For: Investors · Updated 2026-10-28

Can I sell my presale before it completes, and what tax will I pay?

By Uzair Muhammad, REALTOR®, Real Broker BC

Quick answer

Usually yes, by assignment, if your contract allows it and the developer consents (often for a fee). Profits can be hit by the BC home flipping tax (up to 20% if held under 366 days, falling to zero at 730 days), GST on the assignment, and income tax. In 2026 assignment demand is weak, so expect to price below original contract in many buildings.

The BC home flipping tax

Since January 1, 2025, BC taxes profit on homes and presale contracts sold within two years. The rate is 20% if you sell within 365 days and falls to zero by 730 days. For a presale bought from a developer, the clock generally starts on the date you pay the contract deposit. There's an exemption if completion is delayed more than 365 days. A return is due within 90 days of the sale.

GST and income tax

Since May 7, 2022, GST applies to assignment sales of new housing. Federal rules treat profit on property held under 365 days as business income, with limited life-event exemptions. Talk to an accountant before you list.

Developer rules and reporting

Your contract decides whether you can assign, whether you need consent, and the fee. Developers must report assignments to the province's Condo and Strata Assignment Integrity Register, which is checked against tax returns.

The 2026 reality

Assignment listings on the MLS fell from 462 in April 2024 to about 90 by the end of January 2026. Buyers can often find completed units below the assignment price. Compare assigning at a loss against completing and renting or holding.

Thinking about assigning?

On a 10-minute call we'll estimate what your contract is worth today and compare assigning against completing.

Book a free 10-minute call · Call or text (672) 258-1100

Buyer-side only · 450+ families helped · 2 defaults · 4.9★ from 36 Google reviews. Our fee is typically paid by the developer, so working with us usually costs you nothing. We confirm this on every project.

Frequently asked questions

Does the BC flipping tax apply to presale assignments?

Yes. It applies to assignments of presale contracts, at up to 20% of profit if held under 366 days, sliding to zero at 730 days.

Do I charge GST on an assignment?

GST applies to assignment sales of new housing since May 7, 2022. Get tax advice on how it applies to your sale.

Can the developer stop me assigning?

Yes, if your contract restricts assignment or requires consent. Many contracts allow it with consent and a fee.

Is it better to assign or complete?

It depends on your financing, the gap between your price and today's value, and taxes. Model both before deciding.

Sources

This is general information, not legal, tax or financial advice. Rules change; confirm with a lawyer, accountant or mortgage professional before you act.

About the author

Founder of Presale Properties Group. Spent 10 years at the City of Surrey in Planning and Bylaws before real estate. Represents buyers only on new construction across Metro Vancouver and the Fraser Valley.