I am on Open Work Permit want to buy house, please help.

[Ronny123]

Hi there

I have 18 months left on my open work permit and my PR application is still under process. I am being sponsored by my wife who is PR in here in Canada for my PR application. Since its a good opportunity to buy a house at this time, we don't want to miss the train. My PR application was submitted 2 years ago and I haven't heard back yet.

Could someone advise me, can I and my wife buy a house jointly and I get exempt from paying 20% foreign entity tax since my wife is PR here? Please advise me

 

[Yazin]

This is a mortgage broker question, First why you are on a work permit unless you came in a work permit then you got married. You need to ask a mortgage broker if you can be a co-applicant as the property should go under your wife's name so you don't have to pay the foreign property tax. Also you need to show two years of employment to get approved.

 

[steaky]

My guess is you pay your portion of the foreign property tax. If you don't to pay, why don't you get your wife full ownership first and then after you became PR, transfer the half ownership to yourself?

@Yazin : This is not a mortgage broker question! They need a notary public or lawyer to do the legal paperwork.

 

[fzindani]

Hi there

I have 18 months left on my open work permit and my PR application is still under process. I am being sponsored by my wife who is PR in here in Canada for my PR application. Since its a good opportunity to buy a house at this time, we don't want to miss the train. My PR application was submitted 2 years ago and I haven't heard back yet.

Could someone advise me, can I and my wife buy a house jointly and I get exempt from paying 20% foreign entity tax since my wife is PR here? Please advise me

Hi i was a work permit holder when i bought a property with my brother in law who was a pr at that time. Yes u can buy it. What city or province are u in? Let me know if i can be any help

 

[fzindani]

Hi i was a work permit holder when i bought a property with my brother in law who was a pr at that time. Yes u can buy it. What city or province are u in? Let me know if i can be any help

Also i bought the property cosigning with my brother in law so u can see i didnt even need to be married to anyone to cosign. The mortgage broker who helped us said as long as u have full time job. So u shoudl be fine. Also talk to brokers

 

[Ronny123]

My guess is you pay your portion of the foreign property tax. If you don't to pay, why don't you get your wife full ownership first and then after you became PR, transfer the half ownership to yourself?

@Yazin : This is not a mortgage broker question! They need a notary public or lawyer to do the legal paperwork.

Thanks for your reply, if she be the full owner she can't get mortgage approved over $400k since a couple should make over $100k/yr to get approved for atleast $600k valued house.

 

[Ronny123]

This is a mortgage broker question, First why you are on a work permit unless you came in a work permit then you got married. You need to ask a mortgage broker if you can be a co-applicant as the property should go under your wife's name so you don't have to pay the foreign property tax. Also you need to show two years of employment to get approved.

Thanks for your reply iwould check for this co applicant thing that would be great.

 

[Ronny123]

Hi i was a work permit holder when i bought a property with my brother in law who was a pr at that time. Yes u can buy it. What city or province are u in? Let me know if i can be any help

Yes i live in lower mainland, British Columbia and have been working for 2 years. I called the tax department yesterday and they said i would have to pay 20% ATT (foreign entity tax) even If own 1%share of the property.

 

[canuck78]

Unless these rules were in place someone would buy the property with someone who is a PR or citizen and then transfer ownership. You'll need to wait until you are a PR. Low interest rates are going to change.

 

[GandiBaat]

Could someone advise me, can I and my wife buy a house jointly and I get exempt from paying 20% foreign entity tax since my wife is PR here? Please advise me

Are you in BC?
One possiblity is if you apply for BC PNP and nominated, you will be exempted from Foreign Tax, AFAIK. Consult a mortgage broker.

 

[steaky]

Are you in BC?
One possiblity is if you apply for BC PNP and nominated, you will be exempted from Foreign Tax, AFAIK. Consult a mortgage broker.

Why do you even post? OP said they are living in BC (lower mainland) already. A mortgage broker would not help. AFAYK is incorrect. OP contacted the tax department and said would have to pay 20% ATT (foreign entity tax) even If own 1%share of the property.

Please read before you post anything.

 

[GandiBaat]

OP said they are living in BC (lower mainland) already.

I read their first post that said, my assumption turned out to be correct.

AFAYK is incorrect

Yes, if one applies for BC PNP and they are nominated then they are exempted from tax.
Source : https://www.welcomebc.ca/getmedia/71d9f918-8aff-455f-9a11-53976cec94e6/BC-PNP-SI-and-EEBC-Workers-Info-Sheet.pdf.aspx

Advantages of the BC PNP
.....
nominees are exempt from foreign buyers’ tax

What I told them was not incorrect. If they get a BC PNP, they can avoid that tax as per laws.

OP contacted the tax department and said would have to pay 20% ATT (foreign entity tax) even If own 1%share of the property.

Errr... I didn't comment on percentage part. My comment was that BC PNP can help him avoid the tax if the other partner in join ownership is already exempt (by being a PR).

Please read before you post anything.

Errr.... may be you should also do the same?

 

[steaky]

Errr.... may be you should also do the same?

You don't know what you talking about!

I suggest you read the entire thread one more time. Do you saw OP as a PNP applicant? But OP was sponsored by PR wife. That was said in the first post.

I have an idea. Perhaps OP could consider to buy a presales unit instead.

 

[GandiBaat]

You don't know what you talking about!

I suggest you read the entire thread one more time. Do you saw OP as a PNP applicant? But OP was sponsored by PR wife. That was said in the first post.

I have an idea. Perhaps OP could consider to buy a presales unit instead.

I merely mentioned one possibility. Nothing more. The OP has not mentioned *ANYTHING* about PNP. I have no visibility in their PR process. Its not prudent to assume that they don't have it. For all one may know, they may have it and that may simplify their lives.

 

[KenHaptor]

Buying a house is a big decision and can be quite challenging, especially when you're on an open work permit and waiting for your PR application to be processed. As for your question about the 20% foreign entity tax exemption, it's best to consult with a real estate lawyer or a tax professional. They can give you more specific and accurate advice on this matter. Additionally, if you're looking for potential properties to consider, you may want to check out Lentor lentorhillsresidences-lentorhillsroad.sg. They have a variety of residential options that may be suitable for you and your wife. Overall, buying a house is a big investment and requires careful consideration.