The Purpose of Property Assessments [Video]

Katherine Martin • January 13, 2016

 

Have you ever wondered why we pay property taxes or how “they” decide who pays what? This video by BC Assessment explains the purpose of property taxes, and how they benefit everyone! Enjoy!

 

Transcript:

This is Milltown a typical town with typical townsfolk. But when it rains the whole town from the mayor do with mouse have the same messy problem, mud. Mill towns mud is affecting everyone. the shopkeeper can’t keep his shot clean, the widow Swenson can’t safely walk down the street. The only way to get to your wagon is to trudge through the mud and a mayor with muddy shoes,well, that just isn’t mayorly. What Milltown needs, is a brand new boardwalk along Main Street, but who will pay for the new boardwalk?

Everyone gathered at a town meeting to figure out what to do. Some folks said the shops along Main Street should pay for the boardwalk, because they would benefit the most. Others thought that because the rich folks had more money they could afford to pay more. The farmers felt that they would have to raise their prices if they had to pay for the boardwalk, and the business owners at the wagon shop and the sawmill thought that they would have to raise prices too.The widow Swenson said she was on a fixed income and wondered if she had to pay the same as everyone else. The railway owner, didn’t show up at all, so some folks thought he should pay for everything.

What they did agree on, was that as a community everyone had a collective interest in the good of the town and the one thing they had in common was that they all owned property in Milltown. So it was decided that each property would be taxed and a portion of the money collected would be used to pay for the new boardwalk. What seems fair to everyone was to tax each property based on its value and how it was being used.

So the owners of the wagon shop, the sawmill, and the shops along Main Street would have to pay more taxes because of how their properties were being used. And based on the value of their property the folks who lived in bigger houses and in better neighbourhoods would end up paying more tax than the average homeowner. It was decided that farmers would get a break because higher taxes would mean the price of food would increase, and this would affect everyone in Milltown. Everyone agreed it didn’t make sense to tax properties like schools and churches because they were already publicly funded and provided services available to everyone. And even though the widow Swenson lived on Main Street and her property could be developed in the future, it was agreed that she would pay less tax because she had lived on the property for many years.

In 1974 the Assessment Act and BC assessment performed from principles just like these. BC Assessment was created to provide assessment which are relied upon to build sustainable communities throughout BC. The good people at BC Assessment determine the value of your property, send out a notice once a year, and then ask you to decide if the value is accurate. To keep things fair you have the option to check and compare the values of other property assessments online.

Thanks to the funding generated from your property taxes improvements like a new boardwalk and services like police, fire, schools and hospitals are made possible in your community from Milltown to your town.

Katherine Martin


Origin Mortgages

Phone: 1-604-454-0843
Email: kmartin@planmymortgage.ca
Fax: 1-604-454-0842


RECENT POSTS

Let’s Talk About Getting Top Dollar for Your Property

By Katherine Martin • March 4, 2026
When it comes to selling your home, most people think the first call should be to a real estate agent. But the smartest first step often isn’t with your agent—it’s with an independent mortgage professional. Why? Because your mortgage plays a bigger role in your bottom line than most people realize. Planning to Buy After You Sell If selling means you’ll also be purchasing another property, you’ll want to know exactly where you stand financially before listing. Mortgage rules change regularly, and qualifying once doesn’t guarantee you’ll qualify again. Getting a pre-approval in place ensures you know what you can afford and eliminates surprises later. On top of that, reviewing the terms of your existing mortgage could uncover options you may not have considered. For example, porting your mortgage instead of arranging a brand-new one could save you thousands. Selling Without Buying Even if you aren’t planning to buy right away, there’s still an important step: understanding the cost of breaking your mortgage. Unless your mortgage is open, penalties apply—and they can be significant. By reviewing the numbers with a mortgage professional, you might find that simply adjusting your timeline could reduce or even avoid costly fees. Navigating Life Changes In situations like a marital breakdown, it can feel like selling the family home is the only path forward. But that’s not always the case. With the right guidance and a legal separation agreement, one spouse may be able to buy out the other, keeping the home and providing stability for everyone involved. The Bottom Line Selling your property is more than just putting a sign on the lawn—it’s about creating a financial plan that protects your equity and positions you for the best possible outcome. Before you take the leap, let’s sit down and review your options. 📞 If you’re ready to talk strategy and make sure you get top dollar for your property, I’d be happy to connect anytime.

Down Payment Options for Canadian Homebuyers

By Katherine Martin • February 25, 2026
For most Canadians, the down payment is the biggest hurdle to homeownership. A down payment is the initial amount you contribute toward your property purchase, while the lender covers the rest through a mortgage. By law, Canadian lenders can only finance up to 95% of a property’s value, which means you’ll need at least 5% down to qualify. If you’re putting down less than 20%, your mortgage must be insured through one of Canada’s three default insurance providers— CMHC, Sagen (formerly Genworth), or Canada Guaranty . This insurance comes at a cost, but it can be rolled into your mortgage amount. The less you put down, the higher the premium. Since saving a down payment can feel overwhelming, it helps to know the different sources you can draw from. Here are the most common options available to Canadian homebuyers: 1. Savings & Personal Resources The most straightforward source is your own savings. Lenders will ask to see a 90-day history of the funds in your account. Any large deposits outside of regular payroll must be explained with documentation—such as the sale of a vehicle or a transfer from an investment account. This requirement isn’t just red tape; it’s part of Canada’s anti-money laundering rules. 2. Proceeds from the Sale of a Property If you’ve recently sold another home, you can use the proceeds as a down payment on your new purchase. Proof of the sale—such as the final statement of adjustments from your lawyer—will be required. 3. RRSP Home Buyers’ Plan (HBP) First-time buyers can withdraw up to $35,000 each (or $70,000 as a couple) from their RRSPs to put toward a down payment under the federal Home Buyers’ Plan . The funds are withdrawn tax-free, but they must be repaid over a 15-year period. This is a popular option for buyers who have been steadily contributing to their retirement savings. 4. Gifted Down Payment With today’s housing prices, many buyers turn to family for help. A parent or immediate family member can provide a gift that makes up part—or even all—of the required down payment. The lender will require a signed gift letter confirming that the money is a true gift (with no repayment expected) and proof that the funds have been deposited into your account. 5. Borrowed Down Payment In some cases, you may be able to borrow your down payment. This option is usually available only if you have strong credit and sufficient income. The payments on the borrowed funds are factored into your debt service ratios, so affordability is key. Lenders typically use 3% of the outstanding balance when calculating the additional payment. The Bottom Line A down payment doesn’t have to come from just one source—it can be a combination of savings, gifted funds, RRSPs, or other resources. What matters most is being able to show where the money came from and that it meets lender requirements. If you’d like to explore your options or learn how much you might qualify for, it’s never too early to start the conversation. Connect with us today—we’d be happy to help you create a plan and take the first steps toward homeownership.
© 2026 

Katherine Martin. All Rights Reserved.