Non-residents

Buyers

Non-residents can own property in Canada; however, there are important issues that need your consideration;

• Mortgage qualification differs between residents and non-residents
• Banking and account holders rules may differ
• Proceeds of Crime clearances are generally required for funds brought into the country for real estate purchases
• Out-of-country document signing is available
• Consult a tax professional as to the tax treatment at the time of buying or selling a property in Canada as a Tax Clearance Certificate will be required from Canada Revenue Agency to release holdback funds.

See our Resources page for more information on Property Transfer Tax (PTT), joint tenant and tenants-in-common ownership, the Strata Property Act and non-resident clearance certificates.

Sellers

Non-residents can sell property in Canada; however, there are important issues that need your consideration;

• The Seller must provide the Purchaser with an Income Tax Clearance Certificate from Canada Revenue Agency.
• The Tax Clearance Certificate is only issued once any income taxes due are paid.
• Certain expenses can be claimed
• Consult a tax professional as to the tax treatment at the time of buying or selling a property in Canada as a Tax Clearance Certificate will be required from Canada Revenue Agency to release holdback funds.

Canada Revenue Agency Info Re: Clearance Certificates
http://www.cra-arc.gc.ca/tx/ndvdls/lf-vnts/dth/clrnc-eng.html