to the revenue to create affordable housing, we kind of get the double whammy on that.”
While Heintzman admits Metro Vancouver is battling a much larger housing problem but being outside of the tax zone, she says the district is feeling the ripple effect from metro Vancouver and it’s driving real estate prices.
She also says Squamish won’t have access to future revenues from the tax which the province has said will go to affordable housing, and is calling on the provincial government to be considered for future decisions.
The tax kicks in August 2nd.