I understand that many of the people who are interested in buying real estate in Windsor-Essex are not residents of Canada. Here are the answers to some of the most common questions about buying for non-residents:
Anyone - there are no limits on where a buyer is from to purchase real estate in Canada. Financial institutions may have their own limits on how many properties they will finance for buyers from outside the country.
Owning property in Canada does not have any effect on an immigration application.
If you live out of the country for more than half the year then yes, you are considered a non-resident buyer.
You will be treated as a non-resident buyer if there is a non-resident as part of the buyer group.
Yes – you will usually be subject to needing a higher downpayment (35% of the purchase price as opposed to the regular 20%), but different banks can have variations in their requirements for this.
There are a few things that are normally required:
The 35% downpayment
Proof of employment and that income is in Canadian or U.S. currency
Reference letter from your own bank and three months of bank statements
Canadian Credit Check
No - you can get the same interest rate as Canadian residents. Depending on which country you residing in, you may only be able to get a fixed-rate mortgage, however.
Usually, only Canadian rental income will count towards your income when applying for a mortgage in Canada.
You will usually have to have the down payment money available in a Canadian bank at least thirty days before closing.
No - your closing costs should be the same as for a Canadian resident.
Government programs such as the first-time buyer program are only available to Canadian residents.
If you have all your funding available in cash, you do not need a mortgage to buy property in Canada.
I can help you learn about the available Canadian properties that fit what you’re interested in. Online listings and other resources are a great way to find out about what’s out there, and to learn more about the areas you might want to invest in.
As a real estate professional, I can walk you through all of the options you have to locate tenants, manage rental properties, and more.
You will need to to pay the land transfer tax, annual property tax, and income tax on properties you own in Canada.
For more information on the specific procedures for paying these taxes, consult with an expert in Canadian taxes.
Normally, a deposit, property appraisal, and home inspection will have to be paid for before the property closes.
On closing, you will have to pay the remaining balance of the purchase, legal fees, insurance, commissions, land transfer tax, and any other applicable fees and taxes. I can walk you through the closing costs you are looking at when you purchase a home in Canada.
Talk to a tax professional about the taxes associated with selling your property in Canada. The Canadian Government will withhold 25% of the gross selling price in most cases until the exact taxes owed have been determined and paid. There are alternatives to this, which a professional can present to you.
Yes! An agent like me can help you find properties, navigate the entire buying process, and works in your interests when buying a home in Canada.