July 2020

Found 1 blog entry for July 2020.

Things to consider when purchasing a rental property:

1. Does a purchase make financial sense?

  • A minimum of a 20% down payment is required when purchasing a rental property.
  • Investing in a rental property should be considered a long-term investment that helps build capital.
  • Consider whether your real estate investment has the potential to provide a better return when compared with other investments.
  • You will have to pay land transfer tax – this is paid by the buyer when possession of the property is taken.
  • When you sell your rental property, you will have to pay capital gains taxes.
  • The First Time Home Buyers’ Plan and land transfer tax rebate for first time home buyers can only be applied to your primary residence.
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