With respect to the recent article in the Vancouver Sun regarding pre-sale assignments some clarification is in order. The media has recently coined the term “shadow flipping,” to describe the practice of assigning pre-sale contracts in BC. This practice has been going on in BC for over 15 years. Firstly, there is nothing “shadowy” (or illegal for that matter) about assigning the contract of purchase before the completion date comes… Read More »Presale Vancouver: Understanding the practice of flipping pre-sale condo contracts
“I can be late for a date that ’s fine, but he better be on time!”– Shania Twain, Any Man of Mine *tribute to Shania Twain visiting Vancouver! We have all experienced the horrible consequences of being late on occasion. This especially holds true for real estate. Timing in a real estate conveyance is critical. In the standard CBA/BCREA contract of purchase and sale one of the important terms of… Read More »TIME OF THE ESSENCE clauses in Real Estate Contracts
Everything you ever wanted to know but were afraid to ask about SUBJECT CONDITIONS in Real Estate Agreements
First off, “what is a subject condition?” It is a condition in a contract of purchase and sale which must be removed or waived by the benefitting party before a certain date, failing which the contract will terminate. The benefitting party is usually the buyer, but it could also be the seller or both the buyer and seller. Subject conditions are essential because they allow a party to carry out their… Read More »Everything you ever wanted to know but were afraid to ask about SUBJECT CONDITIONS in Real Estate Agreements
The doctrine of caveat emptor (buyer beware) is applicable when purchasing a property in this province.
In the recent case of Wang v Shao (BCSC 2018 377) contains an extensive summary of the law concerning the disclosure of stigmatizing circumstances by sellers.
As I mentioned in previous blogs, there are at least 7 major risks associated with buying a pre-sale strata property in BC, summarized as follows: 1. Market Value (can go down by the time the project is completed) 2. Interest Rate (can go up by the time the project is completed) 3. Financing (rate holds can be lost by the time the project is completed, buyer may no longer qualify… Read More »“What do you mean, the price went up?” Risks of buying a pre-sale strata
I often advise my clients and their agents to never assume that anything in an MLS Listing is accurate. There is a disclaimer on the bottom of every listing to the effect that the information contained therein is believed to be accurate but not guaranteed. In many cases, the information is not accurate and as much of it (i.e. size, condition, age, views, GST status etc.) is NOT replicated in… Read More »Real Estate Tip #1: Never Assume Anything
The Vancouver Empty Homes Tax was signed by Mayor Robertson on November 16, 2016 for Class 1 Residential properties* located within the city of Vancouver pursuant to the Vacancy Tax By-Law no. 11674. Thus far no other municipality in BC has enacted similar legislation. Accordingly, by February 1, 2018 all owners of said residential properties must have submitted an Empty Homes Tax declaration (by phone or online), failing which they… Read More »Writing an Offer to Purchase to comply with the Vancouver Empty Homes Tax
I wanted to share a story with you from Vancouver Sun: Douglas Todd: Explosive B.C. court case details seven migration scams It took the court system to shed some light on the subterfuge which is routinely being practiced by foreign buyers in Vancouver. For the past ten years the BC liberals denied that such shenanigans were being pulled and in fact lauded such purchases as “foreign investment” in this province.… Read More »7 Migration Scams revealed in recent BC Supreme Court judgment (Fu v. Zhu BCSC 9)(2018)
Vancouver’s newest proposed Development Cost Charges; is there a democratic deficit in the city’s densification policies?
Yet another tax, in this instance called a “DCC” ( development cost charge ) is to be added to all new developments. This has been approved by the Translink Mayors’ Council to pay for future transit expansion and road infrastructure. It will vary from $2,100 for a house to $1,200 for a condo (but unlike the Foreign Buyers Tax it will also apply to retail ($1.00/sq.ft.), office ($0.50/sq.ft.) and industrial… Read More »Vancouver’s newest proposed Development Cost Charges; is there a democratic deficit in the city’s densification policies?
In the case of Wilke v. Jeong, (BCSC 2017 2131) released two days ago, Madame Justice Warren of the BC Supreme Court ruled that the enactment of the Foreign Buyers Tax did NOT did not provide a lawful excuse for the buyer, Kyeonga Jeong to fail to complete her purchase last year. In this case the buyer entered into a contract of purchase and sale on June 16, 2016 to… Read More »The (Unexpected) BC Foreign Buyers Tax: Can it relieve a purchaser of her obligation to complete?