It doesn’t surprise many that Vancouver is in the midst of a major housing crisis. In response, the government stepped in this past year with a new tax to try and combat the issue.
In November of 2016, the City of Vancouver declared a new tax for owners of empty properties. As a result, owners had until July 1st of 2017 to find renters for their vacant home or else they would be fined. If owners fail to declare the status of their properties by February 2nd of 2018, they’ll be hit with a hefty $250 fine. In addition to that fine, they would also pay any additional fines for having vacant homes.
The city is also setting up enforcement for those who submit false declarations. The fine for a false declaration will carry a staggering $10,000 penalty.
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Not only have empty homes contributed to a rise in rental costs, but the number of Airbnbs has also made less space available for rent. Even certain historical areas, such as Main Street’s Little India and Chinatown, are slowly losing business and shrinking year by year.
Will The Empty Homes Tax Be Enough?
While many people are happy that action is being taken against owners of these vacant homes, many believe the government isn’t doing enough. The city stated that in February 2017 there were 25,000 empty or under-occupied properties in Vancouver.
Some argue that there may be ways around the fine, and that people may be able to lie about the status of their property. Others worry that 1 percent of the home’s assessed value simply isn’t enough of a fine, as many of these owners are tremendously wealthy.
Do you think that the empty homes tax will help curb Vancouver’s housing crisis? Do you think that it would be better if the penalty was higher, or if there was stricter enforcement? What do you think the city needs to do to make Vancouver an affordable choice?
Sound off in the comments below!
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