Housing Rights in Canada: What You Need to Know  

Canada does not have a law called the "Fair Housing Act" like the one in the United States. However, it does have strong **anti-discrimination laws** that protect housing rights. These protections are outlined in both federal and provincial/territorial human rights legislation, ensuring equitable treatment for everyone seeking housing.  

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Federal Protections  

Under the **Canadian Human Rights Act**, discrimination is prohibited in housing provided by federally regulated organizations. This includes situations where the landlord or housing provider falls under federal oversight. The Act protects individuals based on:  

• Race, color, and ethnicity  
• Religion  
• Age  
• Sex, sexual orientation, gender identity, and gender expression  
• Marital or family status  
• Disability  
• National or ethnic origin  

For example, a housing provider cannot deny a rental application or discriminate in any way based on these characteristics if the housing is federally regulated.  

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Provincial and Territorial Protections 

In Canada, housing issues are primarily governed at the **provincial and territorial levels**. Each jurisdiction has its own human rights code that protects individuals from discrimination in:  

• Renting or purchasing property  
• Accessing housing services  
• Living in housing complexes  

While protections are broadly similar across provinces and territories, there are some differences:  

• Alberta Human Rights Act: Prohibits housing discrimination based on race, color, religion, gender, age, disability, marital status, family status, source of income, and sexual orientation.  
• Ontario Human Rights Code: Includes specific protections for citizenship and receipt of public assistance.  
• British Columbia Human Rights Code: Protects tenants from discrimination in tenancy agreements.  

These laws ensure fair treatment, whether you're renting, buying, or living in a property.  

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Housing Rights for Indigenous Peoples 

Recognizing the unique challenges Indigenous peoples face, Canada has specific programs to address housing needs both on reserves and in urban areas. These programs aim to ensure equitable access to safe and affordable housing.  

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Examples of Prohibited Practices 

To understand how housing discrimination might occur, here are a few examples of prohibited actions:  

• Refusing to rent or sell a property to someone based on their race, family status, or disability.  
• Charging different rents or deposits based on ethnicity or cultural background.  
• Denying reasonable modifications to accommodate tenants with disabilities, such as installing ramps or other accessibility features.  

If you believe you've experienced discrimination, you can file a complaint with your province or territory's human rights tribunal or commission.  

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Writing “Buyer Love Letters” and Potential Issues 

When buying a home, some people write letters to sellers, often called "buyer love letters," to make their offer stand out. These letters typically share personal details or stories to connect with the seller emotionally. While not illegal, these letters can unintentionally lead to **human rights violations** if they reference protected characteristics.  

How They Can Cause Problems 

1. Protected Grounds:  

   Including personal details such as race, religion, or family size may inadvertently encourage a seller to base their decision on these factors. Examples include:  

•    Mentioning cultural or religious practices.  
•    Highlighting family status or disability-related needs.  

2. Risk of Discrimination:  

   Sellers are legally required to make decisions based on objective factors, such as offer price or terms. If a letter influences their choice based on protected grounds, it could lead to discrimination.  

3. Legal Consequences:  

   Competing buyers who suspect unfair treatment may file complaints against the seller, the real estate agent, or both.  

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What Buyers Can Do Instead  

If you want to make your offer more appealing, focus on factors unrelated to personal characteristics:  

• Highlight your offer’s strengths, such as price, financing, or conditions.  
• Share neutral details, like how much you admire the property’s design or location.  

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Your Rights and Next Steps

Canada’s human rights laws aim to protect everyone’s ability to find housing without fear of discrimination. If you feel your housing rights have been violated, contact your province or territory’s human rights commission. They can help you file a complaint and explore remedies such as financial compensation or policy changes.  

By understanding and respecting these laws, both housing providers and buyers can help foster a fair and inclusive housing market.  

As the housing market continues to evolve, several government policies introduced in recent years have shaped the way Canadians buy, sell, and invest in real estate. Here’s an updated overview of these policies and what they mean for Calgary buyers and sellers.

Anti-Flipping Tax

Starting January 1, 2023, the Government of Canada implemented an Anti-Flipping Tax to ensure that profits from properties held for less than 12 months are fully taxed as business income. This measure includes certain exceptions for unexpected life events, such as death, divorce, or disability.

What It Means for You:

For buyers: If you’re purchasing a property, understand that sellers may face higher taxes on quick resales.

For sellers: If you’ve owned your property for less than 12 months, consult a tax professional to determine if your sale qualifies for an exception.

Speculation Tax (GST/HST on Assignment Sales)

Effective May 7, 2022, GST/HST now applies to all assignment sales of newly constructed or substantially renovated residential properties. An assignment sale occurs when a purchase agreement is resold before the property has been completed or occupied.

What It Means for You:

For buyers: Ensure that assignment sales are transparently priced to account for this tax.

For investors: Understand the tax implications before engaging in pre-construction flipping.

Vacant Home Tax

The federal government introduced a 1% annual tax on foreign-owned underused housing to help increase housing availability for Canadians. This tax applies to certain properties owned by non-residents that are not occupied or rented out for most of the year.

What It Means for You:

For foreign owners: Review reporting deadlines and ensure compliance to avoid penalties.

For local buyers: This policy aims to increase housing availability by discouraging long-term vacancies.

Foreign Buyers Ban

A two-year ban on the purchase of Canadian residential properties by non-residents came into effect on January 1, 2023. This policy aims to prioritize homeownership opportunities for Canadians and curb speculative investments.

What It Means for You:

For buyers: Increased competition from foreign buyers may resume when the ban expires in January 2025. Stay informed about potential changes to this policy.

For sellers: The ban may impact demand in certain segments of the market, particularly high-value homes.

Benefits for Buyers in 2024

First-Time Home Buyers’ Tax Credit

This credit has been doubled, providing up to $1,500 in direct support to first-time home buyers to help offset closing costs.

What It Means for You:

If you’re a first-time buyer, ensure you’re claiming this benefit during tax season to reduce your overall costs.

Multigenerational Home Renovation Tax Credit

This refundable tax credit offers up to $7,500 for constructing a secondary suite for a senior family member or an adult with a disability.

What It Means for You:

Consider this credit when planning renovations to accommodate family needs or enhance your property’s value.

Tax-Free First Home Savings Account (FHSA)

Introduced in 2023, the FHSA allows Canadians to save up to $8,000 annually toward purchasing their first home. Contributions are tax-deductible, and withdrawals for qualifying home purchases are tax-free.

What It Means for You:

If you’re planning to buy your first home, take advantage of this account to maximize your savings.

Unlike the Home Buyers’ Plan (HBP), you don’t need to repay withdrawals, even if not used for a home purchase (though such withdrawals are taxable).

How These Policies Impact the Calgary Market

These measures aim to make housing more affordable and accessible while curbing speculative practices. In Calgary:

Anti-Flipping Tax: Helps reduce short-term speculation in the city’s fast-paced market.

Foreign Buyers Ban: Keeps more properties available for local buyers.

Vacant Home Tax: Targets underutilized properties, particularly in areas with high vacancy rates.

Benefits for Buyers: Provides financial relief and incentives, especially for first-time buyers and families considering multigenerational living.

Want to Learn More?

Our team at Greater Calgary Real Estate is here to help you navigate these policies and find the best opportunities in Calgary’s housing market.

Contact us today to discuss how these policies affect your buying or selling plans.

Sign up for our newsletter to stay updated on the latest real estate news and trends.

In a hot real estate market, receiving multiple offers can be both exciting and overwhelming for sellers. The opportunity to choose the best deal comes with the challenge of evaluating not just the price but also terms, contingencies, and other factors that may impact the outcome. For buyers, standing out in a competitive environment requires a strategic approach. This guide explores how to navigate multiple offers effectively while adhering to industry rules and best practices.

Dealing with Multiple Bids: Understanding the Rules

At Greater Calgary Real Estate, we follow multiple offer rules as outlined by the Calgary Real Estate Board (CREB) Rule 11.05 “Multiple Offer Communication Requirements” and the Real Estate Council of Alberta (RECA) guidance. These rules are designed to ensure transparency and fairness in the process. Here’s what sellers and their representatives must do:

Inform Competing Brokerages: When two or more written offers are received, the seller’s representative must notify all competing brokerages about the existence of other offers unless otherwise instructed in writing by the seller.

Disclose Buyer Representation Upon Request: Provide the names of the competing buyers’ representatives and their brokerages upon request.

Update Competing Brokerages: Inform all competing brokerages if any competing offers are withdrawn while negotiations are ongoing with other buyers.

Do Not Disclose the Existence of Multiple Offers: If the seller decides to disclose the existence of multiple offers, they must also notify all parties if one or more of the offers is rescinded.

These steps ensure transparency while protecting the seller’s interests and maintaining fair dealings among all parties.

Evaluating Offers: Beyond Price

When evaluating multiple offers, it’s important to look beyond the highest price. Sellers should consider:

Conditions and Contingencies: Offers with fewer conditions or contingencies, such as financing or home inspections, may be more appealing.

Deposit Amount: A larger deposit demonstrates financial commitment.

Closing Date Flexibility: Aligning with the seller’s preferred timeline can make an offer stand out.

Buyer’s Financial Stability: Pre-approved buyers are generally less risky. When working with a cooperating brokerage, we expect they are acting honestly. 

A balanced approach ensures that the chosen offer aligns with the seller’s goals and minimizes the likelihood of complications.

Buyer's "Love Letters" – Risks and Best Practices

In a competitive market, some buyers try to make their offers stand out by writing personal letters to the seller, often referred to as "Buyer’s Love Letters." While these letters may seem harmless, they pose significant risks under Canadian human rights and fair housing laws.

Key Risks:

Discriminatory Bias: Sharing personal details such as family status, religion, or ethnicity could unintentionally lead to biased decision-making by the seller.

Legal Implications: Sellers and real estate agents could face complaints or legal action for discrimination if decisions are influenced by such letters.

Best Practices for Buyers:

Avoid Personal Information: Focus on the property’s features and how it suits your needs, without referencing protected characteristics like family composition, religion, or ethnicity.

Strengthen Your Offer:

• Include a larger deposit.
• Provide a pre-approval letter.
• Offer flexible closing terms.

Example of a Neutral Letter:

“We love this home because of its proximity to work and schools. Its layout suits our lifestyle, and we can picture creating wonderful memories here.”

Best Practices for Sellers:

Focus on Objective Factors: Evaluate offers based on price, terms, and financial readiness, not on emotional appeals.

Consult Your Realtor: Work closely with your representative to assess offers fairly and legally.

As real estate professionals, I am committed to ensuring fairness and compliance, protecting both buyers and sellers throughout the transaction process.

How We Protect Your Interests

At Greater Calgary Real Estate, we are dedicated to safeguarding the interests of our clients while adhering to industry rules and ethical standards. Here’s how we help:

For Sellers:

Ensure all offers are presented transparently.

Provide expert guidance to evaluate offers beyond price.

Ensure compliance with CREB and RECA regulations.

For Buyers:

• Help craft competitive offers that focus on objective factors.
• Provide advice on navigating the legal and ethical considerations of multiple offers.

Navigating multiple offers requires careful consideration, transparency, and adherence to legal and ethical guidelines. By focusing on the objective elements of each offer and avoiding practices that could introduce bias, sellers and buyers can achieve the best outcomes in a competitive market.

If you have any questions or need assistance, feel free to reach out. We are here to guide you through every step of this process to ensure a smooth, fair, and successful

Selling a home is an exciting journey, but it's crucial to understand the full picture when it comes to closing costs. As a seller, there are various fees and costs that can quickly add up, which can affect your bottom line. Having a clear understanding of these expenses ahead of time can help you avoid any surprises and allow you to make more informed decisions as you move forward.

In this blog, we’ll break down the key closing costs sellers typically face when selling a home in Calgary and provide an overview of a typical Seller's Net Sheet.

1. Real Estate Fees

One of the largest expenses when selling a home is the real estate commission. Typically, these fees are split between the listing agent and the buyer's agent.

- Listing Company Fee: As per your listing agreement, real estate fees are usually calculated as a percentage of the sale price. For example:

  - 7% of the first $100,000 of the sale price + 3% of the balance = Real estate commission

- GST: The Goods and Services Tax (GST) is applicable to real estate commission fees, adding to the overall cost of selling.

For example, if the sale price of your home is $500,000, your real estate fees could look like this:

Real Estate Fees (7/3 Split):

7% on the first $100,000 = $7,000

3% on the remaining $400,000 = $12,000

Total Listing Fees = $19,000

GST on Real Estate Fees (5%):

GST on $19,000 = $950

Total Listing Fees with GST = $19,950

2. Mortgage Payout

If you still have a mortgage balance, you'll need to pay it off upon the sale of the home. The amount owed will be determined by your mortgage provider. Additionally, there may be a payout penalty depending on the terms of your mortgage.

- Mortgage Amount: The balance owing on your mortgage will need to be paid from the sale proceeds.

- Payout Penalty: If applicable, this penalty could be for three months' interest or an Interest Rate Differential (IRD). Be sure to contact your bank for exact numbers.

3. Property Taxes

You’ll also need to account for property taxes. If you’ve paid property taxes annually, there may be an adjustment due based on the time of year you sell.

- Property Tax Payout: If you’re selling mid-year, there will be an adjustment for taxes that have already been paid for the year. The buyer will reimburse you for the period after the sale.

You may have taxes that are paid monthly through the Tax Installment Payment Plan System (TIPPS) or on an annual basis. Here’s an example of the expected adjustment:

- Property Tax Payout: $3,000 annually or $250 monthly TIPPS.

4. Additional Costs

Sellers often face several other additional costs, depending on the circumstances surrounding the sale. These include:

- Real Property Report (RPR): This survey is often required for closing. If you don’t already have an RPR or one that is up to date, the cost for a new one can range from $500 to $1,000.

- Insurance: You’ll need to maintain homeowner’s insurance until possession. If your home is vacant or abandoned, a special policy may be required.

- Condominium Fees: If you’re selling a condo, there may be additional costs such as condo document fees, special assessments, or levies. These should be reviewed thoroughly to ensure they are up to date.

5. Legal Fees

Lawyer’s fees are another part of closing costs. This typically includes disbursements related to title transfer and other legal requirements. The total cost can vary, but it's essential to consult with a lawyer to know exactly what to expect.

- Lawyer’s Fees: $1,000 to $1,500 for basic legal services (this varies depending on the complexity of the transaction).

6. Special Assessments or Levies

For condominium owners, it’s important to check if there are any special assessments or levies. These are additional charges that the condo board may levy to cover major repairs or improvements to the building. If these are unpaid, they will become your responsibility.

- Special Assessments/Levies: $500–$5,000 depending on the building.

The Importance of Accurate Estimates

As you can see, selling a home involves several financial considerations. Having a clear understanding of the various closing costs associated with the sale will help you manage your expectations and plan accordingly.

To ensure that you have an accurate picture of your financial situation, always consult with a real estate professional and a lawyer. They can provide you with a more detailed and personalized breakdown of costs based on your specific property and sale conditions.

By knowing the costs involved in the sale of your property, you can confidently move forward with your plans, whether that means purchasing a new home, investing in a different property, or using the proceeds for other goals.

Selling your home is a big financial decision. Understanding the closing costs involved can help ensure a smoother and more informed transaction. By working with a knowledgeable real estate agent and legal team, you can avoid unexpected costs and make the most out of your sale.

As we approach 2025, understanding the relationship between interest rates and Calgary's housing market is crucial for both sellers and buyers. Interest rates, particularly those set by the Bank of Canada, play a pivotal role in influencing buyer affordability and the overall dynamics of home sales in Calgary.

Interest Rates and Buyer Affordability

Interest rates directly affect mortgage rates, which in turn influence monthly payments and the total cost of purchasing a home. A lower interest rate reduces monthly mortgage payments, making homeownership more accessible to a broader range of buyers. Conversely, higher interest rates can dampen buyer enthusiasm due to increased costs.

Bank of Canada's Monetary Policy

The Bank of Canada has recently implemented interest rate cuts to stimulate economic growth. As of December 11, 2024, the central bank reduced its key interest rate to 3.25%, marking its second consecutive half-point cut. This decision aims to address weaker-than-expected economic growth and a softening labor market. CREB

Projected Impact on Calgary's Housing Market

Economists and real estate experts anticipate that these rate cuts will have a significant impact on Calgary's housing market in 2025:

Increased Buyer Activity: Lower borrowing costs are expected to encourage more buyers to enter the market, potentially leading to increased competition and faster sales. WOWA

Rising Home Prices: With increased demand, home prices are projected to rise. In November 2024, the average home price in Calgary was $615,692, a 14% increase from the previous year. WOWA

Regional Variations: While some property types may experience more significant price increases, others might see more modest growth. For instance, detached homes saw an 8.6% annual growth, while apartments had a 12% increase. WOWA

Implications for Sellers

For sellers, the current environment presents several opportunities:

Optimal Timing: Listing a property during a period of increased buyer activity can lead to quicker sales and potentially higher offers.

Strategic Pricing: Understanding the balance between buyer affordability and market demand is crucial. Setting a competitive yet realistic price can attract more buyers and facilitate a successful sale.

As we move into 2025, the interplay between interest rates and Calgary's housing market will be a key factor influencing home sales. Sellers should stay informed about economic indicators and market trends to make strategic decisions that align with their goals. Consulting with a knowledgeable real estate professional can provide personalized insights tailored to your specific circumstances.