Find out how long landlords will have to give…
The BC government has shortened the eviction notice period for landlords who plan to occupy their rental property, reversing a recent policy change.
Landlords will now be required to give tenants three months’ notice, down from the previously mandated four months, before taking possession of a rental unit for personal use. The change, effective August 21, aims to ease the burden on first-time homebuyers facing challenges in purchasing tenanted properties.
The original four-month notice period had created hurdles for homebuyers, particularly those relying on mortgage financing. The longer timeline often exceeded the 120-day approval period for mortgages, making it difficult to secure financing for properties with tenants.
“I heard from several realtors that simply flat-out advised that any of their first-time home buyers — or any of their buyers that are coming to the table with less than 20% down — that any tenanted property was off the table for them,” Rebecca Casey, president of the Canadian Mortgage Brokers Association of BC, said in an interview with CBC News.
B.C. Housing Minister Ravi Kahlon said the government responded to concerns raised by real estate, mortgage, and building industry stakeholders, as well as first-time homebuyers.
“When you have information that comes to you that can make it easier for everyone, it’s important to adjust and that’s what we’ve been able to do,” Kahlon said.
Read next: Own-use evictions on the rise in Ontario
While the revision addresses concerns from the real estate and mortgage industries, tenant advocates argue that renters need more protection.
Trevor Hargreaves, vice-president of the BC Real Estate Association, praised the decision but criticized the government for not consulting more stakeholders before implementing the original policy.
“One of the things that we continually ask for is the establishment of a permanent roundtable on housing,” Hargreaves said. “Ten or 12 housing experts that work on non-market housing, on market housing, who could hear the new ideas from government and provide advanced feedback.”
Robert Patterson, a lawyer with the Tenant Resource Advisory Centre, argued that tenants need more time to find new housing when forced to move. He expressed concern that the current system does not adequately consider the tenant’s situation.
“What happens to that tenant when their home is taken from them?” he said. “Do they have another place to go? Do they have the means to find another place to go? Those are questions that, in our current legal system, we don’t explore, we don’t have to answer and aren’t even relevant.”
The exception for home purchasers, reducing the notice period to three months, will be effective from August 21, while the general four-month notice period for landlords intending to use the property for personal use remains in place.
Make sure to get all the latest news to your inbox on Canada’s mortgage and housing markets by signing up for our free daily newsletter here.
