Alberta’s new budget spares real estate market

Monday, March 30th, 2015

Jordan Maxwell

Alberta’s new provincial budget was rife with tax increases, including those relating to real estate, but agents on the ground say those fee increases aren’t likely to really impact the market. “Alberta right now is an interesting time,” says Duane Ritter, a sales rep in Edmonton. “I don’t really believe the budget will have any effect on real estate… It’s just going to take more money out of our pockets.” The budget, announced last Thursday, called for increases to many of the province’s taxes. Most notably, Alberta has done away with a flat 10 per cent tax, instead adding two brackets for those earning more than $100,000 in taxable income. The greatest potential impact to real estate, however, is an increase to the land title and mortgage registration fees. As the Calgary Herald reports, those are expected to spike to $1,230 on a $500,000 property. That’s a four-fold increase from the previous fees of $290. “I don’t think there’s anything major that came into the budget that’s going to deter real estate sales,” says George Bamber, a broker/owner in Calgary. “It’s another expense that people don’t really want to incur, but it’s going to be the cost of doing business.” Read more here

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