As most of you will already know, the BC Government recently introduced and passed into law Bill 14, which makes several changes to the Residential Tenancy Act (RTA). The bill, which came into effect on July 18, 2024, is intended to protect residential tenants from tenancies terminated in bad faith.

While the intent of Bill 14 may have been noble, this is yet another example of the provincial government announcing new legislation without doing adequate advance consultation around unintended consequences. In collaboration with the Canadian Mortgage Brokers Association – BC, we have taken steps to identify multiple issues with the bill that need to be immediately addressed. We have issued tandem open letters to government along with a joint press release issued last Thursday. Thus far, our messaging has been amplified by the Globe and Mail, Financial Post, Business Examiner, Storeys, and Real Estate Magazine, among others.

This messaging is exceedingly important. Bill 14 has created significant confusion when applying its rules to real-life real estate practice, and we’ve already heard from REALTORS^® who’ve experienced this firsthand.

For example, the new requirement of providing four months’ notice for evictions due to personal or caretaker use – instead of the previous two months’ notice – is posing a major hurdle. While this is a problem for all buyers, it's particularly problematic for high-ratio buyers, including first-time buyers, who generally need mortgage default insurance to secure their financing.

The legislation also makes no distinction between a buyer of a tenanted unit who just wants to move into their new home and a landlord who might be using a bad-faith eviction as a tool to raise rents beyond the allowable limit.

In light of these and several other concerns, the BCREA Government Relations Committee has sent a letter to BC Minister of Housing Ravi Kahlon outlining our concerns and suggesting potential fixes. We also issued a press release to the media.

Click here to read our full letter to government.

Click here to read the press release.

Sample media coverage and press release pick-up:  

• New BC eviction rules might worsen housing affordability crisis, say industry groups | Canadian Mortgage Professional (mpamag.com) 

• BCREA and CMBA-BC urge revisions to Residential Tenancy Act amendments to avoid adverse impacts (realestatemagazine.ca) 

• How BC's New Four-Month Eviction Notice Rule May Affect First-Time Buyers (storeys.com)

• BC Real Estate Association and Canadian Mortgage Brokers Association – BC Identify Significant Issues with Changes to Residential Tenancy Act | Financial Post

• BC Real Estate Association and Canadian Mortgage Brokers Association – BC Identify Significant Issues with Changes to Residential Tenancy Act - The Globe and Mail 

• ORGANIZATIONS CALL ON GOVERNMENT TO AMEND RESIDENTIAL TENANCY ACT | Business Examiner 

If you have questions or concerns about changes to the RTA or any other policy issue, please contact me.

Sincerely,

Gino Pezzani

RE/MAX Heights Realty

(604)418-9366