Proposed Unsold Condo Tax: What It Could Mean for Condo Buyers and Sellers in Surrey and Langley

Important: this is an election proposal, not law. The Unsold Condo Tax and the higher Speculation and Vacancy Tax rates described below are campaign proposals made ahead of the provincial election on Saturday, October 24, 2026. Nothing has been passed, and no start date has been announced.

If you own, are buying, or hold a presale condo in Surrey or Langley, here is a plain-language summary of what's been proposed, what it could mean for you, and what's still unanswered.

What is the proposed unsold condo tax in BC?

On September 25, a new "Unsold Condo Tax" was proposed as part of the provincial election campaign. As reported by Daily Hive, it would apply to finished condos left empty and unsold for more than a year. According to the proposal, the tax would work like this:

• Year 1: no tax

• Year 2: 2%

• Year 3: 3%, increasing by one percentage point for each additional year a condo remains unsold

Daily Hive describes it as a tax aimed at developers who leave newly completed strata condos unsold. The stated goal is to encourage developers to sell finished homes at lower prices, and the proposal estimates the plan could bring up to 5,000 empty condos across BC into use. Citing a September 2026 Real Property Data report, the proposal says these unsold units are worth an estimated $4.45 billion, with more than 1,300 finished over two years ago and some dating back to 2019. These are province-wide figures, not Surrey or Langley numbers.

BC Speculation and Vacancy Tax increase 2026: the proposed rates

The same announcement included a one-percentage-point increase to the Speculation and Vacancy Tax (SVT):

• Domestic: from 1% to 2%

• Foreign: from 4% to 5%

According to the proposal, the change is meant to move more empty units into the long-term rental market, and any additional revenue would go to building affordable homes. Daily Hive notes that the 2026 provincial budget had already raised the foreign-owner rate from 3% to 4% for the 2027 tax year, so the proposed 5% would go further than that scheduled increase.

What we don't know yet

According to Daily Hive's reporting, the announcement did not provide:

• An implementation date

• How the taxable value of an unsold condo would be determined

• Any exemptions

• A maximum rate for the new condo tax

It also didn't explain whether the provincial-federal condo conversion partnership announced in June 2026 would continue alongside the proposed tax.

Where the proposal stands

Not all parties support the proposal, and it has drawn criticism during the campaign, as reported by Daily Hive. Whether it moves forward depends on the October 24 election result and on any legislation that follows. If you're weighing a purchase or sale, it makes sense to plan around the rules in place today.

A related change: PST on real estate services is paused

The 2026 budget planned to expand the 7% PST to more professional services, including real estate services, starting October 1. On September 18, the provincial government announced a "pause" to that expansion. Because it was paused rather than cancelled, it could still be brought in later. For now, the expansion has not taken effect.

What it could mean for condo buyers in Surrey and Langley

If the proposal became law, its stated intent is to push developers with finished, unsold units to lower prices. Whether that happens would depend on details that haven't been released. For buyers:

• Don't wait on a promise. Nothing changes unless the proposal is passed into law after the October 24 election, and there's no timeline.

• Ask about completed inventory. If a building has been finished for a while, it's reasonable to ask about pricing and incentives, whatever happens with the tax.

• Compare resale and new. Browse current Surrey condos under $800K, South Surrey condos for sale and Langley condos under $499K to see how completed new units compare with resale.

What it could mean for condo sellers and presale owners

Daily Hive describes the proposed tax as aimed at developers, and none of the sources say whether it would apply to individual presale buyers or assignment sales. Until details are released, presale owners shouldn't assume either way.

Daily Hive also points out that the effect on future supply is unclear. Developers are already dealing with unsold inventory, weak sales and high borrowing and construction costs. Faster sales could free up money for new projects, but an escalating tax could also make developers and lenders more cautious about starting new ones.

If you're selling a resale condo, or you own a presale in one of the new construction projects in Langley or South Surrey, it's worth knowing what completed new units nearby are priced at, since you may be competing with them for the same buyers. My selling guide covers how I approach pricing and marketing.

Note: an election proposal, not law

To repeat: the Unsold Condo Tax and the higher SVT rates are campaign proposals. They are not law, their details could change, and no start date has been announced. The outcome depends on the October 24, 2026 election and on any legislation that follows. I'll share an update if details are released.

Thinking about your condo's value?

Whether you're buying, selling or holding a presale, start with real numbers. Get a free home evaluation, or call or text me at 604-928-1361 to talk through your options.

Disclaimer: This post is general information only and is not tax, legal or financial advice. Tax proposals can change. Please speak with a qualified accountant or lawyer about your situation.

Sources

1. Kenneth Chan, Daily Hive, September 25, 2026: report on the proposed Unsold Condo Tax and higher vacancy tax

2. Kenneth Chan, Daily Hive, September 28, 2026: report on a campaign pledge of no new taxes or tax increases