Buying a new Salt Spring home

It’s not as if there are hundreds of new Salt Spring homes on the market but every year there are 10 or so.  Some are build as spec home and some are owner built homes.

new home

In BC all builder who build new homes must be licensed with the Homeowner Protection Office and all new homes must have 3rd party warranty insurance. Here is a brochure about the mandatory 2-5-10 home warranty insurance GuideToHomeWarrantyInsurance

If your buying a new Salt Spring home you would want this subject to clause to be in the contract of purchase and sale (along with the usual home inspection, state of property title, etc);

Subject to the Buyer confirming by (insert date) that the Seller is duly licensed pursuant to the Homeowner Protection Act and that the mandatory warranty insurance pursuant to that Act is in place.
This condition is for the sole benefit of the Buyer.

If the home is an owner built home and less than 10 years old the sellers need to provide an “Owner-Builder declaration and disclosure notice” prior to getting an offer. The home many not be sold for one year after completion.  BuyingOrSellingOBHomeBulletin

If you are going to buy a home owner built home you would want this term (a term is not a subject to clause) in the contract of purchase and sale;

The Buyer acknowledges having received a copy of the Owner-Builder Declaration and Disclosure Notice dated(insert date),  prior to making this offer, in accordance with the Homeowner Protection Act and regulations.


Ever new homes in BC are registered in the data base below. All you need to do is enter in the address or the property PID number and you can find out who built it.  PID numbers are available for almost all homes listed on PCS.  Try it.



All new homes are subject to 5% GST and or transitional HST 2013-02-18-transition-rulesF41BDD22E20F  On April 1, 2013, the Harmonized Sales Tax (HST) was replaced by the federal Goods and Services Tax (GST) and the BC Provincial Sales Tax (PST).  If the home was started before April 2013 HST might be chargeable on some of the home.

GST is exempt from most used homes.  An example of when GST would be charged on a used home would be if the home was used as a vacation rental more than as a residence.

All BC homes and or properties are subject to the dreaded property transfer tax at 1% of the first 200k and 2% of the balance.




Scott Simmons




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