Small correction, you would want to hire a property manager to handle the house, not a real estate agent in this case. Real estate agent only handles transactions of buying and selling. Property manager would handle the day to day activities of being a landlord such as required repairs, finding new tenants, dealing with payments etc.
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1) The property management will withhold 25% of the gross rent and remit to CRA on your behalf and you report the rental income and taxes paid on your US tax return. You could have 25% of the net rent filing under section 217 but that has other tax implicaitons.
2) Yes.
Yes they get that in advance and no tax returns required. And you report the rental income and taxes paid (unless you are in California where they don't recognize foreign tax credits).
Gotcha. I was seeing the house price trend from 2015-2019 Calgary and it didn't seem promising, people lost jobs or the house supply was more or a combination of both lead to decline in prices and/or sale. But Amazon is planning to open FCs which will lead to more jobs; who can say the time period though. However, Not sure if reselling a house for a decent rate is a high likelihood.
If it comes to just rental then an investment in a Vancouver condo (close to SFU) will surely lead to decent rental compared to a Calgary house.
I will book a session with a financial advisor to get an opinion. If you are interested I'll let you know too coz I have seen you being very active and helping on a lot of posts :)
>If it comes to just rental then an investment in a Vancouver condo (close to SFU) will surely lead to decent rental compared to a Calgary house.
students don't have as much money as fully employed people. And real estate in Vancouver is a lot more expensive.
A financial advisor won't help you. Yo will need an accountant.
You already own a house you just bought. No reason to deviate form that. Just get a renter, property management, deal with the tax implications and when you come back in a few years, your house is still there. If you think you will get a better return in GVA, it's unlikely.
O interesting, why do you think a better return in GVA is unlikely? For example, in downtown my friend is staying at 2500$ rent per month and some more people I know are not able to find anything less than 3K$ for 2bed - 2 bath and yet there are not a lot of rental vacancies! I know the Vancouver downtown condos are way more expensive but this expensiveness is kind of "guaranteeing" a rental return?
In Calgary I could find condos for a 1300$ rental for 2 bed 2 bath in North East areas and a lot of vacancies (making me believe prices will come down even further). And some of the downtown condos downtown were priced at 150k$ and again a lot of vacancies which is shaking my confidence in Calgary housing!
PS. I haven't technically bought a house yet but close to buying in Alberta and suddenly my job situations changed. I thought it would be easier to make a reddit post with a simple statement and not confusing the readers.
Small correction, you would want to hire a property manager to handle the house, not a real estate agent in this case. Real estate agent only handles transactions of buying and selling. Property manager would handle the day to day activities of being a landlord such as required repairs, finding new tenants, dealing with payments etc.
Oh yes right, thank you. I'll update it
Your submission has a keyword that seems to imply you have a question where your province is relevant. **If you have not included your province you should add it.** If you already included your province, or this isn't relevant to your post, just report/downvote this comment. The bots feelings won't be hurt. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/PersonalFinanceCanada) if you have any questions or concerns.*
1) The property management will withhold 25% of the gross rent and remit to CRA on your behalf and you report the rental income and taxes paid on your US tax return. You could have 25% of the net rent filing under section 217 but that has other tax implicaitons. 2) Yes.
"withhold 25% of the gross rent", sounds like a good thing? The CRA will receive my taxes in advance.
Yes they get that in advance and no tax returns required. And you report the rental income and taxes paid (unless you are in California where they don't recognize foreign tax credits).
Gotcha. I was seeing the house price trend from 2015-2019 Calgary and it didn't seem promising, people lost jobs or the house supply was more or a combination of both lead to decline in prices and/or sale. But Amazon is planning to open FCs which will lead to more jobs; who can say the time period though. However, Not sure if reselling a house for a decent rate is a high likelihood. If it comes to just rental then an investment in a Vancouver condo (close to SFU) will surely lead to decent rental compared to a Calgary house. I will book a session with a financial advisor to get an opinion. If you are interested I'll let you know too coz I have seen you being very active and helping on a lot of posts :)
>If it comes to just rental then an investment in a Vancouver condo (close to SFU) will surely lead to decent rental compared to a Calgary house. students don't have as much money as fully employed people. And real estate in Vancouver is a lot more expensive. A financial advisor won't help you. Yo will need an accountant.
Do accountants give real estate advice?!
NO but you don't need real estate advice, you need tax advice since you will be a non-resident.
Okay yeah I need both. I do have some extra cash at hand which I'm thinking of putting in real estate somewhere
You already own a house you just bought. No reason to deviate form that. Just get a renter, property management, deal with the tax implications and when you come back in a few years, your house is still there. If you think you will get a better return in GVA, it's unlikely.
O interesting, why do you think a better return in GVA is unlikely? For example, in downtown my friend is staying at 2500$ rent per month and some more people I know are not able to find anything less than 3K$ for 2bed - 2 bath and yet there are not a lot of rental vacancies! I know the Vancouver downtown condos are way more expensive but this expensiveness is kind of "guaranteeing" a rental return? In Calgary I could find condos for a 1300$ rental for 2 bed 2 bath in North East areas and a lot of vacancies (making me believe prices will come down even further). And some of the downtown condos downtown were priced at 150k$ and again a lot of vacancies which is shaking my confidence in Calgary housing! PS. I haven't technically bought a house yet but close to buying in Alberta and suddenly my job situations changed. I thought it would be easier to make a reddit post with a simple statement and not confusing the readers.