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CSA TRAVEL INFORMATION GUIDE
Operating Costs
When deciding to purchase a seasonal property it is important to remember that operating costs
(most likely paid in a fluctuating foreign currency) continues year-round even though your personal
enjoyment of the property may be for a few months only. Typical expenses include:
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Common fees for condominiums and planned communities.
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Homeowner Association fees (if applicable).
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Insurance – if you plan to rent out your seasonal property be sure ask your insurance broker if
additional premiums may be required.
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Lawn and pool care (if applicable).
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Mortgage/rent payments.
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Pest control.
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Property taxes.
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Telephone and television cable charges.
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Water, sewer, and electricity bills.
Closing Costs
Depending on the area in which you are considering purchasing a property, do not forget to inquire
about closing fees, which may not exist where you reside in Canada or if they do exist, are calculated
at a different rate:
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Appraisal valuation fees.
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House inspection fees.
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Mortgage tax stamps.
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Real estate agent fees.
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Title fees (an insurance policy that protects a lender’s or owner’s interest in the property from
other claims of ownership).
In the U.S. some mortgage companies also charge one time only payments called points when
you take out a loan. The advantage or disadvantage of this payment depends on your individual
circumstances.
When making your initial inquiry with a local lawyer and/or accountant, inquire as to potential
capital gains tax and withholding tax upon the sale of your seasonal property. Depending on the
eventual sale price of the property, part of the proceeds may be withheld and remitted to the
government, requiring a lengthy process to receive all or some back in a refund.
For more information on capital gains and withholding tax, please see the separate section Selling
(Disposing) of Property in the United States.
For Further Information
If you are unfamiliar with a community or residential area, there are a number of resources that can
be obtained via print or the Internet. In addition to speaking with friends, relatives, neighbours,
and checking local real estate listings, these documents may help decide on a choice of seasonal
community.