BC's Planned PST Expansion Is on Pause: What It Means for Home Buyers

buying a home. The short answer is no, and as of September 18 the whole expansion is on hold anyway.

Let's break this down.

In Budget 2026, the province announced that starting October 1, 2026, the 7 per cent PST would extend to a new list of professional services: accounting and bookkeeping, architectural services, engineering and geoscience services, non-residential real estate services, and security and private investigation services.

On September 18, 2026, Premier David Eby announced that the province will pause that expansion through a temporary regulation. The reason is the ongoing trade disruption with the United States and the financial strain on British Columbians. The government says holding off until the trade war ends will save people, local governments, and businesses approximately $260 million this year and next. The exemption stays in place for all of those professional services for now.

Here's the part that matters for buyers. The real estate piece of the expansion only ever applied to non-residential property. According to the BC Financial Services Authority, PST was not going to apply to services related to residential property, which is the Class 1 classification under the Assessment Act. That means the commission and services on a house, townhome, or condo you buy to live in were never part of this.

Where it would have mattered is commercial and investment buying. For non-residential property, the 7 per cent PST would have applied to the full price of trading services, rental property management, and strata management. On a $30,000 commission, that is $2,100 in PST. For mixed-use properties, PST would have applied only to the non-residential portion.

The other services on the list could have shown up in a purchase indirectly. Architectural and engineering services can come into play if you are building or doing a major renovation, and accounting and bookkeeping costs matter if you hold property through a company. Those services are exempt for now, so those costs stay where they are.

Here's the reality. This is a pause, not a cancellation. The government has not set a new start date, and it has tied the decision to the trade war, so the expansion could come back. If it does, it is worth knowing which parts touch you and which do not.

If you are buying a home to live in, nothing about your purchase changes. Your costs are still the price, the property transfer tax, legal fees, and your closing adjustments, not a new PST layer.

If you are buying commercial, mixed-use, or investment property, this pause keeps those professional service costs lower than planned, but it is worth factoring a possible return of the tax into longer-term numbers.

If you have questions about how any of this applies to a purchase you are planning, I am happy to walk you through it. For tax specifics on a business or investment purchase, check with your accountant.

If you are looking for a local real estate expert in South Surrey, White Rock, or the Fraser Valley to help you get ahead in the market, feel free to reach out. I am here to help.

This post is general information and not tax advice. Rules may change, so confirm current details with the Government of BC or a qualified tax professional.