Before buying real estate, create a bare trust

You know what the difference between you and the wealthy is?

The wealthy have lots of money.

And they tend to keep hold of it by using perfectly legal techniques such as buying and selling real estate within a bare trust to avoid taxes. One recent example prevented more than $2 million from from being vacuumed up into government coffers.

Green Party MLA Andrew Weaver has been concerned about the bare trust for the last two years, highlighting the need to fix the loophole.

He says people who are very wealthy or investing from abroad would be recommended by astute accountants to purchase their house using the loophole.

“Every time most people buy and sell a house, they’re paying property transfer tax. It’s only the wealthy and the wise who would actually buy in bare trust,” said Weaver.

“As a society, if every single person created a bare trust and bought every property in a bare trust there would be no more property transfer tax collected in British Columbia… there’s no reason not to change it.”

Just think of the efficiencies and tax dollars saved if every real estate transaction in BC happened through a bare trust. Less money spent in taxes means more money flowing into a supporting a healthy local economy. Bare trusts for all!

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[…] They also announced new requirements to deal with bare trusts: […]

[…] –CMHC: Many markets overvalued –Fed leaves rate flat –Donors top up Clarks’ salary –US Ownership rate falls to 48 year low –Who’s at the open house? –How is Comox? –How is Kelowna? –Danger in the bond market – […]


“President Donald Trump Would Destroy The Bond Market”, Forbes

“I can tell you that the stress on the bond market would be unbelievable. Triple the size of the treasury auctions and see what happens—interest rates will inevitably rise, and rise fast.”





Tax-cheat crackdown nets nearly three times expected total, CRA data shows

Note this was under Harper. Our new revenue hungry and civil servant friendly government will likely aim for more.


“Stocks plunge from Tokyo to New York as central banks showed little will to step up support for flagging economies”

One more excuse for the FED to raise rates in June?
Should be interesting how RE will react to higher rates with “flagging economies”.


Don’t worry they’ll start counterfeiting again by next week.No recessions ever again , Sooner or later a dollar won’t be worth enough to wipe your ass with,


Except that there is no inflation.


Inflation figures are a joke.


Ain’t it China’s flagging economy that’s causing half the ruckus in our housing market here?

Best place on meth

Yes, the corruption crackdown and yuan devalutation has sent a flood of money into Vancouver real estate.


Men on Craigslist offering Vancouver women free rent in exchange for sex


RE: What CMHC says about every major housing market in Canada

>>> this is same routine the ratings agencies pulled in the US prior to last meltdown


I detect a strong amount of evidence that the CMHC is being obscure with its problematic data analysis. A deterioration of CMHC salaries seem to be in order. There is less evidence supporting the notion that they are in control of what they do as there is some evidence that they insure mortgages to foreigners who put 35% down.


China police hunt for wealth manager who vanished with $154 million: Xinhua

>>>hmm, i wonder where he went? maybe he is shacking up with Ching Mo Yeung in richmond? maybe krusty made special arrangements to have him picked up in her private jet? this said, $154M doesnt go as far as it used to in this town…


Christy Clark received $277,000 since 2011 from B.C. Liberals

B.C. Premier Christy Clark has collected more than $277,000 from the provincial Liberal Party since 2011 to top up her government salary, the party disclosed Wednesday.

In addition to her $195,000 salary as Premier, Ms. Clark has received an escalating annual amount from the Liberals – $50,000 for 2015 and this year.


surely, she is not going about things in this fashion simply for an extra $50k. when all is said and done (and she has re-entered the private sector) she will wind up with many tens of millions in her pocket


All mention of Panama Papers banned from Chinese websites

Chinese news groups have been ordered to purge all mention of the Panama Papers from their websites and warned of harsh punishment if they are found to have published material “attacking China”.

I guess that this link won’t work in China either

Shut It Down Already

Remember when this was a blog about real estate?


@ Shut It Down
… apologies….I’ll keep on topic….

Panama Papers: How China’s wealth is sneaked abroad

So why does it matter if China’s richest people move their wealth out of the country?
Once money leaves China, it has to go somewhere.
This massive flow of money is driving up real estate prices worldwide. According to, a real estate website that connects mainland Chinese clients with foreign sellers, Chinese buyers spent more than $52bn on foreign property last year.

Shut It Down Already

Of that $52bn the US says they’re getting $28bn, and Australia’s says they’re seeing $18bn of it. What’s that leave for all other countries including Canada?

Also note how juwai likes to report in terms of dollar value of “inquiries” or “searches” – not “sales”.


Shit it down already and his dicking business… How boring is that?


Panama Papers and real estate are linked…but Shut It Down Already is still trying to keep up….

Shut It Down Already

I do love a good conspiracy theory. The Panana Papers probably have as close to zero impact on Vancouver RE as you can get. It’s the greedy greedy locals who need a stern talking to. Don’t let me stop you from going out and “occupying” something, though.



Shut It Down Already

They censor everything. What’s new? I imagine it’s more to do with potential embarrassment of some high-ranking resident government officials than anything to do with international real estate. But when you’ve decided that everything is about Vancouver house prices then I guess it’s hard to see anything else.


Obnoxious troll thinks blog is off topic? Most amusing.

ChinaOne Swallows Dicks

Hey China, take a long hard suck on my arse.


Why doesn’t the government take BC taxpayers on a Virtual Yellow Helicopter Tour of China’s Tier 1 cities. Let us see price per square foot etc so we can see where this elevator is going? Then they can take us back to the ground floor to take a look at the rest of the elements of their society like healthcare, social housing and the rest of the social safety net. Seeing as I am being dragged there without a choice, I’d like a bit of an advance look.


Why people buy in this screwed up market of bidding wars and vastly overpriced listings is beyond me.. It does looks like we in the topping phase now. The market is starting to careen.
This listing in my area was on the market for about 3 weeks at $1488000 . (cached)

Couldn’t sell so they dropped the price $290K and re-listed today for $1,198,000 under MLS# 2062699 . It’s still a ridiculous price.

Bear Vancouverite

Please keep us updated on this property’s pricing. Might be interesting to see if they continue having to drop the price.

Shut It Down Already

It’s obvious why they’re buying – fear and/or greed.

Newcomer (N)

That is indeed @#$%& ridiculous. That’s an ugly house in the middle of nowhere. You could have a tear down in east van for the price.


1.488M was just a fantasy price set by someone who is getting caught up in all this idiocy. only things people really going apeshit crazy about are prime building lots and over the top palaces like we see in pt grey. this stuff that people are trying to pass off as luxurious (and is priced too high to simply knock down) is not as desirable as many believe





“Federal Reserve leaves key interest rate target unchanged”, CBC News

“Economists say Fed leaves door open to possible June rate increase”


“CMHC says many major housing markets showing signs of overvaluation”, CBC News

“Canada’s national housing agency says nine of Canada’s 15 largest housing markets are showing signs of being overvalued.”

“On the overvaluation front, the CMHC says there is moderate or strong evidence of that happening in Vancouver, Edmonton, Calgary, Saskatoon, Regina, Hamilton, Toronto, Montreal and Quebec City.”


Ya think? Whatchya gonna do Willis?


Using a bare trust to save on PTT is only advantageous if the property is used for commercial purposes, including flipping. Both the property tax and income tax systems are heavily biased toward personal residence ownership, which is why most rich people have their houses in their own names.

The bare trust scheme had its origins in California after Proposition 13 was passed decades ago. In that state property taxation is based on purchase price not market value assessment. Thus a property can continue to pay property tax based on its 1970’s price, which makes a very big difference in the long run. But again US tax laws favouring home ownership really make attractive only for commercial properties.


blah, blah, blah.

when are prices going to revert to the mean patriotz? still think HAM only active in the “high-end”?


God bless you Bull. Coach house in Cambie area sells for 1.6M. But I’m lying, right bears? Or maybe I’m areal estate agent with an agenda. Or maybe coach houses in trusts only sell for top dollar. In Ottawa.


A personal trust can hold property within it as a principal residence & all the Cap free gains that accompany that.