As property owners, you must pay Capital Gains Tax on a second property (non-principal residence) when the property is sold or transferred.
For example, if you buys a Whistler townhome for $500,000, and a decade later the property is valued at $750,000 when you die, the capital gain is $250,000. Half of that amount, or $125,000, is taxable.
However, if your spouse is still alive, ownership can be transferred to him or her. Known as a spousal rollover, this transfer can delay capital gains taxes.
Land use and zoning
If you plan to build a vacation home, you should ask the local municipality about zoning regulations and future development plans.
If you plan to buy property in a remote area, you should be clear about where they’ll get services such as electricity and water. With BC becoming drier, relying on a well might not be the best option.