The Bank of Canada has lowered its key interest rate by 25 basis points to 4.25%, marking its third consecutive cut since June in response to easing inflation. While the bank is prepared to take larger steps if needed, the current pace of cuts is deemed appropriate given the gradual decline in inflation. Despite the cuts, some economists argue that more significant reductions are necessary to boost the economy, which is seeing rising unemployment, particularly among youth and newcomers. The effects of the rate cuts will be felt primarily by those with variable-rate mortgages, but broader economic benefits may take time to materialize.  Click here to read more.

Source: CBC

The Government of British Columbia has announced changes to the Property Transfer Tax (PTT) to improve housing affordability. The changes, effective April 1, 2024, include raising the exemption threshold for first-time homebuyers from $500,000 to $835,000 and increasing the exemption for newly built homes to $1.1 million.  Click here to read more.

Source: www2.gov.bc.ca

The new B.C. housing law, aimed at increasing housing units on single-family lots, does not override existing restrictive covenants on land titles that limit multi-unit construction. Many properties have old covenants without expiry dates, and homeowners affected are encouraged to seek legal advice.  Click here to read more.

Source: Vancouver Sun

One of the most common questions I've been asked most about Power of Attorney (POA) is, what if I don't have a POA and I become incapable of making decisions for myself?  My answer is - you're going to create a lot of trouble for your family or whoever needs to help you to manage your affairs.

When an adult needs help managing their affairs because of mental incapability due to an illness, accident, disability or diseases associated with aging, their judgment may be impaired in some way. They may forget to pay bills or put money away and forget where it is. The adult may also be confused about banking, investments, property, and personal belongings. However, they may have planned ahead and authorized someone else to make decisions and managing their financial and legal affairs through an enduring power of attorney.

But what if the adult does not have a POA? 

British Columbia has been able to develop one of the best land survey and title registration systems in the world.  

British Columbia, including the colonies before the province came into existence, has always maintained a system for recording ownership and interests in private land.   For a short while, the colonies maintained Deeds Registries.  However, a Deeds Registry results in a complicated, unreliable system for recording interests in land.   In order to gain an opinion on ownership of interests in land, an unbroken chain of documentary evidence over long periods of time or possibly from the original granting of the land from the Crown is required.   If any one of those documents was not properly executed, or if all documents in the chain cannot be obtained, then a shadow of doubt is cast upon the claim of ownership.

BC Notaries support the Province of B.C.’s proclamation declaring April 7 to 13, 2019 “Make-a-Will Week” and encourage the majority of British Columbian adult who don’t have a current Will to prepare one.
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A 2018 survey by Ipsos for the BC Notaries Association found that while 67% of people aged 55 and older have a Will in place, 62% of people aged 35 to 54 and 77% of people aged 18 to 34 do not have a Will regardless of whether they own a home, have dependent children or other important considerations. 

This question has been asked numerous times.  And my answer is – it depends on your purpose.
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Most parents, as they get older, would want to add their adult children on title of their home to save on probate fee when they pass.  Yes, although it is true that you can “save” on probate fee, but it can cost you more financially and have significant legal impact down the road.

Most people’s resolutions would include losing weight, exercising regularly, eating healthier so on and so forth.  Have you considered getting your estate and personal planning documents in order as this year’s resolution?

Wills, Powers of Attorney and Representation Agreements are the most common and are probably one of the most important documents in your estate plan.  Accidents can happen without any forewarning.  In the direst circumstances, if you pass away without a will, basically you are leaving up to the law to determine how you want your estate to be distributed upon your death.  Your family or closest friends, while grieving for their recent loss, are also required to apply to the Court to be the administrator of your will.  In other instances, you suffer sever injury or illness and are not able to communicate with anyone, who’s going to handle your financial, legal, or personal care matters?  Your family, even your spouse, would not be legally to handle your matters. 

In many instances, banks and financial institutions require the borrowers to obtain a title insurance.  However, this policy only protects the bank’s interest and insures against financial loss in the event of a defects in title to the property.

In British Columbia, title defects rarely happen.  When a land title is transferred, the new owner can be assured that his/her title is “indefeasible” (meaning the title transfer cannot be defeated, revoked, or made void) under the Torrens system, as long as the owner acquires the interest in good faith and for value consideration.