INVESTING FROM ABROAD
Nadlan Realty has worked with foreign investors from abroad for over 10 years. To do so, we've made sure to provide the utmost service and loyalty to our clients, knowing that ensuring their trust is the most important aspect of our work
Our brokerage Nadlan realty has served clients from the US, Europe, and Israel in finding a property to buy, rent and sell. In fact, about 50% of our clients live outside of Canada and all of them have continued to work with Nadlan Realty when purchasing and renting out their second and third properties. Our clients are first and foremost our friends, and we put ourselves in their shoes when we represent them here in Toronto Canada, always keeping their best interest in heart and mind.
In case you are a first-time investor, we've compiled some Q&A's for you below.
How much down-payment does a foreigner have to put down when buying a residential or commercial property?
Canadian residents are required to pay 25% of the total cost when purchasing a property. A non-Canadian investor is required to pay a 35% down-payment through four installments to their lawyer's trust account, where the last payment is due when the unit purchased is ready for the buyer to move in (or rent). The final payment of the remaining 65% is due when the builder registers the building as a corporation and officially transfers the title (the equivalent to Tabu in Israel) to the buyer.
A mortgage pre-approval is required upon the initial purchase of the property, to demonstrate that they will have the money when the full payment is required. This is true for Canadian residents and foreign investors alike.
Does it matter what I do with the property afterward?
Yes! The property purchased can either be considered a principal residence or an investment property.
If a buyer or relative (first degree of separation) moves into the property then it is considered a principal residence and the contract price is the price of the property.
If the buyer/owner rents out the property before the property is registered on the title (which may take up to a year or two), then the property is considered an investment property, and the buyer is required to pay a portion of the purchase price to the builder because the builder can’t claim this money from the government.
What services does Nadlan Realty has for foreign investors?
Since so many of our clients are foreign investors, we realized that to provide optimum service meant to cover all the bases. That's why Nadlan Realty not only offers help and guidance in buying, selling, or renting a property, we also provide property management, mortgage advice, and accounting services.
We're confident that you'll be pleased with our service. You can read our testimonials or ask to speak with our past clients about their experience with Nadlan realty.
If you have more questions, contact us and we'll be happy to provide you with more information.