In Canada, all licensed real estate agents can sell any current listings on the market, including listings held by other agents and companies. Purchasers deal with one agent who works on their behalf and provides updates on new listings, arranges viewings, and negotiates transactions. Sellers must work with only one agent, since dual agency is no longer permitted.
When buying property in British Columbia, a purchaser is required to retain the services of a Canadian lawyer or notary to draw up the land title transfer documents, mortgage documents and handle the transfer of funds. The seller must also have a lawyer or notary represent them as well. It’s recommended that you use a lawyer that is familiar with Whistler property to handle the transaction. Please contact me for recommendations of reputable local lawyers.
There is no foreign buyer tax in Whistler. The Metro Vancouver area has a 20% tax on purchases made by non-residents, but this does not apply in Whistler.
Many non-resident purchasers choose to rent out their property when they are not personally using it. Canada Revenue Agency (CRA) require non-residents to pay 25% on the gross rental income from the property to the CRA. This amount may be reduced by filing the appropriate paperwork in advance. If you are working with a property rental manager, they can assist with this process.
The Canadian Revenue Agency requires a property owner to file a tax return for all income generated from the property and will only allow expenses from the past two years to offset income from property. The Canadian government has certain regulations that must be adhered to with regard to taxation law. It’s recommended that you speak to a local accountant to handle your tax reporting. I can provide you with a list of recommended accountants.
When you decide to sell your property, you will need a Clearance Certificate from Revenue Canada prior to the completion date of the sale. The clearance certificate confirms that all taxes have been paid up to date and that all of the proceeds from the sale of the property can be released. If you do not have the Clearance Certificate in time for completion, the buyer’s lawyer will hold back a portion of the sale proceeds until the clearance certificate has been provided.
To facilitate an easy transaction, opening a bank account in Whistler or with a Canadian bank in order to transfer funds will make things easier. In most cases, a certified cheque or bank draft in Canadian funds is all that is needed. The exchange rate can fluctuate between institutions, but easily found online.