A rent-to-own programme launched by a real estate developer in Vancouver could pose risks to Chinese buyers due to uncertainty over its tax status, reports the South China Morning Post (11 October 2017). The scheme, which aims to offer a lease contract on a property and the option for investors from China to acquire it after a period of five years, also offers them a chance to avoid paying the 15 per cent foreign buyer tax should they gain a work permit or permanent residency within the five-year period. “The provincial government has gone out of its way to say that it intends to crack down on programmes of this nature,” said Carrie Law, CEO of Juwai.com, an international property website that caters mainly to affluent Chinese investors. “Chinese buyers of Canadian property should above all avoid unnecessary risks, and this programme looks risky.” Vancouver is currently the third most popular city in Canada for Chinese buyers on Juwai.com, just after Toronto and Montreal.
