Condo Ad Booklet – “The Provincial Government will send you a tax free cheque for $10,000 if you buy a qualifying condo by March 31, 2013 and you are a first-time home buyer.”

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– above from a set of images sent by ‘Ordinary Average’, via e-mail, 22 Jan 2013, and who adds:
“Today in my mailbox I found the following booklet. Pages 4-5
state “Borrow the down-payment from your favourite uncle and pay him back when you get the $10,000!”. Condo advertisements have become a weekly occurrence in my mailbox lately, this one blows me away.”

UPDATE [hat-tip bullwhip]:

7869358.bin
Doug Bigg and his daughter Krista check out a condo developer’s brochure that makes unauthorized use of the provincial logo.

“A major condo developer has been reprimanded by the B.C. government for the unauthorized use of the provincial logo in a promotional brochure for a new development in Langley.
Quadra Homes agreed Thursday to delete all references of the government’s registered logo from its website and to destroy the remaining promotional brochures for the development, named Yorkson Creek, which carried the B.C. logo on its front and back page.
The issue came to head on Wednesday after The Province contacted the Ministry of Finance asking about the 28-page, glossy brochure, which began arriving on doorsteps in the Langley and Abbotsford areas within the last two weeks.
“British Columbia [the logo is used] is handing out $10,000 in cash … ” read the cover and back of the brochure.
“Borrow the down payment from your uncle and pay him back when you get the $10,000,” read another page.
Another read: “We have the qualifying condos and will fill out the paper work for you.”
The $10,000 refers to the government’s first-time homebuyer’s bonus, which was detailed in the first few pages of the brochure. The rest of the pages are dedicated to the benefits of buying at Yorkson Creek.
“It is not just misleading, it is wrong,” said Doug Bigg, who received the brochure last week. “I interpreted it as taxpayers’ dollars being used to advertise condos for a multi-million dollar corporation. If I thought that, then I’m sure most other people would think that.”
But the government had nothing to do with the brochure, the Ministry of Finance said. And on Thursday, the company was ordered to remove all unauthorized references of the logo.”

– from ‘Major developer reprimanded over unauthorized use of provincial logo to help sell condos’, The Province, 24 Jan 2013

37 responses to “Condo Ad Booklet – “The Provincial Government will send you a tax free cheque for $10,000 if you buy a qualifying condo by March 31, 2013 and you are a first-time home buyer.”

  1. Our tax dollars at work.

  2. What are the actual regs on the 10k incentive?

    I thought it was just a 10k tax write off?

  3. Desperate times call for desperate measures.

    Don’t buy condos now. With all the supply coming down the pipes, developers cannot hope to sell 2BR condos for half a million in Metrotown

  4. Example: cost of condo $300k
    12% hst= $36k
    Hst rebate for principal res: $15k (est)
    $10k rebate for fthb
    So buyer still has to pay govt $10k

    Example for same purchase after $10k rebate ends and when hst changes back to gst.

    Gst on condo: $15k
    Gst rebate: $5k
    Buyer has to pay total $10k
    Still cheaper to wait even if prices don’t slip further.

    • Run the math on $1MM+ properties pre and post April 2013. On a related note construction of $1MM properties looks to be increasing in the past couple of months. I expect part of that is trying to time the sale coincident with the removal of the HST.

      For all those who were pro-HST in the last referendum, it appears unlikely that high-end builders/speculators were among them.

  5. The construction industry is going to be in a LOT of trouble. As a previous construction related guy, I can tell you there are a lot of very high salaries and expectations that will need to get adjusted. One of the keys to survival is to know when one is in trouble. Most of the RE construction businesses will waste massive resources to regain the pre-crash volume, which will make them more vulnerable. It is hard to start pounding the pavement after a decade of ever more.

    • How much of the Canadian construction workforce is undocumented? Funny thing happened in the U.S., so much of it is undocumented the fallout didn’t hit the unemployment figures until very late in the crash.

      (Shirtless with a rapier, dude. That’s always how I picture you.)

  6. pfffft! … http://tinyurl.com/as3dqm5 … pssst! … shrinkage alert follow-up … http://tinyurl.com/almwj2y

  7. What a joke. Translation: Taxpayer money to be used to bail out big business (note that its just for new condos and not any home). More of your tax dollars will now be “invested” to back high risk mortgages taken out by underqualified borrowers who will purchase assets that are sure to go down in value, in order to save RE developers asses from the mal-investment created by them in the first place. Any losses resulting from condo buyers inability to carry mortgage will result in losses on the government balance sheet, which will necessarily be compensated for by higher taxes and/or reduced funding into other areas taxpayer where money would nornally go to such as retirement benefits, medical insurance, gov’t salaries, schools, or just general working capital to keep the province running. That said, I would like to take this opportunity to thank in advance our government for exposing me, my family, and especially my family’s future to this awsome investment opportunity.

    • We Sold…
      … for the very reasons and more… that you stated.
      my property taxes in Vancouver went from $4000 to $24,000 on my commercial/residence with no improvements period of any kind from 2008 – 2012.
      The kicker was when the B.C.Supreme Court voice told me we “….(you) don’t own our property we only rent it from the “crown” and they ( the Crown) can charge whatever value and property tax (Quit Rent for the ill informed) they( the Crown) wish”. “If you have a problem with that you can appeal it to the Supreme Court of Canada. We only deal in Administrative Law and the Constitution of Canada is irrelevant to us.” Actual words from the Crown here.

      Silver

  8. Meanwhile… back at the PresentationCentre, Clark is doing his, “Frankly, I don’t give a damn about your objections!” best to TapDance yet another PropertyVirgin into ‘TheClose’….

  9. nosey neighbour

    wonder why my neighbour paid 2.5 million for a 1940’s bungle jan 2012 and listed it 8 months later for 2.5 million. never moved into .( ham ) either she is washing money or she realized she hit the top of mkt and wants out. shes either a crook or she knows its over for van r.e.its been for sale for 4 months. good news is that chinese new year is almost here and all the houses is this city will sell at record prices.

  10. nosey neighbour

    bungalo i mean

  11. To qualify for this offer you must:

    1) be poor, have no savings, or have no income stream
    2) have below average iniuition when it comes to making important decisions
    3) be totally unaware of current RE market trends
    4) have lived in a basement during the last year

    and most importantly,

    5) have thought about buying in the past but decided it was too expensive.

    If you answered yes to at least three of the above five questions, Congratulations!, you probably qualify and it behooves you to contact a Realtor today.

  12. This is dumb. Why doesn’t the govt give me a bonus for starting a new business. Why do we continue to subsidize the real estate and construction industries at the expense of others.

  13. theboywhocriedbubble

    10,000 whole dollars ! Wowee zowie ! Sign me up for a life of modern day serfdom.

    • It is serfdom. Think of mortgages as a means to shift capital from the working and middle classes to the wealthy. Think of interest as a kind of tax that you sign up for voluntarily.

      Bubbles create a unique opportunity for one group of investors to realize tremendous gains at the expense of another less experienced and less financially savvy group of owners

      The conclusion of the end of a bubble then creates a whole new opportunity for those who benefitted from sales during the boom to double down and reinvest back in the market at a good discount. Anyone with the brains can participate if they understand how the cycle works.

      This is the new landlord class. A great deal of property will be changing hands in the coming years as it shifts from weak hands to strong and we again see balance in the market place.

      It is why I am trying to tell people that they must think of rents now before buying. If a property cannot justify itself based on revenues you do not touch it. Look South where opportunity beckons in the meantime and come back once the dust and smoke clear in Vancouver post crash.

  14. What I find amazing is BC Liberals airing taxpayer-paid commercials bellowing how fiscally responsible and free-enterprise they are, yet they constantly introduce these market-distorting giveaways. All they will do is throw more FTB under the bus by making them think the 10K is “free money” and there is no downside to their buying a new condo before March 31st. I am a free market small “c” conservative and I will vote for whomever can get rid of my BC Liberal MLA… I’ll hold my nose and vote NDP if I have to.

    • Oh yeah….that will help!!! HaHaHaHaHa

      HaHaHa…..LAUGH OUT LOUD!!!

    • I am voting NDP. I can’t bleeping wait. I’ve barely survived 12 long years of Liberal rule.

    • Wow, someone who feels the way I do. When this first came out I told everyone I knew that the Liberals now lost my vote. I’ll vote NDP. And I hate the NDP. There is absolutely NO EXCUSE for giving homebuilders a free $10,000 on each of their homes. Is there nobody with a clue in the government that can see that homebuilders would jack prices exactly $10k because the homedebtor can now afford it? You are single handily blowing up the bubble even more. I have never entertained a government protest in my life, but when this came out, I could think of nothing but praying that someone, somewhere, would organize a rally against these imbeciles so that I can protest unbelievably horrible legislation. I am so fucking incredibly steamed at this BS. Rant done.

      • I’m betting that some time between now and the election, Christy will whip out some more goodies from her bag of tricks. I figure anything to help out the RE bulls (and more specifically HAM) should do wonders for her numbers. Now that we are getting a useless award show, how about some taxpayer funded helicopter tours and Whistler junkets to ring in the New Year? Gung Hay Fat Choy!

      • Funny you should say that BullWhip29…

        [TheProvince] – Christy Clark hopes for a Bollywood ending at election time

        …”The original idea to bring a Bollywood film extravaganza to Vancouver likely occurred to Premier Christy Clark in June 2011, when she was in Toronto for a speech.

        Clark stayed at the ritzy Royal York Hotel — the same hotel where a number of Bollywood movie stars were embedded for the International Indian Film Academy Awards event.

        The hotel was crawling with Indian film stars, producers, media and various hangers-on. Limos lined the curb outside, where fans and paparazzi clamoured for a glimpse of the Bollywood glitterati.

        Clark was intrigued to learn the event was bankrolled to the tune of $12 million by the Ontario government, then in pre-election mode.

        I’m certain Clark became even more intrigued after Dalton McGuinty’s Liberals managed to defy the pundits and pollsters and win re-election in Ontario that fall.”…

        http://tinyurl.com/byayvz3

  15. I’m with you Bo. The latest ‘BC is the only place to avoid anything adverse since 2008’ advert is absolutely sickening. As a relatively recent expat from England, I’m starting to wonder if the ‘Conservative’ moniker is the result of a Republican/Democrat policy switch?

  16. This is no different than what was going on before the crash in the U.S. The money flow is different, but the outcome: unqualified borrowers getting into mortgages is exactly the same.

  17. I got one of these. Luckily I read this forum so I threw it immediately in the recycle bin instead of reading it. Thanks VREAA!

  18. “This unauthorized use must cease immediately,” part of a letter sent to the company read. “Failure to do [so] in a timely manner may lead to further action on our behalf.”

    – and how exactly are they going to go about this after the brochures have been mailed out? What, are they going to cancel any sales that may have been generated as a result of this mailout? As if. The co wouldn’t even disclose how many brochures were mailed out and to whom they were mailed.

    * * * * * * * * * * * * * * * * * * *

    “Financial reports filed with Elections B.C. list a John Redekop and a Peter Warkentin as regular donors to the B.C. Liberal Party. Collectively, they have donated just under $60,000 since 2005. Both have also contributed to the election and leadership campaigns of current Minister of Finance Mike de Jong.”

    – I wonder if the gov’t is simply doing a little damage control after receiving numerous complaints from the public (but will wind up doing nothing at the end of the day)?

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