Quote:
Originally Posted by Tron_fdc
I've bought and sold in Arizona.
GET AN ACCOUNTANT who understands Canada/USA taxes.
Also be aware, when you eventually sell your property the US government can withold up to 50% of the sale in ESCROW until you prove all the taxes are paid. We worked with the selling realtor before the sale closed and the IRS "only" withheld 20% which was $100k, and it took almost 3 years to recover it.
Buying a property in the US is super easy. But selling and pulling all your funds out of the USA is a giant, enormous, ridiculous PITA. I likely would NEVER do it again.
|
I work for a company that invests in US real estate and echo this. FIRPTA Withholding tax (federal) is a giant PITA. It is 15% of the gross and takes YEARS to get back. Then you also have state withholding tax (Georiga for example has this). Also be careful of things like transfer taxes depending on what state you invest in. We just got our 2020 refund cheque the other day, took almost 3 years. Also, be careful where you are going to Airbnb... we have a lot of property in Phoenix that is getting crushed. You aren't the first and won't be the last to go into the "hot" markets, but tread lightly!
https://unusualwhales.com/news/airbnbs-bubble-collapse
If any of this is true (revenue down 50% in Austin, Phoenix, etc) real estate could be starting to implode. That's probably a discussion better saved for a different thread though!