Buying a house in quebec

Buying a house in quebec DEFAULT

Buying a property in Quebec in 5 steps

The steps to becoming a homeowner are not the same everywhere you go. Just within Canadian borders, these steps vary from one province to the next.

Let’s go over the main steps people looking to purchase a property in Quebec need to take.

Financing

Before even beginning to look for a new home, it is recommended that potential buyers get pre-approved for a mortgage by their financial institution. They will then also be made aware of the maximum amount they may borrow to purchase a new home. Some homeowners insist that visitors have completed this step before accepting to show them their property.

To become a property owner in Quebec, one needs to make a down payment equivalent to at least 5% of the property’s purchase price. For example, a $300,000 property will require a minimum $15,000 down payment.

A mortgage provided by a financial institution may serve to cover the remaining balance. In Canada, the maximum amortization (reimbursement) period for such a loan is set at 25 years.

Research

The best way to find a property for sale in Quebec is online.

The DuProprio website lists over 23 0 001 properties that are for sale.

Another way to go about your search is to walk around a neighborhood to look for “For Sale” signs and to write down the phone numbers of the owners. You will then need to call to schedule a visit of their property. In some cases, you will be able to see a property without having to schedule a visit by attending an open house.

The offer to purchase

When a buyer is ready to acquire a property, he presents a formal offer to purchase (or promise to purchase). This document outlines all the details pertaining to the sale (namely the sale price, list of inclusions, occupancy date and conditions).

The owner may then choose to either accept or decline the offer, or to present a counter-offer. If both parties agree, the offer to purchase is signed and both parties are then required to fulfill their obligations.

The Conditions

An offer to purchase often comes with certain conditions. The sale is finalized once all the stipulated conditions have been met. For example, it is common for an offer to purchase to be conditional upon the buyer being approved for a mortgage. In order to complete the transaction, the buyer will need to provide proof of financing from his financial institution.

Transfer of ownership

The final step in buying a property is going before a notary. The buyer is to choose the notary and cover the fees. The notary is responsible for paying the seller, for registering the ownership of the property to the buyer’s name and for handing the buyer the final deed of sale.

The new owner will then be given the keys to the property and the transaction will officially be finalized!

Sours: https://duproprio.com/blog/home-buying/buying-a-property-in-quebec-in-5-steps-121

Tips for non-resident house buyers

Johanne Landry |

montreal1

If you don’t live in the Province of Quebec, you need to know the rules of the game before buying a condo or a second home. From mortgage financing to tax obligations, experts explain what non-resident buyers need to know.

According to real estate broker Jean-Patrice Bourguet, whether diversifying their investments, seeking a more intimate foothold than a hotel for family visits, or housing their children who will study in Quebec for a few years, many non-residents are interested in buying a home or a condo in Canada, particularly with a favorable exchange rate. Bourguet’s advice to these buyers? Start your search on Centris.ca, a site offering easy access to thousands of properties for sale, as well as to brokers operating under multiple banners.

While an Internet search gets the ball rolling, buyers will eventually need to visit in order “to tour the sectors and visit the properties that interest them,” says Bourguet. “In general,” adds mortgage broker Julien Chaumont, “banks will ask that a foreign investor be present for the opening of a Canadian currency account (necessary for the transfer of a down payment), and for the signing of the mortgage and the deed of sale in front of a notary.”

Mortgage

What are non-resident requirements for obtaining a mortgage loan from a Canadian bank? First, a minimum down payment of 35% of the purchase price is required. Next, a letter from a banking institution in your country of origin attesting to the good standing of your dossier in relation to mortgage, personal or car loans, and to confirm cash availability for the down payment. “It must be personal, rather than the liquidity of a company or a corporation, which is why they will often ask for an account statement history of the last 30 days,” says Julien Chaumont, adding that some lending institutions will also ask the bank to confirm a client’s professional status, as well as their assets, liabilities and income. Since a non-resident doesn’t have a history in Quebec, these documents essentially replace a traditional credit bureau investigation. “In some cases, for the purchase of a condo only, it might be possible to avoid a disclosure of revenues with a down payment of 50%,” explains Chaumont.

Some banking institutions may also slightly raise the interest rate on mortgage loans granted to foreign investors. As for amortization, it will be for a maximum of 25 years. “It’s not possible for non-residents to extend the term to 30 years, as is the case for Canadians with a down payment of at least 20%,” notes Julien Chaumont.

Tax implications of rental income

If there is any rental income, it will be taxable. For non-residents, the Canada Revenue Agency requires a 25% deduction of rental income as soon as it is collected, which may reduce the amount of cash available to pay for expenses associated with the property. In February of the following year, owners complete a tax return for rental income which allows for expense deductions, as well as for the reimbursement of overpaid taxes. “The wait can be long, with the reimbursement sometimes only coming in November,” says Thomas Keyes, CPA, CA, who suggests this trick: hire a Canadian agent, accountant or property manager, for example, who can personally guarantee taxes owed to the Canada Revenue Agency. The Canadian agent will produce an estimate of net profits at the beginning of the calendar year, and it’s this amount - less than income – that will be used to calculate the 25% deduction. “It can be advantageous when rental income profit is not very high due to a large mortgage or significant maintenance costs,” notes Keyes. This can be particularly true since non-resident owners often offer lower rent to ensure a reliable and responsible tenant. Being far away, it is more difficult to deal with problematic situations, so non-resident owners often prefer to forego rental profits in lieu of betting on added value at the time of resale five or ten years later.”

Also read: All about new home taxes

In respect to rental income, non-resident owners deal only with the Canada Revenue Agency, which then submits portions due to provincial governments.

Tax impact on capital gains

When non-residents resell a property, they are taxed on the capital gain at the same rate as residents, but they are not entitled to the basic personal exemption.

At the time of sale, a notary will freeze all funds until certificates of discharge from both provincial and federal levels of government are obtained. “This system ensures that the Canada Revenue Agency and Revenu Québec receive taxes owed to them,” explains Thomas Keyes, who advises that sellers request certificates of discharge upon signing the promise to purchase. “You will then receive a letter from both levels of government indicating what you owe them. Taxes will be paid at the time of sale and certificates of discharge will be issued the next day. It’s faster because all of the audit work has already been done,” says the accountant.

Also read: 7 economic benefits of buying a brand-new home

In cases where non-residents buy an apartment for their children who are going to study in Quebec for a few years, Thomas Keyes suggests putting the property in the name of the children, who can obtain residency status and benefit at the time of resale from an exemption for a principal residence. As a result, the capital gain will not be taxed. “One disadvantage, however, is that the children must accept the profit. If the purchasing parents want to receive the capital gain on their investment, they must keep the property in their name and pay the taxes,” explains Keyes.

On the other hand, this trick is easier to apply when paying cash for the apartment. If mortgaged, the bank will require that the parents’ names be added to the property title, and a notarized letter will be necessary, says Keyes.


Sours: https://www.guidehabitation.ca/blogue/en/tips-non-resident-buyers/
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House Hunting in … Quebec

International Real Estate

A SIX-BEDROOM HOUSE IN QUEBEC CITY

$596,000 (745,000 CANADIAN DOLLARS)

This three-level brick house, built in 1832, is in Old Quebec, a section of Quebec City designated as a Unesco World Heritage site, in the Canadian province of Quebec.

The six-bedroom house, which is operated as a bed-and-breakfast, was originally a tavern and inn, said the owner, Jacques Brouard. The buyer may use it as a private residence or continue to operate it as a B&B under the terms of a city permit, he said.

The main floor has a living room, dining room, kitchen, office and powder room. There is a fireplace in the dining room, which has walls of exposed brick and limestone, a common building material in Old Quebec, Mr. Brouard said. A large wooden door separates the dining room from the rustic kitchen, which has a wood stove and a round center island.

A stairway at the front of the house leads to the second level, currently used only by the owners, Mr. Brouard said. It has three bedrooms, one of which has a fireplace, and one bath with a soaking tub and open shower. A small office is at the end of the hallway.

Another stairway leads to the third-level guest rooms: three bedrooms with dormers, three full bathrooms and a small living room. (The city permit allows the booking of three bedrooms.)

The floors on the first and second levels are pine, and the flooring on the top level is cork.

A yard and parking area are to one side of the house. Behind the property, a nearby staircase leads to the Battlefields Park, a national park that includes the Plains of Abraham, the site of a defining battle during the French and Indian War.

The property is less than a mile from the Boulevard Champlain, which runs along the St. Lawrence River. A biking and walking path joins up with the Promenade Samuel-De Champlain, a popular riverside park about three miles away, Mr. Brouard said. The Jean Lesage International Airport is about a 20-minute drive.

MARKET OVERVIEW

The market in Quebec City has been fairly flat for several years, said Dominic St-Pierre, senior director of the Quebec province for the real estate company Royal LePage. While the city has a low unemployment rate, at less than 4 percent, he said, “it doesn’t have the population growth that some other Canadian cities have,” and a large inventory of homes for sale has kept prices from rising.

“It’s been a buyer’s market since 2013,” said Marc Pinsonneault, a senior economist with the National Bank of Canada. “Especially in the condo segment,” he added, which represented nearly a quarter of sales in the broader Quebec City metropolitan area last year.

Overbuilding led to a glut of new condos, which stalled the sales of existing condos, stretching their days on market last year to almost twice that of 2011, Mr. Pinsonneault said, noting that prices of resale condos have declined by roughly 1 to 2 percent in each of the last four years.

In the fourth quarter of 2017, the median sale price for a condo in Quebec City was 240,000 Canadian dollars (or about $192,000), Mr. St-Pierre said. The median sale price for a “bungalow,” or single-level home, he said, was 267,000 Canadian dollars (about $214,000); for a two-story house, it was 355,000 Canadian dollars (or $284,000).

The areas of the city in highest demand are the borough of Les Rivières, which saw a 27 percent increase in sales last year, and the neighborhood of Sainte-Foy, where sales rose 17 percent, he said. Both are close to the city center and the river.

WHO BUYS IN QUEBEC CITY

Foreign buyers are more common in Toronto, Vancouver and Montreal, but Americans and Europeans do buy in Quebec. Martin Dostie, an agent with Sotheby’s International Realty Canada, which has this listing, said that most of his foreign clients are from France and Belgium, but he also has buyers from Spain, Uruguay and Mexico.

BUYING BASICS

There are no restrictions on foreign buyers in Quebec, Mr. St-Pierre said. The real estate agent’s commission is usually 4.5 to 5 percent, and is paid by the seller.

Mortgages are available, but foreigners are typically required to put down at least 25 percent. And new lending rules in Canada require all buyers applying for a mortgage to meet a so-called stress test, Mr. St-Pierre said; they must prove they could still qualify for the mortgage if the interest rate were 2 percent higher.

WEBSITES

Quebec City tourism: quebecregion.com/en/

Quebec government: gouv.qc.ca/

Unesco listing of Old Quebec: whc.unesco.org/en/list/300

LANGUAGES AND CURRENCY

French and English; Canadian dollar (1 Canadian dollar = $0.80)

TAXES AND FEES

Annual city and school taxes on this property are 7,690 Canadian dollars, or about $6,150, Mr. Dostie said. But using the house as a private residence, rather than a B&B, would lower the city taxes, Mr. Brouard said.

Transaction fees usually total around 2 percent of the purchase price, and include a real estate transfer tax, often called the “welcome tax,” at a graduated rate based on the value of the property.

CONTACT

Martin Dostie, Martin Dostie Group/Sotheby’s International Realty Canada, 418-956-8687; sothebysrealty.ca

Sours: https://www.nytimes.com/2018/01/24/realestate/house-hunting-quebec-city.html
We Bought a House for Only $7,000 - Full Tour

How to avoid the pitfalls when buying a home


There’s nothing like buying your first home! But what about all the traps and pitfalls you might fall into? Here’s a survival guide.

Before you begin your search for a house, the first thing is to define what you want now as well as later on:

  • Do you want to live in the city, the suburbs or the country?
  • Do you need lots of room because you’re planning a family sometime in the future, or just a small home because the kids have all moved away and you’re retiring soon?
  • Do you prefer an apartment, house or duplex?
  • Do you need several bedrooms, two bathrooms, an office or a garage?
  • Are you looking for air conditioning, extra storage space, a workshop, a fireplace or a pool?
  • What about the neighbourhood? Does it have the services you’re looking for (such as schools, daycare, public transportation, shopping centres, a library, hospitals)? Is it quiet? Clean? Are there trees, parks or parking? Could commercial buildings go up? Or highrises? Is it on a flood plain?

Are you looking for a building that is new or already built? Each option has its pros and cons. Often with a new house, you can customize it to your taste, such as the exterior cladding, the landscaping or the size of the closets. Plus, it will meet all building codes and the latest standards regarding electrical material and energy efficiency. A new home is protected by a guarantee, and you have no maintenance costs for at least a few years. On the down side, if the whole area is new, it may be a while before schools, stores and other services are built. Plus, the purchase of a new home is subject to the goods and services tax (GST). And then there are all those extra costs such as landscaping, paving the driveway, having a fence built and finishing the basement. An older home is usually part of an established neighbourhood with all the services already in place. It comes landscaped and fenced. It might have a fireplace, a finished basement or a pool. But you’ll probably want to renovate it the way you’d like – you might even have to undertake some major repairs, such as fixing the roof or replacing doors and windows.

If you go the new-home route, make sure the builder is qualified. See if he is a member of a recognized contractors association (the ACQ or the APCHQ), if he has a licence from the Régie du bâtiment du Québec and if he has a guarantee plan for the new homes. Why not ask some owners who’ve already bought from him if they’re satisfied with the after-sale service? Also ask them about how the contractor was at meeting deadlines, and if the developer was easy to get along with. Ask the builder to make the contract as detailed as possible in terms of work to be done. And withhold the final payment until the work is completely finished. If you choose a home that’s already been built, visit several houses before settling on one. And make sure you see those that interest you in full daylight at least once – this is the best way to find any structural problems and any needed major repairs (such as foundation, roof and windows). You’ll also get a better look at surrounding homes. Take notes on each home you visit so that you can compare them all later. Include the costs of public services, property taxes and major repairs. Ask for a copy of the electricity bill, heating bill and so forth. Speak to your potential neighbours. When you visit a home, don’t let yourself be distracted by the decor and accessories. Rather, focus on the number of rooms and their sizes, storage space (open the closets and cabinets), security (locks, doorbell, window locks and alarm system), the condition of the electric wiring and the plumbing (water pressure and hot water), the basement (evidence of flooding, humidity and cracks), the furnace, and doors and windows. Examine the outside: landscaping, amount of sunlight, play area for the children, the state of the front walk, cladding (paint, aluminum or brick), the gutters, window frames, doors, railings, exterior lighting, the roof and the chimney.

Determine exactly what you can afford
Does is take a lot of cash to buy a house? That depends on several factors. But usually you make a down payment and borrow the rest from a bank or other mortgage lender.

The down payment is equivalent to a percentage of the purchase price, generally from 5 to 20%. However, down payments less than 20% require mortgage insurance. The best plan is make the highest down payment you can in order to reduce your mortgage payments and interest.

Then you need to look at the highest monthly payment you’re ready to make. Analyze your present financial situation. Make a realistic budget, taking into account your spending habits (such as trips, dining and entertainment), living expenses (lodging, food, clothing, medication, school fees, personal loans, car loans, credit cards, line of credit) and your savings.

Your monthly housing expenses (mortgage payments, heating and taxes) should not exceed 32% of your household’s gross income per month. If applicable, this amount should also include half of the monthly condo fees. And the total amount of your debts (lodging, loans, credit cards, etc.) should not exceed 40% of your gross monthly income. If your debts and financial obligations (such as school fees and trips) are high, you will have to consider reducing your housing expenses or look at where you can make some sacrifices to speedily lower your indebtedness (cut out those trips, for example). But remember that the goal of buying a house is to improve your standard of living, not to be cooped up in it because you can’t afford to do anything. Nor do you want to be so strapped financially that you’re left without room for manoeuvring.

As for the lending institutions, caveat emptor! They tend to be very willing to lend very large sums of money, but they do not take into consideration all the financial obligations that a couple or an individual may have. It’s your responsibility to do the math. One rule of thumb is that if you usually spend one quarter of your gross family income on lodging, then that’s the proportion you should stick with. A mortgage can be amortized over 30 years, and sometimes even over 40! Ideally, the longer term is not the best choice. Sure, by spreading out the loan over several years your monthly expenses will be perhaps more affordable. But you’ll also be paying a lot more interest! Better to save up your money and wait a few more years before buying.

The real estate broker
It’s all good and well to know what kind of house you want to buy and the neighbourhood you want to live in, but you still have to find it. You can look by yourself and deal with the vendor’s broker (or with the vendor directly, if it’s a “for sale by owner”), or call a real estate broker who will work on your behalf. That broker will help you unearth the ideal home, draw up an offer to purchase, negotiate in your name to help you get the best price possible, provide you with important information on the area, and take care of having the property inspected. Usually, it’s the vendor who pays a commission to the broker once the transaction comes to a close. When you choose a real estate broker, don’t be shy about asking them questions, mostly about their years of experience in the area, how they operate, references, as well as eventual service charges. Also check whether the broker is a member of the Association des Courtiers et Agents Immobiliers du Québec. And beware of the agent who insists a little too much that you sign an offer to purchase under the pretext that there is another buyer in the picture. The broker just might be more interested in the commission than looking out for you.

Whether or not you have a real estate broker, it’s in your best interest to do your own research into the “real sale value” of the house you’re interested in buying. All you have to do is compare it with other houses of the same category that were recently sold in the area. You can do this by going to brokers’ Internet sites or by calling the city’s registration bureau. If the owner must sell quickly, he could ask a good price.

More buying expenses
Once you’ve established the approximate price that you can pay, you must then calculate all the other related expenses. That way you’ll be sure you’re ready for it financially:

  • Adjustment fees. You are obliged to reimburse the vendor your share of bills already paid up, such as property taxes, unused heating oil, and so forth.
  • Home insurance. This is required by the mortgage lender because the property is offered as 
    collateral. The amount of this insurance must cover the cost of rebuilding the house and replacing its contents. If the value of the new house is higher than that of the old one, your premiums will go up accordingly. Coverage must begin the day of the title transfer.
  • Survey certificate. The lender may require a survey certificate before paying out the loan. If the 
    vendor does not have this certificate and is not willing to assume the cost (from $1,000 to $2,000, on average), you will have to pay for it.
  • Water-quality inspection. If the water comes from a well, you must make sure it is potable and that there is enough of it in reserve. You may negotiate the cost of this inspection with the vendor and mention it in your offer to purchase.
  • Legal fees, building-inspection fee, and transfer tax (the “welcome tax”)
  • Gardening tools, lawnmower, snow-removal equipment, window trim, decorating material (paint, 
     landscaping material, etc.); the cost of moving, renovating and or making repairs, service hook-ups (phone, cable, electricity); and condo fees, if applicable.

The offer to purchase
At last you’ve found your dream home. All that’s left to do is present your offer to purchase. This consists of a written agreement defining the conditions of the sale. Be aware that this “offer” is just as binding as a contract. Once accepted by the vendor, it must be respected. That’s why, before presenting it, it’s best to prepare an offer to purchase with your broker, a notary or a lawyer.

The offer to purchase must contain all the details of the sale, such as the price offered, the amount of the down payment, all goods included in the sale, the date of the title transfer and the expiry date of the offer to purchase. You may also add other conditions, such as it being valid only upon passing inspection, mortgage approval or the sale of your current house. The offer to purchase will become final only once these conditions are met. The last step is to go to the notary’s to sign it.

The inspection
As a new home is a major investment, you’ll want to have the house inspected before concluding the purchase. This way you’ll know whether the property is in good condition and you’ll avoid any unpleasant surprises such as finding contaminants like pyrite or urea formaldehyde. The building inspector will visually examine the structure’s main systems and accessible components. He must note down the existing and perceptible general condition for the purposes of revealing any defects and signs of potential problems. The price of an inspection is several hundred dollars. Be aware that there are no laws governing this profession, so be careful whom you choose. Hire an experienced inspector who is a member of a professional association and who has professional-responsibility insurance. And ask for a full written report on the state of the house, including the necessary repairs, and with photos where possible.

Thanks to the Canada Mortgage and Housing Corporation (CMHC) for their cooperation.
By Jacqueline Simoneau
Translated by John Woolfrey

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Sours: https://www.caaquebec.com/

A quebec buying house in

Buying a property,
step by step

Ready to buy a property? Even if this is not your first purchase, this guide will help you make sure you have all the information you need.

Rest assured
Whether you are looking for a single-family home, a co-ownership property or an income property, you’ve come to the right place! The Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) is your best ally. Our role, entrusted to us by the Government of Quebec, is to enforce the Real Estate Brokerage Act which protects you when you engage in a real estate transaction using the services of a broker.

To ensure everyone's health and safety
Read the article COVID-19: Its impact on your real estate transactions to learn more about the OACIQ's recommendations in the current context.

Overview of the guide
This guide, the result of many years of experience in answering your questions, is intended to be concrete and practical. It summarizes what you need to know at each step and in the most common situations when buying or selling a residential property, in the form of clear, simple and direct answers.

The guide is divided into three clearly identified sections:

 
  • BEFORE you buy;
  • DURING the purchasing process; and
  • AFTER the transaction.

In each of these sections, take the time to read:

The content in the hyperlinks: To help you find out everything you need to know about a form or a step, the OACIQ provides a wealth of content on its website. Do not hesitate to click on a link to learn more!

TALK IT OVER WITH YOUR BROKER

Because your broker is at your service and his activities are well supervised, we will indicate what to ask him and when.

TALK IT OVER WITH YOUR BROKER

Because your broker is at your service and his activities are well supervised, we will indicate what to ask him and when.

GOOD TO KNOW

These are clarifications that will help you save time.

GOOD TO KNOW

These are clarifications that will help you save time.

Sours: https://www.oaciq.com/en/buyers-guide
What's The Cost Related To Buying A Cottage Or A Home In Quebec

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Quebec has its own set of rules

When buying a house in Quebec, the first thing to know is: “You know nothing” (John Snow). Ok, yes, I watch Game of Thrones! Seriously, you don’t know much though! The rest of Canada follows Common Law whereas here in Quebec, we have our own rule book – The Civil Code. Very generally speaking (since I am not a lawyer), Common Law is case law and Civil Law is codified statutes.

On top of that, we have very tough Real Estate Laws and a fierce regulatory body call the OACIQ, which oversees all real estate brokers. The OACIQ – Organisme d’autoréglementation du courtage immobilier du Québec (loosely translated as the Self Governing Organization of Quebec Real Estate) has as its mission “to protect the public by overseeing the profession adequately and ensuring quality real estate and mortgage brokerage in Québec.” It’s better know by brokers as the real estate police!

Oh, and there are no real estate agents in Quebec – we are either Real Estate Brokers or Chartered Real Estate Brokers. While both are qualified to guide you through the process of buying or selling a property, Chartered Brokers (like myself) have taken extra legal and business courses so that we can manage a Real Estate Agency (not Office – Agency). However, a Real Estate Broker, Chartered or not, is not authorized nor qualified to give legal advice.

More important than the different names are the different laws and regulations. The OACIQ has created mandatory real estate procedures and forms for every situation, in order to protect both the buyer and the seller. Brokerage Contracts and Promises to Purchases (offers) are standard forms, so no party can write up their own version of an offer form. The Promises to Purchase are legally binding contracts that don’t require lawyers to be involved. When a Promise to Purchase is accepted and all the conditions are removed, the paperwork will be sent to a notary who acts for both parties – neutrally – to finalise the sale.

When you are in negotiations and setting deadlines for conditions, be aware that in Quebec, there is no such thing as ‘Business Days’ vs ‘Calendar Days’. In Quebec, days are just days! Sundays and holidays are just days like any other.

The Notary

Who gets to choose the notary? The notary is decided on in the negotiations in the Promise to Purchase, although it is usually the buyer who chooses. The notary does the title searches and reviews the documents to ensure all is in order, verifies that all taxes are up to date, organises the mortgage with the buyer’s bank and disburses the proceeds. Then, everybody gets to pay the notary! The buyer usually pays the most, on average $1000. The cost to the seller depends on the number of liens (legal mortgages/hypotecs) on the property. Generally, it’s under $500, but it depends on the notary.

Getting the non-mortgaged money to the notary is also important. Be aware that the funds must be in the notary’s trust account 48 hours before the signing of the deeds. This means free and clear in the account; surprisingly certified cheques are held by banks for days!  A bank transfer is usually the best way to get your money to the notary quickly and safely.

Occupancy Dates

In Ontario and other parts of Canada, when you sign and pay, you get the keys immediately – not in Quebec! Here you sign, pay, activate your insurance and then let the seller live in the house for another 2-4 days! The seller needs to wait two days for his proceeds to clear from the sale so that he can pay for his next house. Then he lets the other seller do the same thing, hence the 4 days. To compensate you while you wait the seller will continue to pay for the taxes until your occupancy date. Most out of province buyers are amazed by this delay but it all comes back to the registry office. The notary must register the new deed of sale at the registry office to make it official and the delay allows to notary to ensure there are no outstanding liens against the property. A lien registered against a house would make it impossible for the vendor to sell, so this delay decreases the chances of this happening. Don’t worry – in all my years as a real estate broker, I have never seen this happen. If it did, the notary would advise you of the steps to follow.

 The Welcome Tax

So, congratulations you bought a house! Did you notice there were no transfer duties or taxes paid at the notary’s office? That’s because in Quebec, we let you move in, start enjoying your new home and then send you a whopping “Welcome Tax” bill six weeks later!

It is a transfer tax but it is better known as the Welcome Tax, in reference to the Minister of Municipal Affairs who introduced it: Minister Bienvenue (or Mr. Welcome in English). The tax amount can be very high so make sure you are prepared for the bill as you only have 30 days to pay it.

The Welcome Tax is calculated in two steps:

The ins and outs of transfer duties are set out in An Act respecting duties on transfers of immovables (the “Act”).

The amount is always based on the higher of three amounts:

  1. The final sale price of the property (excluding GST PST if applicable)
  2. The municipal evaluation at the time of its transfer. Some cities even multiply the base number (sale price or evaluation) by 1.01 or even as high as 1.11 to create the final taxable amount.
  3. The amount of the consideration stipulated in the act of sale, if different from the price paid (e. in a Gifting situation)

Then the tax is calculated as follows:

0.5% on the first $50,000

1% on the amount from $50,000 to $250,000

1.5% on the amount from $250,000 to $500,000

2% on the amount over $500,000*

So, for example, a property with a tax base as 350,000 would be taxed

$250 on the first $50,000

$2000 on the next $200,000

And $1500 on the extra $100,000

Totaling $3750 to be paid within 30 days of receiving the bill. Welcome to Quebec!!

These are just a few of the more important aspects of Quebec Real Estate Law, your Real Estate Broker will keep you informed and ensure your transaction goes smoothly.

 

*For attached properties in the City of Montreal,

 a rate of 2.5% is applicable on the basis of imposition which exceeds one million dollars.

**The foregoing provides only an overview and does not constitute legal advice. Readers are cautioned against making any decisions based on this material alone. Rather, specific legal advice should be obtained.**

Sours: https://ellerbeck.ca/quebec-real-estate-practices-different-from-the-other-provences/

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So he just put it between them. But he could clearly feel her touching his mother's chest in this position. Great excitement awakened in John's pants, pressing against the sand. He was a fool when he believed that it would not work. His mom was close by, almost naked, and they were touching with their sides.



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