A few things you need to know when Buying or Selling US Real Estate
FIRPTA FOR SELLERS: As a Canadian selling your home, the US Government takes 10% withholding tax on any home/condo that a foreigner sells... How do I prevent 10% withholding tax?
- File a 8288 form found at irs.gov
- Ask yourself these 3 questions: If yes to all 3 questions -- the Canadian seller MAY be exempt from paying the US Government 10% withholding tax
- Is the condo/home I am selling under $300,000 US?
- Is my condo/home a residential property?
- Is the buyer of my condo/home going to occupy as a primary/secondary owner? (so, if the buyer is going to turn the home/condo into a rental -- you now just lost your exemption)
FIRPTA AS A BUYER: If you are a
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