WHEREAS property values continue to increase at a rapid rate in the Province of British Columbia; AND WHEREAS many long-term property owners continue to suffer loss of the Home Owner Grant due to market forces beyond their control; AND WHEREAS there is a general societal benefit to assisting all property owners in the Province of British Columbia to be able to afford to live on the properties they have chosen: THEREFORE BE IT RESOLVED that the Province be requested to ensure that Home Owner Grant regulations be made equitable and applied uniformly across the province and that the upper limit assessed value ceiling be removed.
MINISTRY OF FINANCE The government understands that British Columbias strong economy and rising property values can create challenges in terms of housing affordability. The Home Owner Grant HOG Program is designed to encourage homeownership by reducing the costs involved. The eligibility threshold is set, and adjusted when necessary, so that more than 95 percent of homeowners qualify for the full grant. Significant steps have been taken to improve affordability for the majority of homeowners. Last year the government raised the basic HOG amount to 570 from 470 and raised the additional grant for seniors, veterans and the disabled to 845 from 745. This was the first increase in the HOG amount since 1993. With this increase in grant amount and the increase in the threshold that was announced as part of Budget 2007, a partial grant is still available for those receiving the additional grant whose homes are valued more than 950,000 but less than 1.119 million in assessed value. In addition, the government has extended the eligibility requirements for the HOG to ensure that low income seniors who would qualify for the additional HOG but for the assessed value of their homes receive the additional grant. This measure ensures that low-income seniors who own and reside in properties that have increased in value beyond the threshold, but who may face financial hardship, receive some of or all the HOG. Each year as part of the provincial budget process, the Minister of Finance reviews HOG policy, including potential changes to the threshold. Any changes to HOG policy are considered within the framework of governments commitment to maintain a balanced budget and the need to fund key government priorities.