The Government rolled out a better way to save for your first home here in British Columbia. In my personal and professional opinion, I believe it is a way better program than the RRSP for first-time homebuyers. So luckily for you, here is the breakdown of what the FHSA is, who qualifies for it and why it is so beneficial to you. 

What is an FHSA?

A first home savings account (FHSA) is a registered plan allowing you, as a first-time home buyer, to save for your first home tax-free (up to certain limits). You will be able to open an FHSA starting April 1, 2023.

Who can open an FHSA?

You must meet all of the requirements in order to open this account: 

• must be 18 years and older;

• a resident of Canada;

• a first-time homebuyer 

How to open an FHSA:

• through your bank, credit union, trust or insurance company;

• you will need your social insurance number, date of birth, and any other supporting documents that may be requested from you 

What are the different types of FHSAs? 

• a depository FHSA

  • an account (with a financial institution) that holds money, term deposits, or guaranteed investment certificates (GICs)

• a trusteed FHSA

  • a trust (with a trust company as trustee) that holds qualified investments such as money, term deposits, GICs, government and corporate bonds, mutual funds, and securities listed on a designated stock exchange

• an insured FHSA

  • an annuity contract (with a licensed annuity provider)

• self-directed FHSA

  • if you prefer to build and manage your investment portfolio by buying and selling different types of qualified investments.

When can you close an FHSA account? 

• the year following your first qualifying withdrawal

• you turned 71 years old 

• the 15th anniversary of making this account 

What is your first qualifying withdrawal? 

All of the following conditions must be met in order to qualify for a withdrawal: 

• you must fill out Form RC725, Request to Make a Qualifying Withdrawal from your FHSA and give it to your FHSA issuer

• you must have a written agreement to buy or build a qualifying home with the acquisition or construction completion date of the qualifying home before October 1 of the year following the date of the withdrawal

• you must not have acquired the qualifying home more than 30 days before making the withdrawal

• you must occupy or intend to occupy the qualifying home as your principal place of residence within one year after buying or building it

How much can you contribute? 

Your FHSA participation room in the year that you open your first FHSA =$8,000.

The lifetime FHSA limit =$40,000.

Please note that the contribution room does not start until you open the account and it will carry over to the next year if not used up. You may open more than one FHSA account so be careful not to over-contribute. 

There is a ton of information and ruling regarding this new account so I highly suggest you read more about it on the Canadian government website and reach out to your financial institution. 

Happy Savings! 

And as always, please feel free to reach out with any real estate inquiries. 

Your local real estate agent, 

Nina Djuric

778.908.1440

soldwnina@gmail.com

If you are lucky enough to have a patio or an outdoor space you can decorate and make your own then buckle up because I’ve got some hot tips to spruce up your patio. Especially if you are on a budget or don’t feel like hiring a landscaper.

1. Make it hot

Let’s pretend it is not Juneuary and that this is not the reason to be putting in a fire pit, outdoor fireplace, or heater. Enjoy those long summer nights outside huddled up to a fire pit roasting some marshmallows.

2. Add some greenery

Container plants (or shh… even fake ones) impact a space enormously. If you don’t know how to take care of plants – don’t worry – get yourself a succulent. Those things are hard to kill.

3. Light it up

To add ambiance, get yourself some string lights. They come in different styles to match your outdoor theme. If you are not into string lights, try spotlights or path markers. Make them solar or LED.

4. Flooring

This is dependent on your space and what type of theme you are going for but flooring matters! Get yourself some easy-install patio deck tiles or a nice large outdoor rug. It totally changes the layout and is a great way to incorporate a pop of color.

5. Include comfy seating

Outdoor seating is a must! Spruce it up with some statement pillows and a throw blanket. We are going to want to settle in for the night. Perhaps you have enough space for a hammock, a porch swing, or an outdoor egg chair. Make sure it is weatherproof if not covered.

6. Thirsty? Hungry?

A beverage cooler is much needed. If you have everything you need outside then you won’t have to get up to go inside and get it. Fill it up with your favorite drinks and don’t forget water! Also, add a grill or BBQ- everything tastes better when it is cooked outside.

Drop a comment below if you have done these already or what you’re most excited to get done to make your patio an awesome outdoor space for you.

Click here to sign up for my SOLD WITH NINA Newsletter. The next volume is going out in 2 weeks. What you can expect: real estate news, advice, and tips along with a dash of lifestyle news and presale opportunities that you don’t want to miss.

Chat soon,

Nina

You are invited to join us and watch a play named Almost Maine by John Cariani– directed by the lovely Madison McArthur, president of Bard in the Valley.

Welcome to Almost, Maine, a place that’s so far north, it’s almost not in the United States. It’s almost in Canada. And it’s not quite a town, because its residents never got around to getting organized. So it almost doesn’t exist. One cold, clear, winter night, as the northern lights hover in the star-filled sky above, the residents of Almost, Maine, find themselves falling in and out of love in unexpected and hilarious ways. Knees are bruised. Hearts are broken. But the bruises heal, and the hearts mend—almost—in this delightful midwinter night’s dream.

It will be hosted at the Fort Langley Hall on January 26th, 27th, 28th, and 29th and on February 2nd, 3rd, 4th and 5th. 

All shows: 7 pm

Sunday shows are a matinee starting at 2 pm.  

Tickets go on sale Nov 20th for $35/each at bardinthevalley.com. Very limited tickets so act quickly! And luckily for you, if you head over to my Instagram @soldwithnina, I will be doing a giveaway for a pair of tickets. In order to enter, you will need to like my post, share to your story and tag a friend in the comments that you would like to go with. That equals one entry - you can only qualify for one entry. The pair of tickets will be for Saturday, Feb 4th and submissions will end Nov 30th. I will announce the winner on my Instagram on Dec 1st. 

About Bard in the Valley

Bard in the Valley (BIV) is a registered Charity with the goal to stage the works of William Shakespeare, with integrity and professionalism at an annual Festival each summer. In addition, every year, BIV offers youth theatre workshops for children, and BIV provides scholarships for families with barriers. This year BIV is doing its first winter production in hopes of raising funds for their summer mainstage show - Cymbeline!

This incredible non-profit organization brings together the community through theatre. I hope to see you there! 

As of January 1, 2023, there is a new real estate policy put in place meant to protect homebuyers. 12 months ago we saw the peak of the market where it was an extremely strong seller's market. Buyers were unprotected because in order to get an offer accepted, there needed to be no subjects or clauses in them. In other words, in order to get an accepted offer, you needed to put in a no-strings-attached, cash offer. 

Fast forward to 2023, the government decided to put in place something called a "Homebuyer Rescission Period (HBRP)". This is mandatory on all resale transactions (some exemptions apply). This is meant to protect you as a homebuyer and provide you with an exit if you need it. It is mandatory, which means it does not matter that you have subjects or clauses in your offer, this runs at the same time. So luckily for you, I have put together a Q&A to help you understand this new rescission period:

#1. What is the Home Buyer Rescission Period (HBRP)?

The HBRP provides buyers with an opportunity to rescind their contract to purchase certain residential properties up to three business days after an offer is accepted with a financial penalty. This rescission period applies to residential real property transactions regardless of whether a real estate licensee is involved in the transaction and cannot be waived by the buyer or the seller.

#2. How much is the rescission fee?

Buyers who exercise their right to rescind will have to pay a fee of 0.25% of the purchase price. For a $1,000,000 home, this would result in a $2,500 fee paid to the seller.

#3. What is meant by three business days?

The HBRP provides that the buyer must exercise their rescission right within three clear business days. Business days do not include Saturdays, Sundays or holidays. Holidays are defined within the Interpretation Act.

#4. What properties will be subject to the HBRP?

The policy will apply to the following types of structures:

• detached homes,

• semi-detached homes,

• townhouses,

• apartments in a duplex or other multi-unit dwellings,

• residential strata lots,

• manufactured homes that are affixed to land, and

• cooperative interests that include a right of use or occupation of a dwelling

#5. What are the exemptions to the HBRP?

The following types of properties are excluded from the legislation and the rescission period does not apply:

• residential property on leased land;

• leasehold interest in residential property;

• residential property that is sold at auction; and

• residential property that is sold under a court order or the supervision of a court

• assignment of contracts 

• presales/ pre-construction

Currently, we are in a balanced or buyer's market depending on the neighbourhood, however, when we do eventually see a seller's market again-- do you believe this protects you as a homebuyer? 

Let me know in the comments below!

And remember, I am always happy to help! 

Your local real estate agent, 

Nina Djuric

778.908.1440

soldwnina@gmail.com

One of the biggest fears, rationales, objections, and reasons why buyers and sellers wait is because of timing the market. As you can expect, buyers usually want to buy at the best and lowest price and sellers usually want to sell at the best and highest price. I say the term “usually” because the best price sometimes isn’t what each party wants depending on their personal situation, financial situation, and other factors.

One of the biggest problems with timing the market is that you just simply can’t.

Why can’t you time the market? The problem why you can’t time the market is no one can know when prices have hit the absolute bottom until prices start going back up again, just like selling at the absolute top – you won’t know until the prices have already started to go down.

No one can perfectly time a market, but the good news is that having a real estate agent as your trusted advisor will be one of the best tools to help you find that ideal home with a great deal or on the selling side, get top dollar for your home with the right pricing and marketing strategies.

As a buyer, it is good to ask “Has the market dropped enough now to make a sensible purchase?” Likely yes – are you purchasing a home to flip it in the next year or two, or are you buying a home for long-term investment? Real estate is a cyclical industry and will always rotate from a buyer’s market to a seller’s market and keep cycling.

It is important to know that when real estate is held long-term, you are usually protected from short-term and cyclical changes.

You know the saying: what comes up, must come down and what comes down, must come up! (It’s science – Newton’s law!)

Please reach out with any questions. I encourage discussions on all things real estate. Happy to help, happy to educate!

Don’t miss out on any important real estate news, tips, advice, and investment opportunities by signing up for my complimentary #SOLDWITHNINA Newsletter.

Chat soon.

Your local real estate agent, Nina

Earlier in April, we heard the Department of Finance Canada come together and release their budget to help make housing more affordable and achievable for Canadians. Below I have highlighted their objectives to make it happen:

• First-time buyers:

  • A tax-free first home savings account. Save up to $40,000 – contributions and withdrawals would be tax-deductible. Tax-free in/out.

  • Extending the first-time buyer incentive to March 31, 2025. Read more about this incentive here.

  • Doubling the First-Time Home Buyers’ Tax Credit amount to $10,000.

• Property flippers:

  • Introducing a new rule to fully tax their profits as business income if the home is sold before owning for a full year. This applies to residential properties sold on or after Jan 1, 2023. Exemptions would apply for certain circumstances.

• Protection for ALL buyers:

  • The government will create and implement something called a “Home Buyers’ Bill of Rights” in an effort to ban blind bidding and subject-free offers.

• Foreign buyers:

  • Banning anyone who is not a Canadian citizen or permanent resident from purchasing non-recreational residential properties in Canada for two years.

• Living with family:

  • To support multigenerational homes, the government is introducing something called a Multigenerational Home Renovation Tax Credit. Providing up to $7,500 in support for constructing a secondary suite for a senior or an adult with a disability. This will start in 2023.

There are a few more important highlights that the budget is outlined to support such as investing in housing for Indigenous communities, rapidly building more homes and support to end homelessness. View the entire list here.

What are your thoughts on the new federal budget for 2022?

Chat soon,

Nina