Barb Cofield

Barb's Buyline -- February 2006

The big snow is finally here. The recorded snowfall for the month of January was 461 centimeters, breaking a record previously set in 1992. Skiers are reporting that conditions are the best ever. Come and visit and see for yourself.

Market Update - The Whistler Real Estate Market continues to be in a balanced position. There is activity in all sectors but it is limited. Sales activity for 2005 was not as strong as it was in 2004. The luxury home market is the only area where sales increased in 2005 over 2004. Please access my web site at www.whistlerproperties.info and click on Market Updates so that you can view sales statistics and graphs that compare 2004 and 2005. Sales activity for January 2006 is also lower than January 2005. There are price reductions in many areas so if you are thinking of buying, now is a good time.

Whistler Creek - Information for the new Quarter Ownership opportunity will be available soon. If you are at all interested please let me know and I will register your name with the sales team. There is no obligation to buy once you have registered.

Just Listed - I have two new listings at the Pan Pacific Lodge which is the best hotel location the Village has to offer. My prices are lower than any other listings in this building. Please check our RE/MAX website at www.myseatosky.com and click on my name and you will be able to access these and other well priced properties.

Waterfront Lots - There are limited opportunities to own lakefront property in Whistler. Currrently there is an exclusive subdivision offerring waterfront and semi-waterfront lots on Alta Lake starting at $1,095,000. The subdivision is located in an area called Alta Vista. If you need help in locating this area just click on Links on my web site at www.whistlerproperties.info and you can access a Whistler Map.

Tax Information From a Local Accountant - The income tax act allows for a rollover of real property or capital assets used in a business, if a similar property is purchased and used in the same business, within a specified period of time after the sale. Rental properties are specifically excluded from this rollover which is why we don't really hear of it in Whistler. The legislation is really designed to allow a company to change location or upgrade their facility without having to pay tax on any gain from the disposition of the prior property so that they can use all of the proceeds, which they likely need, for the new facility.

Some properties in Whistler have been classified as earning business income rather than rental income and so they are eligible for this rollover. Currently the properties are the Westin, the Delta Whistler Village Suites, the Tantalus Lodge, and Whistler Village Inns. Also the Westin Grand in Vancouver. Now saying that, we just did an application for the new Hilton and it has been approved by CRA as a business income property. We also know of some individually owned condos in Whistler that are self managed through Allura that have made successful applications to have their business classified as a business rather than a rental. This is taxpayer vs property specific so names of properties won't help you. Allura engaged a lawyer who made an application under the basis that quite a few services are involved and that their operation is more than a straight rental of property (including taking reservations, advertising, providing toiletries, changing linens, etc.) based on the other services provided and the level of activity involved being high rather then earning a passive rental income which involves limited activity. So, this is great news for our non-resident taxpayers as there are several advantages to filing returns for a business rather than a rental property. My plan is to start to talk to the various property managers in town, such as the Pan Pacific, Four Seasons, etc. to see if they want to change the status, do the application, etc. but that is going to take time and will happen during the course of the year.

Stay Tuned - the Conservative Government announced allowing a rollover as part of their election platform, so when their budget gets released, we may find that all properties now qualify.

Keep in Touch - Thanks for reading my newsletter. Call or email anytime if you need more property information or if you have comments concerning the enclosed data.

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