Conditions favorable purchasing open the door from Florida to a new wave of buyers and allow some investors to make significant gains , according to a lawyer who knows the market
However, success stories alongside other stories much less encouraging. Like any investment project , buying a property in Florida requires some knowledge.
For a little over two years, the Florida real estate market has several advantages for investors , particularly because of a favorable exchange rate and interest rate financing.
“More and more people are watching the real estate market in Florida as a profitable market for rental properties ,” said Marcel Racicot, a tax lawyer and president of the Quebec Chamber of Commerce Florida.
However, before to acquire a residence, the investor must first learn about the different aspects of real estate taxation.
“For example, many of our customers are surprised when they emphasized that in addition to having to pay tax in Quebec , they will also pay the United States , while avoiding double taxation. “
The tax must be paid on rental income and / or sale of the property.
This disadvantage as the investor for the purchase of property in the United States, it is the U.S. estate tax . These apply to the value of the property at the time of death of the owner.
For example, for 2010 the estate tax rate starting at 18% to a peak of 35 % for goods whose value exceeds $ 500,000 , according to figures provided by PricewaterhouseCoopers ( PwC) .
In addition, regarding condos , be aware that the higher the vacancy rate of the building , the lower condo fees are high.
The sluggish U.S. economy creates problems for many homeowners who are unable to repay their mortgages, must hand over the keys of their home to their banker.
This pushes up demand for the rental market , says Mr. Racicot . “People who have lost their homes should stay somewhere that ‘s a lot of opportunities for investors,” he said.
Quebecers who want to purchase a property in Florida can also count on the services of more than 100 real estate brokers speaking French , added Mr. Racicot .
Chamber of Commerce Quebec-Florida held on Monday , December 5 at a Montreal conference on real estate in Florida. For the occasion, expert speakers from Quebec and Florida will come together to take stock of the state of the Florida real estate market .