Vancouver calls for two new taxes to tether soaring house prices
The Canadian Press
Published Wednesday, January 6, 2016 8:21AM PST
VANCOUVER - For the second time in less than a year, the City of Vancouver is floating the idea of two taxes that could calm Metro Vancouver's superheated housing market.
The levies include a luxury tax aimed at wealthy buyers and a speculation tax to keep owners from driving up prices through quick resales.
But the provincial government remains cool to the suggestions.
Finance Ministry officials have said the taxes might discourage foreign investment and undermine British Columbians trying to profit from the sale of their home.
Acting Vancouver mayor Raymond Louie says those fears are unfounded because 2016 assessments are up sharply and the average price of a detached home in the city has now topped 2.5-million dollars.
He believes the proposed taxes could help create more affordable housing.