All items tagged with: real estate
Posted in: Strategic Thinking , Essential Tax Facts, Investing, real estate, principal residence, Capital Gains Deduction, house flipping
There’s nothing like a good house flipping show to get you thinking about the cash potential in your own home. The house flipper approach is to buy homes, live in them short-term while fixing them up, and then sell them; often for big profits. It sounds simple, but it’s not a foolproof strategy, because it comes with tax risks. When done often, house flipping can raise eyebrows at the CRA. Learn how to flip with care, and understand the principal residence rules that could diminish your profits, or worse.
Posted in: Strategic Thinking , Evelyn Jacks, Essential Tax Facts, tax tips, claiming expenses, tax deductions, real estate investors, landlord
Returns that include income from rental properties are often audited, so, it’s important to consider your increased tax compliance burden as a real estate investor. If this is your first year with a rental property, it’s especially important to set up the tax reporting and documentation properly for an audit-proof experience. Use this checklist to help:
Posted in: Strategic Thinking , Debt Management, Bank of canada, housing market, real estate, interest rate, prescribed interest rate, Steven Poloz, economic forecast, oil crisis
Debt reduction could be the leading financial management strategy as 2019 begins, given the grim housing market forecast, where the biggest concern relates to housing affordability. RBC reports that this will remain a financial challenge for many Canadian families, as the cost of homeownership relative to median income levels will keep rising.
Posted in: Strategic Thinking , Debt Management, Real Wealth Management, Financial Literacy, Financial Advisor, investment, knowledge bureau, interest rates, Evelyn Jacks, real estate, master financial advisor, retirement income, financial education, mortgage stress test, mortgage lenders, Retirement and Estate Services Specialist, holistic wealth management, Canadian debt levels, debt to income ratio, qualifying for a mortgage, wealth building, Tax Strategies for Investors
In January, a new mortgage stress test was put in place requiring Canadian home buyers to qualify at rates higher than the benchmark interest rates imposed by the Bank of Canada and individual lenders. The implications to Canadian debt levels and the housing market are factors advisors should consider when offering holistic advice to clients.
Posted in: Strategic Thinking , Debt Management, Financial Literacy, knowledge bureau, Evelyn Jacks, housing market, Investing, real estate, distinguished financial advisor, financial education, house flipping, property investment interest rates, tax on investment propertieis, tax on capital gains
Increasing interest rates have sparked a warning from the International Monetary Fund (IMF) that approaching headwinds could affect housing values; potentially good news for Canadians looking to enter the housing market. But there is also tax risk for investors intending to purchase and flip real estate, and a good opportunity for tax and financial advisors to provide valuable counsel.
Posted in: Strategic Thinking , Financial Literacy, knowledge bureau, interest rates, Bank of canada, Evelyn Jacks, real estate, tax education, financial education, mortgage rates, mortgage stress test, online education, Office of the Superintendent of Financial Institutions, OSFI, home buyer roles, mortgage down payment, mortgage lenders, buying a home, home financing
Buying a home this spring or approaching a mortgage renewal? May is the busiest time of year for real estate transactions, and you will want to see your tax and financial advisor to discuss the implications of the new mortgage rules and rising interest rates on your after-tax earnings.