Canadian doctor in Vancouver buys condo in Atlanta for rental income using 1031 Exchange.

Our client was referred to by a developer in Houston, Texas who we worked with previously.

The Client

Our client from Australia came to us online and wanted to look for low-cost residential housing to earn investment income. They like the Midwest cities due to their low entry point.

How We Helped

Given the capital tax implications of selling, we suggested using a Tax Program called “1031 Exchange,” which allows property owners to swap one investment property into a more expensive one, which allows capital gains taxes to be deferred. They reviewed this option with their tax advisor and were able to roll the gains into the new purchase allowing them to buy a nicer property located in a better school district that equated to higher rental yields.

We found the client a very competitive foreign national mortgage, and they were able to take advantage of this Tax Incentive. (Also see Can a Canadian Buy a House in the USA?)

Loan Details

NationalityProperty ValueLoan AmountLTVRate
Canada Citizen$480,000$264,00055%4.750%
TermAddressProperty TypePurposeLoan Type
5/1 ARMAtlanta, GeorgiaSingle-Family HomePurchaseResidential