Real Estate Law:

Legal professionals specializing in the legal aspects of buying and selling real estate properties. We assist in many transactions associated with the transfer of property. We at VC Law are here to help you buy, sell or refinance a home anywhere in the GTA. We will close your deal successfully, without undue delay and costs. We offer legal advice on Mortgages, Title Insurance, standard charge terms and Independent Legal Advice when necessary.

Services:

• • Residential Purchase and Sale

• • Commercial Purchase and Sale
  • Mortgage Refinancing
  • Transfers

Title Insurance:

Title insurance is an insurance policy that protects residential or commercial property owners and their lenders against losses related to the property’s title or ownership.

Advantages:

• Unknown title defects (title issues that prevent you from having clear ownership of the property);
• Existing liens against the property’s title (e.g. the previous owner had unpaid debts from utilities, mortgages, property taxes or condominium charges secured against the property);
• Encroachment issues (e.g. a structure on your property needs to be removed because it is on your neighbor’s property);
• Title fraud;
• Errors in surveys and public records

Land Transfer Tax:

Effective April 21, 2017, a 15% tax is imposed on the purchase or acquisition of an interest in residential property located in the Greater Golden Horseshoe by individuals who are not citizens or permanent residents of Canada or by foreign corporations (foreign entities) or taxable trustees. This new tax is in addition to Ontario’s current Land Transfer Tax. The implementation of the Non‑Resident Speculation Tax is subject to the approval of the Legislature.   Find out More…

1. NRST – Non-Resident Speculation Tax- 25% Tax on Purchase price ( irrespective of the share of the non resident) is Applicable on purchase or acquisition of an interest in residential property ( which has not more than 6 units) located anywhere in Ontario by individuals who are foreign nationals (individuals who are not Canadian citizens or permanent residents of Canada) or by foreign corporations or taxable trustees.
   1. In Toronto- a foreign buyer purchases a residential property subject to both NRST and MNRST, they will pay a combined 35% speculation tax—on top of the Provincial and Municipal Land Transfer Taxes.
2. Does not apply to –
   1. Exempt Properties –
      1. multi-residential rental apartment buildings with more than six units, agricultural land, commercial land or industrial land.
   2. Exemptions for non-residents-
      • Protected persons under the Immigration and Refugee Protection Act (Canada).
      • Nominees under the Ontario Immigrant Nominee Program.
      • a spouse of
        1. Canadian citizen           
        2. permanent resident of Canada,
        3. a nominee
        4. a protected person
      • Foreign nationals becoming permanent residents within four years of property acquisition, with applicable conditions.
      • Trustees of certain trusts, including mutual fund trusts and real estate investment trusts (REITs).

• – Effective March 27, 2024, the following changes include:
  • The rebate application deadline for foreign nationals who become permanent residents of Canada has been extended from 90 to 180 days.
  • The NRST will now apply to the standalone purchase of a parking space or storage unit. Previously this only applied if the spaces were coupled with the purchase of a residential unit.
  • Changes were made to the qualifying rules for rebates and exemptions under the NRST:
    • A purchaser must intend to occupy the home as their principal residence within 60 days of their purchase date.
    • A purchaser must occupy the home as their principal residence until a rebate application is filed to remain eligible for a rebate.
    • Enrolment or Employment for the international student/worker rebates must begin within 30 days of home purchase. (The rebates have been eliminated but transitional provisions allow applications until March 31, 2025).
    • Spousal status must be obtained on or before the date of home purchase to be eligible for the exemption or rebate.
    • Exemptions and rebates are not available if a foreign entity who is not on title acquires a beneficial interest in the home.
  • Conveyances are not subject to NRST if:The conveyance is of land located outside the Greater Golden Horseshoe Region and is based on an agreement of purchase and sale entered into on or before March 29, 2022.
• Under the federal Underused Housing Tax Act, that took effect January 1, 2022, the federal government imposed a 1% tax on the ownership of vacant or underused housing in Canada generally by non-resident, non-Canadian owners .
  • It is applicable in
    • Toronto
    • Ottawa
    • Hamilton
    • Windsor
    • Sault Ste. Marie
• Non-Canadian Buyer Restriction – from January 1, 2023  to Dec 31, 2024  now upto Jan 1, 2027
  • Prohibition on the Purchase of Residential Property by Non-Canadians Act
    • Non Canadian-
      • Neither PR nor Citizen
      • Entity having foreign control -carrying 10% of more voting rights
    • Exception-
      • The Act doesn’t prohibit the purchase of larger buildings with 4 or more dwelling units.
      • does not apply to residential property for the purpose of development.
      • Vacant land zoned for residential and mixed use can now be purchased by non-Canadians and used for any purpose by the purchaser, including residential development
      • those who hold a work permit or refugee claimants –  

Conditions-

1. 183 days or more of validity remains on their work permit or work authorization at the time of purchase;
2. they have not purchased more than one residential property.

In addition, the existing exception would no longer require a full-time work condition or tax filing requirement.

• properties not located within a census agglomeration (“CA”) or a census metropolitan area (“CMA”)
  • check this area on this tool

Census Metropolitan Area and Census Agglomeration Guidance Tool