Home Builder Canada Readers survey
newsletter
NP_lineHome Builder Magazine New Products Online
NP_line
Computers, Educational
&Technology

NP_line
Electrical & Mechanical
NP_line
Exteriors
NP_line
Finishes & Surfaces
NP_line
Kitchens & Baths
NP_line
Landscape & Design
NP_line
Speciality Products
NP_line
Structural
NP_line
Tools & Equipment
NP_line
Windows & Doors
NP_line
New Products home
NP_line



External Links: Associations & Governments. Builders & Renovators . Manufacturers & Suppliers

Home . About Us . Subscribe . Advertise . Editorial Outline . Contact Us . Current Issue . Back Issues . Jon Eakes



© Copyright - Work-4 Projects Ltd.

“Cooling off period” comes to a cold market

January 4, 2023



Despite a swiftly cooling housing market in British Columbia—with sales down about 50 per cent from a year ago and it now taking weeks for an average home to sell—the provincial government has introduced a “cooling off period” for homebuyers.
New B.C. legislation, the Home Buyer Rescission Period (HBRP), came into effect January 1, 2023. It allows buyers three business days to back out of a purchase contract for residential real estate.
Opting out doesn’t require a reason, but it does come at a price. Should a buyer exercise the right to rescind a contract, he or she must pay the seller 0.25 per cent of the purchase price.
As an example, if a buyer were to rescind a contract on a $750,000 home, they would be obligated to pay the seller $1,875.
If an offer is collapsed, the rescission fee is payable to the seller. If there is already a deposit held in trust with a lawyer or notary, the fee will be deducted and paid to the seller before the deposit is returned to the buyer.
Realtors must provide information to their clients about the HBRP by way of a specific form that needs to be included in their contracts. HBRP cannot be waived—even by mutual agreement.
There are exemptions to the legislation, however, including:

HBRP also applies to private sales. More information is available through the BC Financial Services Authority’s HBRP frequently asked questions website.



 


homeBUILDERcanada.com | Home BUILDER Magazine | Canada's #1 Information Source for Residential Home Builders and Professional Renovators

HB house ad sub
Home Builder Magazine Ask Jon Eakes
Home Builder current issue