# Can a Hong Kong registered business purchase property in Canada in it's name?



## bella (Aug 14, 2015)

Is a registered Hong Kong business, owned and managed by a Canadian citizen, able to purchase property in it's name in Canada?
Any insights or advice would be welcome.
Thank You!


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## Berubeland (Sep 6, 2009)

Yes. But it may have to comply with Foreign Resident's Tax deduction of 25% and probably won't be able to get a mortgage.


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## Fedrick76 (Aug 24, 2015)

Hey I am also new to real estate business and would like to know about foreign property investment. I am so much interested to make the investment in Luxury Real Estate in Dove mountain. Is there anyone who has already invested there?


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## nwmea (Sep 10, 2015)

*pester power*



Berubeland said:


> Yes. But it may have to comply with Foreign Resident's Tax deduction of 25% and probably won't be able to get a mortgage.


Does the property would have some leasing limits like middle east? Here they do only allow up to 99 years of leasing.


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## Berubeland (Sep 6, 2009)

I'm not aware of any. As long as you pay 25% of the net income to the government you are ok. If you have a Canadian agent they can fill out the NR-6 and NR-4 for you including the expected net income and you will pay less month to month than if you do it yourself. 

For example: If your rent is $2000 and you don't have a canadian agent you will have to pay $500 monthly and get the difference back after you file your income tax. 

But if you have a canadian agent, and the rent collected is $2000 and the expenses are $1600 and your net income is $400 you will only have to pay $100 per month 

Also if there is a roof leak that costs $4800 and that wipes out all your income for the year, your agent can submit an amended form and you will pay nothing for the rest of the year.


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