Hidden Problems After Real Estate Purchase

Caveat Emptor: Buyer Beware.”

What can you do if you discover major problems with a property after buying real estate in Alberta? There are a number of legal and practical issues. First let me tell you about a situation that a client brought to me, and then I’ll explain what I advised. Continue reading

Assuming Mortgages and Transfering Property to a Corporation

house outline with check mark

Podcast Episode 99:
“Happy Assumptions & Corporate Rollovers.

This episode of Tales from the Trenches contains two stories about transfers: one is about transferring mortgages and the other is about transferring property.

In theory, many mortgages are assumable, but in practice lenders in Alberta (and elsewhere) have been tightening up on their regulations. Some lenders just won’t allow it at all, while others require full re-qualification. This Tale explains how a real estate investor got the bank to agree to a mortgage assumption after he held a property for just seven days!

Rollovers are when a property is transferred from your personal name to your corporation or vice-versa. My Edmonton legal firm, RMLO Law LLP (formerly Ritchie Mill Law Office), helps people with rollovers all the time. But we always caution our clients to get additional accounting advice because capital gains might be an issue. In this Tale, the example is an investor who rolled over a property and had to pay the Canada Revenue Agency (CRA) $30,000 dollars in tax…

Download the audio file HERE.
(control click or right click + save as)

For all your Alberta real estate law needs, contact Barry and he’ll sort you out.

“3D Home Inspection Big Check” by http://www.ccpixs.com/ used under CC Attribution 2.0 Generic.

How to Become a Real Estate Investor

Focus on Real Estate: Quick Tips.

The way to become a real estate investor is by getting going. No matter how much you plan, analyze, and prepare, your first real estate investment deal is probably going to be a bit messy. But if you have a good strategy, and you keep using it, your next deals will be easier. Don’t wait for your first investment to be “perfect” or you might never get started!

This is the next instalment of Focus on Real Estate with Barry C. McGuire, a series of videos that provides bite-sized pieces of real estate knowledge.

For all your legal needs with Alberta real estate, contact Barry McGuire using the form below.

Videos co-produced by the Real Estate Investment Network (REIN) as a Google Partner.

Sales Tax on Real Estate Purchase

Focus on Real Estate: Quick Tips.

Do you have to pay sales tax when buying a home or investment property in Canada? The short answer is yes, but it varies by province as to how much you’ll have to pay. In Alberta, you only have to worry about the federal Goods and Services Tax (GST) because there is no provincial sales tax. Did you know that you can sometimes get a rebate on the GST when you buy real estate? In this video, Barry talks about the rules for personal residences vs rental properties when it comes to paying sales tax on real estate purchases in Alberta. If you need a real estate lawyer in Alberta, contact Barry at RMLO Law LLP.

This is the next instalment of Focus on Real Estate with Barry C. McGuire, a series of videos that provides answers to frequently asked questions about real estate.

If you’re buying or selling real estate in Alberta, Barry can help. Contact him now using the form below.

Videos co-produced by the Real Estate Investment Network (REIN) as a Google Partner.

Disappearing Tenants and Vanishing Buyers

Podcast Episode 98:
“Don’t Wait, It Only Gets Worse;
Discharge That Caveat.

The first part of this Tale is about an Alberta landlord with tenant problems. The renter usually paid on-time, but then the rent started coming late. The tenant’s girlfriend left him, and when our landlord went to check on the property it appeared to have been taken over by a biker gang! Eventually the property appeared to be abandoned, but the landlord was afraid to go back. Moral of the story, nip problems in the bud before they grow to become out of control.

In the second part of this Tale, we have a problem with a buyer who disappeared, but whose caveat comes back to haunt the seller. If you would like to sell a property by way of agreement for sale, the buyer will register a caveat on the title. That is the buyer’s protection in the transaction. But what happens if the buyer then changes their mind and walks away from the deal? Their caveat might still be on title, which you as the owner/seller need to address before you can sell the property to someone else.

Download the audio file HERE.
(control click or right click + save as)

If you’re buying or selling real estate in Alberta, you need a lawyer.
Use the form below to contact Barry now!

“Neon Real Estate Sign” by Chris Griffith used under CC Attribution 2.0 Generic.

How to Avoid Mortgage Fraud

mortgage fraud

Podcast Episode 97:
“Mortgage Fraud.

The simplest way to avoid committing mortgage fraud is to fully disclose everything about a deal to your lender. If they are satisfied, then you’re probably okay. But what happens if someone else is defrauding you? In Tales from the Trenches, you usually hear second-hand accounts of the trials, tribulations, and successes of Canadian real estate investors. In this Tale, you’ll hear it from the “horse’s mouth.” Special guest Valden Palm tells us how he narrowly avoided getting sucked into a mortgage scam. An unscrupulous guy in Edmonton was buying houses, doing shoddy renovations, and then flipping them between shell companies to get more and more money in refinanced mortgages. Lucky for Valden, due diligence and a gut feeling saved his bacon!

 

Download the audio file HERE.
(control click or right click + save as)

If you’re buying or selling real estate in Alberta, you need a lawyer.
Use the form below to contact Barry now!

“Mortgage Fraud” image courtesy of  http://www.cafecredit.com used under CC Attribution 2.0 Generic.

How Long to Close a Real Estate Deal?

Focus on Real Estate: Quick Tips.

Closing a real estate deal in Alberta has two parts. The first is when you are putting together the purchase contract. The second is after conditions have been removed from the contract. In this video, you’ll get Barry’s expert opinion on how long you really need to take care of due diligence, home inspections, mortgage financing, and signing documents. Keep in mind that delays and mistakes are possible, so you need enough wiggle room to get everything done properly. If you need an Edmonton real estate lawyer, get in touch with Barry at RMLO Law LLP.

This is the next instalment of Focus on Real Estate with Barry C. McGuire, a series of videos that provides quick tips on buying and selling real estate in Alberta.

Buying and/or selling real estate in Alberta? Barry can help. Use the form below to contact him now!

Videos co-produced by the Real Estate Investment Network (REIN) as a Google Partner.

Edmonton Real Estate Lawyer Legal Fees Cost

scale with clock balancing money

“How much are legal fees to buy and sell a house in Alberta?” This is the number one search, the question everyone wants answered. So, here are some answers based on my law firm (RMLO Law LLP), and some comments about how much it costs for real estate lawyer’s fees in Edmonton.

First of all, there are no, “standard” legal fees. Continue reading