Canada Need to buy investment property via my company
- Thread starter Selsa
- Start date
Hi Selsa,
Lenders will demand a higher interest rate for nonrecourse debt; the maximum loan to value ratio is also usually lower than for mortgage debt on owner occupied property. But, like bklynboy said, can be done.
From a tax perspective, I would have a few follow on questions. What's the value of the property? What is your goal in effecting the purchase through a company? Is this a cross-border investment (Canada to US)? Is the company U.S.? Canadian? Is it classified as a corporation for U.S. federal income tax purposes?
Best,
Andrew
Lenders will demand a higher interest rate for nonrecourse debt; the maximum loan to value ratio is also usually lower than for mortgage debt on owner occupied property. But, like bklynboy said, can be done.
From a tax perspective, I would have a few follow on questions. What's the value of the property? What is your goal in effecting the purchase through a company? Is this a cross-border investment (Canada to US)? Is the company U.S.? Canadian? Is it classified as a corporation for U.S. federal income tax purposes?
Best,
Andrew