The Taxman Cometh: Understanding Vancouver’s Property Taxes and How They Affect You

Marci • June 6, 2014

When it comes to owning or purchasing Vancouver real estate, it’s important to understand property taxes and how they are calculated, as well as how they will affect you. There are annual property taxes to consider, as well as property taxes that are applicable upon the purchase of real estate. Property tax rates may also affect your mortgage in Vancouver, and should be discussed with your broker. Here are some components of Vancouver’s property taxes to help you understand them and how they affect you.
The Taxman Cometh- Understanding Vancouver's Property Taxes and How They Affect You

Proponents of the General Tax Levy

The general tax levy is applicable to every $1,000 of your property’s assessed value. The City of Vancouver, along with five other institutions—namely BC Government, Metro Vancouver Regional District, Municipal Finance Authority, BC Assessment, and TransLink—receive part of their annual revenue from property taxes. In 2013, the total tax levy was $3.79 for every $1,000 of the assessed property value.

Assessed Property Value Components

When it comes to discovering what the assessed value of your property is in order to determine your property taxes, two components are taken into account: the land value and the actual property (or improvement) value. Land assessment averaging is implemented into this process, which offers temporary relief to property owners by adjusting tax rates over a number of years in order to phase-in a tax increase.

Reasons for Increases to Your Property Taxes

If you’ve noticed an increase in your property taxes this year, you’re likely wondering about the cause. There are several common reasons why property taxes might increase. One explanation may be that there has been an increase in your property’s assessment value, perhaps as the outcome of renovations or additions to the home that have resulted in its increasing market value. Other explanations could be that there has been an increase in utility charges, there are new cost-shared improvements in your area, or there has been a change in your available homeowner grants.

Property Transfer Tax: Tax on Purchase

Aside from regular annual property taxes that can be found on your tax assessment and vary depending on your location, there is also another property tax that is charged at the time of purchase. This is called the Property Transfer Tax, which equates to 1% on the first $200,000 of the fair market value of the property, and 2% on the remainder. This provincial tax is payable by the buyer, unless they qualify for the exemption. PTT exemption is available to first-time buyers who are purchasing a home up to $475,000, with a tiered discount up to $500,000.

If you still find yourself confused about Vancouver’s property taxes, how they are calculated, or how they specifically affect you, consider taking the time to talk to a professional. Whether it’s your mortgage broker or your realtor, real estate industry professionals have the ability to help considerably. For more neighbourhood-specific information on property taxes in Vancouver, email us your information and your questions today.

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Bank of Canada Holds Rate at 2.25% — March 18, 2026

By Marci Deane • March 18, 2026
The Bank of Canada announced today that it is holding its target for the overnight rate at 2.25%, with the Bank Rate at 2.5% and the deposit rate at 2.20%. For anyone watching the mortgage market — whether you're renewing, purchasing, or simply keeping an eye on borrowing costs — here's a breakdown of what was announced and what it may mean for you.

Is Now the Right Time to Buy? A Look at Canada's 2026 Housing Market

By Marci Deane • March 17, 2026
For many Canadians, the dream of homeownership has felt like a moving target. After years of market volatility, shifting interest rates, and economic uncertainty, you might be wondering: is 2026 finally the year to make a move?

Everything You Should Know Before Buying a Home

By Marci Deane • March 11, 2026
Thinking About Buying a Home? Here’s What to Know Before You Start Whether you're buying your very first home or preparing for your next move, the process can feel overwhelming—especially with so many unknowns. But it doesn’t have to be. With the right guidance and preparation, you can approach your home purchase with clarity and confidence. This article will walk you through a high-level overview of what lenders look for and what you’ll need to consider in the early stages of buying a home. Once you’re ready to move forward with a pre-approval, we’ll dive into the details together. 1. Are You Credit-Ready? One of the first things a lender will evaluate is your credit history. Your credit profile helps determine your risk level—and whether you're likely to repay your mortgage as agreed. To be considered “established,” you’ll need: At least two active credit accounts (like credit cards, loans, or lines of credit) Each with a minimum limit of $2,500 Reporting for at least two years Just as important: your repayment history. Make all your payments on time, every time. A missed payment won’t usually impact your credit unless you’re 30 days or more past due—but even one slip can lower your score. 2. Is Your Income Reliable? Lenders are trusting you with hundreds of thousands of dollars, so they want to be confident that your income is stable enough to support regular mortgage payments. Salaried employees in permanent positions generally have the easiest time qualifying. If you’re self-employed, or your income includes commission, overtime, or bonuses, expect to provide at least two years’ worth of income documentation. The more predictable your income, the easier it is to qualify. 3. What’s Your Down Payment Plan? Every mortgage requires some amount of money upfront. In Canada, the minimum down payment is: 5% on the first $500,000 of the purchase price 10% on the portion above $500,000 20% for homes over $1 million You’ll also need to show proof of at least 1.5% of the purchase price for closing costs (think legal fees, appraisals, and taxes). The best source of a down payment is your own savings, supported by a 90-day history in your bank account. But gifted funds from immediate family and proceeds from a property sale are also acceptable. 4. How Much Can You Actually Afford? There’s a big difference between what you feel you can afford and what you can prove you can afford. Lenders base your approval on verifiable documentation—not assumptions. Your approval amount depends on a variety of factors, including: Income and employment history Existing debts Credit score Down payment amount Property taxes and heating costs for the home All of these factors are used to calculate your debt service ratios—a key indicator of whether your mortgage is affordable. Start Early, Plan Smart Even if you’re months (or more) away from buying, the best time to start planning is now. When you work with an independent mortgage professional, you get access to expert advice at no cost to you. We can: Review your credit profile Help you understand how lenders view your income Guide your down payment planning Determine how much you can qualify to borrow Build a roadmap if your finances need some fine-tuning If you're ready to start mapping out your home buying plan or want to know where you stand today, let’s talk. It would be a pleasure to help you get mortgage-ready.