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Non resident speculators tax

Kevin G

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Hello: I'm a Cdn. citizen retired to Mexico for the last almost four years. This makes me a non-resident and subject to the new speculators tax! I've gone through I believe it's Don's first book "real estate investing in Canada" for the second time and now I think its time to reach out a little and talk to some professionals. I'm trying to get an idea of how I might get financing with no income but a substantial down payment plus staying power. I also understand it's hard to find fire insurance for a non-resident. Can anyone help with info in that regard or know of some mortgage brokers and/or insurance agents they can recommend who I can bounce some questions off. I'm coming back to Canada for a holiday in July to show off my home country to my little boy and would like to set up some meetings while there.

Also, just wondering if anyone has some thoughts on how much effect the speculator's tax might have on Property prices in the area just outside the tax boundary area say in London, Windsor or Ottawa? (Over the long term) I see London has some LRT in the planning stages. and Ottawa in the building stages. Would they be good places to look for properties to buy and hold (and also avoid the 15% tax)? Thanx for any help or insight.
 

Thomas Beyer

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You got too much time on your hand that you wish to buy Canadian real estate in far away lands, from Mexico?

Why not buy a few REITs online and collect 5-9% hassle free month after month ?

Why not buy a commercial asset, an apartment building or mobile home park as that asset qualifies for mortgage and not you ?
 

Vine Group

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The non-resident tax is for all of Ontario not just the GTA. The impact isn’t clear but there are signs of some price corrections in the GTA and parts of the rest of Ontario. Non-resident lending is available with a minimum 35% or up to 50% down payment. At VINE Group, we have an expert in non-resident financing for South Americans. Christopher Darwiche, [email protected], can assist you with exploring your options.
 

Kevin G

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You got too much time on your hand that you wish to buy Canadian real estate in far away lands, from Mexico?

Why not buy a few REITs online and collect 5-9% hassle free month after month ?

Why not buy a commercial asset, an apartment building or mobile home park as that asset qualifies for mortgage and not you ?


Actually I will take a closer look at the reits. That may be a way to go. But as for commercial or Apartment buildings, I’m afraid that’s out of my league. Maybe I wouldn’t need to qualify but I would need the experience to know what the hell I’m doing!

I did have an idea though of some duplexes or triplexes that cash flowed, and would show some potential for equity 10 years down the road when I’m in my dotage and the family would have something to show for the effort. (probably me and every other baby boomer watching their savings accounts fly away to inflation) Don’t know how realistic that is as I’m not too far into the learning curve. Hence my first question about even qualifying. Pretty sure it would be a B lender like Capitol lending and look what’s happening to them. Don’t know what hoops I would need to jump through. I would like to reach out to a lender or two who did know those things. This forum seems like a good place to start.

I may have some time on my hands but I wouldn’t look at it like I’m investing in faraway lands. I feel like I’m living in faraway lands and investing back home, a place I at least understand better than any other. Mexico is a little like the wild west and they would skin me alive if I were to invest here. You can take the Canadian out of Canada, but you can’t take Canada out of the Canadian.

Thanx for the comeback Thomas. Good of you.
 

Vine Group

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You got too much time on your hand that you wish to buy Canadian real estate in far away lands, from Mexico?

Why not buy a few REITs online and collect 5-9% hassle free month after month ?

Why not buy a commercial asset, an apartment building or mobile home park as that asset qualifies for mortgage and not you ?
I agree, commercial real estate is a good way to avoid the 15% non resident tax and the financing is treated the same for non-resident and resident.
 

Vine Group

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We have an export in non-resident financing. "B" lenders may not be the best option. There are still very good "A" lender programs for non-resident buyers. I invite you to reach out to VINE Group, [email protected], and we'll connect you with Chris.
 

Kevin G

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The non-resident tax is for all of Ontario not just the GTA. The impact isn’t clear but there are signs of some price corrections in the GTA and parts of the rest of Ontario. Non-resident lending is available with a minimum 35% or up to 50% down payment. At VINE Group, we have an expert in non-resident financing for South Americans. Christopher Darwiche, [email protected], can assist you with exploring your options.



Really? NRST in all of Ontario? I thought it was just up as far North as Orilla and as far west as Kitchener/Waterloo and the Niagara area and then East too ummm maybe Oshawa or something close. Which would leave London, Ottawa, Windsor and the rest of the province open. Anyhow thank you for the contact. I will confirm it with Christopher. I need to know what else after 35% down. Cheers
We have an export in non-resident financing. "B" lenders may not be the best option. There are still very good "A" lender programs for non-resident buyers. I invite you to reach out to VINE Group, [email protected], and we'll connect you with Chris.


Thank you for the contact. I will be talking to Chris
 

Thomas Beyer

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Not all of Ontario: Greater Golden Horseshoe ( GGH) only. The GGH includes the following geographic areas: Brant, Dufferin, Durham, Haldimand, Halton, Hamilton, Kawartha Lakes, Niagara, Northumberland, Peel, Peterborough, Simcoe, Toronto, Waterloo, Wellington and York. Refer to the map at the end of the document.http://www.fin.gov.on.ca/en/bulletins/nrst/nrst.html
 

DEWDROPS

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Hello: I'm a Cdn. citizen retired to Mexico for the last almost four years. This makes me a non-resident and subject to the new speculators tax!

Canadian citizens are NOT subject to speculation tax, it is irrelevant whether Canadian citizens live in Canada or outside. Click on the hyperlink Thomas provided, it clearly says that.

Copying from the page:

I am a Canadian citizen living outside of Canada and I wish to purchase land in the Greater Golden Horseshoe. Will my purchase be subject to the NRST?

If a Canadian citizen (whether living in Canada or not) buys residential land alone or along with other Canadian citizens or with permanent residents of Canada, he or she will not be subject to NRST. It is not relevant whether any of the Canadian citizens live in Canada or not.
 

Kevin G

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Canadian citizens are NOT subject to speculation tax, it is irrelevant whether Canadian citizens live in Canada or outside. Click on the hyperlink Thomas provided, it clearly says that.

Copying from the page:

I am a Canadian citizen living outside of Canada and I wish to purchase land in the Greater Golden Horseshoe. Will my purchase be subject to the NRST?

If a Canadian citizen (whether living in Canada or not) buys residential land alone or along with other Canadian citizens or with permanent residents of Canada, he or she will not be subject to NRST. It is not relevant whether any of the Canadian citizens live in Canada or not.

Ok I see that now. Not sure how I missed that. Thank you.
 
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