Conversations About Cannabis ~ BCREA

The legalization of cannabis opens up new risks for homeowners and new opportunities for REALTORS® to add value as trusted advisors as consumers make the biggest financial decision of their lives. That’s why BCREA is launching a series of videos called Conversations on Cannabis.

Cannabis

From the Lenders:

Don’t risk it… Growing cannabis in your home will stigmatize the property which can have very negative effects on the value.

From the Lenders:

Lenders may refuse to grant a mortgage if a property is considered to be a grow op.  Currently a property is considered a grow op even if only one plant is in the home.  By law, you must disclose this when selling your home.   If a mortgage is granted, you can expect higher mortgage rates.

From the Lenders:

At this time, the lenders are not adjusting their financial policies.

From the Lenders:

Lenders are suggesting that your home could depreciate as much as 20-30% of it’s value if it is deemed to be a grow op.  You may be smoking a $100,000 joint!  The cost associated with growing at home may not be worth what it will cost in the end in regards to decreased home values, resale potential, ability to obtain a mortgage, etc.

From the Lenders:

Takeaway:  Don’t risk it!