While much of the spotlight has been on foreign buyers scrambling to beat Tuesday’s deadline before a 15 per cent punitive tax kicks in, sellers too are feeling frustrated.
At least one man is willing to take a hit to sell his Surrey home to a foreigner.
A post on Craigslist for a home in the Panorama Ridge area reads: “Foreigners Welcome – will reduce 10 per cent”.
— Emily Lazatin (@EmilyLazatin980) July 31, 2016
Seller Vikram Bajwa says his home has been on the market for 45 days.
“I want to give them a message that they are welcome in British Columbia and not as per se that they’ll be penalized if they come and invest here. People get confused by these penalties. In order for us to sell, it’s okay, we can reduce that amount.”
“People are holding on the offers because of all this drama and the confusion by the government as per the laws and the Real Estate Board restructuring, so everybody is on hold.”
Bajwa has listed his 2,500 square foot home for $1.3 Million.
He’s had two offers so far from locals, below asking price.
Realtor Aaron Jasper says it’s the first he’s heard of a seller willing to automatically slash 10 per cent off the asking price since the government announced the new foreign buyer tax.
“On my team, none of our clients have broached that subject with us. I think everyone is watching the market to see what if there are any ripple effects there will be. Even right now, it’s still a sellers’ market.”
“For anyone who is selling a home, whether it’s a house, townhouse or condo, to be monitoring market conditions real closely. I think things can turn on a dime with big announcements like we recently had on the foreign tax.”
Jasper says it’s too soon for sellers to panic.