M city 5 condos mississauga. Tax on real estate investment in Canada. For investors who buy a house in Canada for the first time, they may not know much about local taxes and fees.Please Visit: M city 5 condos mississauga to Get Your VVIP Registration Today!
Lawyer’s fee: the lawyer is responsible for the whole process of purchasing a house in Canada, including reviewing the owner’s right to use, mortgage of the property, sale agreement and transfer of ownership, etc. The fee is about $800 million.
Property transfer tax (or land transfer tax), referred to as PTT: the tax generated every time a new owner applies to the real estate bureau to change the owner of the house. He charges according to the “fair market value” of the property, not necessarily the actual transaction price. The specific formula is that the first 200000 pay 1 per cent of PTT; 200000 and more than 2 per cent PTT.
Purchase consumption tax: if the buyer buys a brand new house, he or she will have to pay about 7 per cent of the purchase consumption tax. If the house price is less than C $350000, he or she will enjoy a 36 per cent tax exemption.
Certificate of title fee: if the seller does not pay the certificate fee, then you will have to pay for it yourself, which is about $1000-2000.
House inspection fee: paid by the buyer, the price varies according to the house price, from $300 to 500 or more. The higher the house price, the higher the inspection fee.
Housing insurance and family property insurance: the annual housing insurance premium is about 0.1% of the house price, 0.2% of the house price. The calculation of the premium depends on the age of the house, the condition of the house, the area where it is located, whether you live or rent, the scope of the insurance policy and whether the owner has made claims in the past. If you need a loan to buy a house, all lending institutions will require you to buy housing insurance, especially fire insurance, which will take effect on the day of delivery, otherwise you will not get the loan.
Home evaluation fee: the so-called house evaluation fee is to estimate the value of the house you buy, and your mortgage lender may ask you to pay for the assessment. The cost is about $150 million and 350 cents.
Mortgage insurance premium: if your mortgage is a high-ratio mortgage with a down payment of less than 20%, about 0.7.
5% Mel 3.75%, you need mortgage insurance to pay a certain premium. Your borrower may add the insurance premium to your mortgage or require you to pay it off before the transaction is completed.
Down payment: you can get a loan from the bank when you buy a house in Canada, but you have to pay the down payment yourself. It is usually 20% of the house price, which is the least for new immigrants who are out of work, and it usually requires 30%. Different banks have different rules. If you have a good job, the minimum can be reduced to 5%, but you must buy the Canadian Mortgage Insurance Program or GE Mortgage Insurance, and calculate the premium based on the loan amount and the down payment ratio, usually at a cost of several thousand yuan. The insurance premium is added to the amount of the loan, and the first installment should be ready a few days before the house is handed over.
Property tax / land tax: the local government evaluates the property every year and collects property tax according to the amount of valuation, depending on the location and the property. For example, the Toronto area is about 1% of the property’s valuation; the Vancouver area is evaluated by the government every three years, which is about 0.5% of the property’s valuation. 0.6%.
Property management fee: property management fee is $0.42 per square foot, the new house is lower, the old house is more expensive, the general condominium needs to pay, the independent house generally does not have this fee.
Housing rental management fee: investors and landlords can decide how to rent their houses according to their own conditions. generally, long-term landlords living in Canada will choose to find their own tenants; while short-term or infrequent landlords will entrust housing trusteeship companies to manage and rent them on their behalf. the fee mainly depends on the type and area of the room, and the monthly fee ranges from $100 to 400.
Income tax: in Canada, rental income belongs to taxable income, and taxpayers who own rental real estate should declare their income every year. According to the 2013 Canadian federal tax regulations, the income tax rate is classified by annual income, with a minimum of 15% and a maximum of 29%, while individual income tax rates vary from province to province.