Concerned About Rising B.C. Property Taxes Near Transit Hubs? Here’s Help!
December 2, 2024
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Longtime homeowners in B.C.’s transforming neighborhoods now have a powerful tool to protect themselves from escalating property taxes.
Published Dec 02, 2024 • Last updated 33 minutes ago • 4 minute read
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A house for sale near the 29th Avenue SkyTrain Station in Vancouver on Nov. 28.Photo by NICK PROCAYLO /10106534A
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For countless homeowners in Metro Vancouver, the rise in property values is a source of anxiety—especially with the recent transit-oriented development laws that could send taxes skyrocketing. But here’s the good news: there’s a lifeline!
The B.C. law that establishes automatic transit-oriented zones within 800 meters of transit stations is designed to boost development potential and, consequently, land values. This is true, even for homeowners who have no intention of selling.
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But fear not! B.C. Assessment has introduced an option allowing homeowners to apply for an assessment based on the actual use of their property, rather than the inflated potential value.
This provision has already proven to be a game changer for residents on Cambie Street, who experienced dramatic increases in property values when Vancouver greenlit high-density housing in their area.
While the current development market has hit a slump due to uncertainty surrounding municipal regulations, experts like Paul Sullivan caution homeowners to stay informed. “When the market rebounds, we could see property values soar,” he warns.
What is the provision?
This remarkable provision allows long-term residents in shifting neighborhoods to apply for a special assessment that considers the property’s current use, which may be undervalued compared to its potential development value.
According to Bryan Murao, area assessor for the Lower Mainland, even simple situations—like a large lot that could be subdivided—can trigger the need for this assessment.
Who is eligible for a special assessment?
Homeowners who have lived in a residential property for at least 10 years and own a lot smaller than two hectares can qualify. However, it’s important to note that the local market must demonstrate that properties are valued more for redevelopment than for their current use.
How do homeowners apply?
If you believe you qualify, reach out to your local B.C. Assessment office to start the application process. Although there’s a November 30 deadline for the current assessment roll, don’t fret! Applications can be submitted until January 31 the following year, allowing many homeowners to benefit.
How big a difference can it make?
As highlighted by retired architect and developer Michael Geller, the financial implications can be significant. For example, a duplex assessed at just under $4 million for actual use compared to its neighbor valued at $7.6 million for potential development. Homeowners should be aware that higher assessed values can also mean a heftier tax bill, especially for properties exceeding $3 million.
“Owning a home in these zones is often compared to winning the lottery,” Geller notes. “However, if you want to stay put, that’s not the jackpot you’re hoping for.”
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This rewrite aims to be more engaging and persuasive, appealing to the American audience’s concerns and interests in property ownership, taxes, and community development.
