HST Implications for Real Estate

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Some of the most problematic deals that come across my desk involve an HST issue.

I've seen clause 7 written incorrectly numerous times, even once by a municipality... ended up costing them thousands.

I remember a mixed use transaction where the buyer and seller didn't pre-determine the residential vs commercial allocation.

This one led to a lot of headaches.

So, because the applicability of HST in real estate transactions can be complicated, I decided to put together a little table to help illustrate it.

*I'm a visual learner so these kind of things work well for me.

Now, this table is meant as a starting point.

There are, of course, scenarios that lead to exceptions, special rules, or additional considerations - but this would be an excruciatingly long newsletter if I wrote them all out.

Use this as a starting point. It will point you in the right direction, and help you to ask the right questions.

And as always, when you're not confident, call up your broker or a real estate lawyer.

I feel like I say that so much I should include it as a footer.