Catching a wave in a sea of opportunity, there’s bound to be a red-herring or two. Richard Brunt, a Victoria resident, responds to a recent Times-Colonist article, “Vast majority of Island home buyers are local”.
The Victoria Real Estate Board opposes the vacancy and speculation taxes, because “most buyers are local.” This is nonsensical.
The speculation and vacancy taxes only apply to non-residents. If the buyers really are local, no one would have to pay the taxes, and the Victoria Real Estate Board shouldn’t care about it.
Or could it be that they suspect a portion of the $5 billion being laundered annually through B.C. real estate is finding its way to Victoria and surrounding regions?
Or could it be they know our precious housing is often purchased by investors and speculators, multiple home owners, or worse still: wealthy retirees from elsewhere who use homes a few weeks or months per year, pay no B.C. income taxes, and enjoy our vast public amenities for free?
Or could it be they recognize that, according to solid research from Simon Fraser University and the University of B.C., the number of foreign buyers drastically exceeds that estimated by various real estate boards?
The vacancy and speculation taxes are designed to ensure our housing is used by local people who want to live, work, pay income tax and contribute in our region.
If buyers are truly local, the real estate board has nothing to worry about.
Additional reading:
“Vast majority of Island home-buyers are local, survey of agents finds”, Andrew Duffy, Times Colonist, August 1, 2019 https://www.timescolonist.com/real-estate/vast-majority-of-island-home-buyers-are-local-survey-of-agents-finds-1.23903257
“Report calls region’s housing market vulnerable”, Andrew Duffy, Times Colonist, August 6, 2019 https://www.timescolonist.com/real-estate/report-calls-region-s-housing-market-vulnerable-1.23907978?utm_campaign=magnet&utm_source=article_page&utm_medium=related_articles
“Metro Vancouver housing market no longer ‘vulnerable’, but Victoria still at risk: CMHC”, Johanna Connolly, Western Investor, August 1, 2019. https://www.westerninvestor.com/news/british-columbia/metro-vancouver-housing-market-no-longer-vulnerable-but-victoria-still-at-risk-cmhc-1.23903145
Mile Zero Mirror 