Why We Think BC Should Waive Its 20% Foreign Buyer Tax on New Homes in the Fraser Valley

BC charges a 20% tax on foreign buyers in all six cities we work in, and Ottawa's plan to let foreign buyers purchase new homes does not change that. Our view is that BC should waive the 20% on brand new homes that a family buys to live in. This post explains why, using the province's own numbers, and what it means for you today if you are selling a house or helping family buy.

It is an opinion, and we mark it as one. The rules described here are the published rules as of November 9, 2026. Before you make any decision, confirm your own case with your lawyer or notary and your accountant.

What is BC's 20% tax, and where does it apply?

The tax is called the additional property transfer tax. A foreign national, foreign company or taxable trustee pays 20% of the fair market value of their share of a home. It is paid on top of the regular property transfer tax that every buyer pays.

It applies in five regional districts. Two of them cover the FRIVE area:

City	Regional district	20% tax applies?
Surrey, Langley, Maple Ridge, Pitt Meadows	Metro Vancouver	Yes
Abbotsford, Chilliwack, Mission	Fraser Valley	Yes

Source: Government of BC, additional property transfer tax, last updated June 20, 2025.

The tax is charged only on the foreign national's share. Here is what that looks like on a new townhouse. These are illustrations of the 20% rule, not prices from any listing.

New home value	Foreign national's share on title	20% tax
$900,000	100%	$180,000
$900,000	50%	$90,000
$900,000	30%	$54,000

20% of the share's fair market value, per the Government of BC. Illustration only.

What did Ottawa propose on November 5?

We covered the full budget in our earlier post. The short version: the federal ban on foreign buyers would stay on existing homes until January 1, 2029, and new homes would be exempt. It is a proposal, and Parliament still has to pass it.

The budget also says this, on page 203 of the Budget 2026 document:

"We will continue to support a range of policy measures, such as those levied by other levels of government, which address housing market pressures, including speculation."

In our reading, Ottawa will not ask BC to drop its tax. So if a family abroad is going to be able to buy a new home here at a fair cost, the decision sits with the province.

How many Fraser Valley sales have a foreign buyer?

The province publishes these numbers by regional district. For the Fraser Valley Regional District, the answer is that it mostly does not say. The province holds back a figure when a small number could point to one buyer.

In most months, the Fraser Valley count is marked "not released". The province's data notes say a figure is held back when it could disclose personal information. In Metro Vancouver, where the count is published, the share of sales with a foreign buyer is small. The current numbers are in the regional district monthly tables for 2025 and 2026.

What this tells us is simple. Few home sales in our area involve a foreign buyer, and in the Fraser Valley district the number is often too small to publish. A waiver on new homes would reach a small group of families, and we think it would cost the province little.

Why do we think BC should waive it on new homes?

We have three reasons.

The first is Ottawa's own reason for the exemption. The budget says exempting new homes would unlock "additional investment in new housing supply." A 20% tax on the same buyers works against that. New homes are built to be sold, and an empty unit at completion helps nobody.

The second is families. Some families here have relatives in two countries. One case we think about is a parent or grandparent abroad who wants to help a child or grandchild buy a home here, and some of them hope to live in it part of the year. Today the 20% pushes these families to keep the parent off title. The parent puts money in and has no legal share of the home. That is a poor result for the parent and for the child.

The third is that BC already accepts the idea. A confirmed BC Provincial Nominee who buys a home to live in pays no 20% tax. A foreign national who becomes a permanent resident or citizen within one year of the transfer can get the tax refunded, if they moved in within 92 days and lived there as their main home for a full year. Both rules treat a person who lives in the home differently from a person who leaves it empty. We are asking for the same idea on new homes.

What are we asking the province to do?

We are asking for two things, in this order:

1. Waive the 20% on a brand new home that nobody has lived in, when it is bought as a principal residence, from the day Ottawa's new-home exemption takes effect.
2. At the least, waive it for families: a parent or grandparent who buys together with a child or grandchild who is a citizen or permanent resident and lives in the home.

We would keep the 20% on resale homes and on homes bought to sit empty. Our ask is narrow on purpose.

What does this mean if you are downsizing?

If you are selling a detached house you have owned for years, the federal ban still covers existing homes. Budget 2026 proposes to keep it until January 1, 2029. So the people who can buy your house stay the same, and nothing in this post changes how you price or sell it.

If you are buying a new condo or townhouse for yourself, and you are a citizen or permanent resident, the 20% tax does not apply to you. Our post on new condo or resale for downsizers covers the tax rules that do.

The case where this matters is a family purchase across two countries. Say you are downsizing in Langley and want to buy a new townhouse together with your sister, who lives abroad and plans to move here. Under today's rules, her share would carry the 20% tax. A waiver for new homes bought to live in would change that.

What should you do today?

Treat the rules as they are now. Nothing has changed in BC, and the federal exemption is still a proposal.

If a family member abroad wants to help with a purchase, the simplest route today is a gift toward the down payment, with that person off title. We explain how a gift works in giving your child a down payment. If you are thinking about putting a family member on title, read our guide to co-buying with family and speak to a lawyer first.

Do not sign a contract that only works if the law changes. And if you agree with us, write to your MLA and to BC's Minister of Finance. Name the home your family wants to buy and the person who would share it.

Key Takeaways

• BC's 20% foreign buyer tax applies in Surrey, Langley, Maple Ridge, Pitt Meadows, Abbotsford, Chilliwack and Mission.
• Budget 2026 proposes to let foreign buyers purchase new homes, but it does not change BC's tax.
• Few home sales in Metro Vancouver have a foreign buyer. In the Fraser Valley district, the count is often too small to release.
• We think BC should waive the 20% on new homes bought as a principal residence, starting with families.
• If you are selling a house you have owned for years, nothing here changes who can buy it.

Frequently Asked Questions

Does BC's 20% foreign buyer tax apply in the Fraser Valley?

Yes. The tax applies in the Metro Vancouver and Fraser Valley regional districts. Surrey, Langley, Maple Ridge and Pitt Meadows are in Metro Vancouver. Abbotsford, Chilliwack and Mission are in the Fraser Valley Regional District. All of them are covered.

Does Budget 2026 remove BC's 20% tax on new homes?

No. The 20% additional property transfer tax is a BC law. Budget 2026 proposes to let foreign buyers purchase new homes under the federal ban, but only the Government of BC can waive or change its own tax.

How is the 20% tax worked out when only one buyer is a foreign national?

The tax is charged on that buyer's share of the home. If a parent abroad holds 30% of the title, the tax is 20% of 30% of the home's fair market value. The shares held by citizens and permanent residents are not charged.

How many Fraser Valley home sales have a foreign buyer?

Few, and in most months the province does not publish the count. In the Fraser Valley Regional District it often holds the number back to protect buyers' privacy, because a small number could point to one buyer. The province's property transfer tax data has the latest monthly tables.

Can a foreign buyer get BC's 20% tax refunded?

Yes, in one case. A buyer who becomes a permanent resident or citizen within one year of the transfer, moved in within 92 days and lived there as their main home for a full year can apply. The application must be made before 18 months from the transfer.

Who is exempt from BC's 20% tax today?

A foreign national confirmed under the BC Provincial Nominee Program pays no 20% tax on a home they buy to live in, if they claim the exemption. They can claim it once. Family members who are also foreign nationals still pay on their own share.

Does the federal ban stop me selling my house to a foreign buyer?

For now, yes, with some exceptions. Budget 2026 proposes to keep the ban on existing homes until January 1, 2029. If you sell a house you have owned for years, the people who can buy it stay the same while the ban lasts.

Can my parent abroad help me buy a new home in the Fraser Valley?

Yes. The simplest way today is a gift toward the down payment, with the parent off title. Your lender will ask for a gift letter and papers that show where the money came from. Speak to a lawyer before putting a foreign national on title.

When would a waiver start if BC agreed?

That would be the province's decision. We are asking for it to start on the same day as Ottawa's new-home exemption, so families face one set of rules. Today there is no waiver, and no BC announcement about one.

Who should I write to about BC's 20% tax?

Your MLA and BC's Minister of Finance. A short letter that names the home your family wants to buy, and the family member who would share it, gives them a real case to read.

Sources

• Government of BC, Additional property transfer tax for foreign entities and taxable trustees, last updated June 20, 2025
• Government of BC, Refunds for the additional property transfer tax, last updated March 28, 2024
• Government of BC, Property Transfer Tax Data 2025, regional district monthly table
• Government of BC, Property Transfer Tax Data 2026, regional district monthly table, updated November 3, 2026
• Department of Finance Canada, Budget 2026, Chapter 3, November 5, 2026

Data sourced November 9, 2026. Budget measures are proposals until Parliament passes them. Verify current rules before you make a decision.

Next Steps: Work with FRIVE

We suggest writing down the tax on every share of the title before anyone signs. If you are selling a house and buying something smaller, start with a free home value, or send the FRIVE team a note and we will go through your plan with you. You can also read more on our downsizing page.