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Canada's Cannabis legalization & Real Estate

Cannabis is Legal in Canada as of October 17th, But What about Real Estate?

Cannabis is now legal in both recreation and medicinal use all over Canada. For Canadian who want to grow their own Cannabis at home, are allowed to harvest 4 plants for their own use.
Although it is now legal to grow your own and use marijuana, it is important to talk about it in real estate aspect.
Despite of Cannabis legality in Canada and freedom of its use, most financial mortgage lenders and home insurance companies are yet have not change their regulation and policy in regards to home grow ups and usage of cannabis at properties.

Before you start digging the back yard and r plant those pots, consider the consequence of a time you plan to sell your home. According to BCREA, the Property Disclosure Statement, which the seller declares all issues with the property will be revised to accommodate such change in the industry.
A homeowner is fully responsible to declare any grow ups, legal or illegal in this statement. And as soon as it is declared that there had been a legal grow up for the family use, they need to provide proof of having a licensed professional to have remedied the situation and home safety use. This is extremely important as many homeowners are unaware and at the time of selling their home, a potential buyer may not be able to get financially approved or obtain homeowner’s insurance for this Vancouver home for sale.

In another note, if the property is tenanted, it is important the tenants must follow the written agreement. If the tenancy took effect prior to October 17th legalization date, the terms and condition of the lease contract remains effective if it has stated that tenant is not allowed any illegal activities (this includes growing and use of cannabis, as such it was illegal at the time of the agreement and cannot be revised).
If the homeowner and new tenant are entering in to a new agreement after October 17th, it is advisable for the homeowner, not to allow the grow ups in their property for future consequences. 

So let’s stay alert as the law changes, not the entire industries alter their policy and regulation to effect such change. As Vancouver Realtor I need to inform all my clients of such risks.
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