Remax Sea to Sky Real Estate Ltd.
If you are a non-resident of Canada looking to finance a purchase for revenue or vacation property, most banks require a 40% down payment. However, depending on each application some lenders will accept as little as 25%.
Revenue Canada Taxation requires non-residents to pay twenty-five percent (25%) of the gross rental income from the property to Revenue Canada.
Purchasers can frequently obtain an exemption by filling out an NR6 government form if the projected income is less than the anticipated expenses for your revenue property. Ask your potential property management company if they will assist in the completion of the NR6 return. It is important to file an annual tax return with respect to the property in order to retain this exemption.
For more information, please contact a Canadian accountant or lawyer specializing in British Columbia Real Estate.