“It was not in our plans,” says Francis Gagnon, alongside her spouse, Charlotte Poirier, in the dining room of their house in Charlesbourg.
A year ago, they bought the second property belonging to the parents of Ms. Poirier. The transaction had to conclude now or never, when the owners were determined to put the sign on the edge of the avenue.
“I loved the house, but I wouldn’t have thought of living here. After five years, my parents said they had to sell the house, because they did not want to renew the mortgage, “explains the one who works today as a scenographer.
Although the 24 -year -old couple watched the real estate market, he still had to wait two years to be more solidly stronger.
The purchase arrived earlier than expected.
«[Mes parents] knew it was difficult for us to acquire a house. It was a lot of steps. Not only procedures, but also a lot of money, ”she blows.
“They helped us in that spirit. It’s not your time, but we will help you to become it, ”adds Mr. Gagnon.
In addition to providing their daughter and their steps with a personal loan, the parents also sold the house at a price below the market value.
“We were lucky that my parents had a price in mind. And that it doesn’t matter if the assessment is higher or lower – in our really higher case – they leave it at this price, “says Ms. Poirier, with gratitude.
Charlotte Poirier, owner of a house for almost a year. (Jcedaue Ridendau/Lears)
It was clear for life partners, which should be kept in mind the interests of the two parties.
“They have their interests. We have ours. It is to make a happy medium. For this, you have to be objective and to forget that it is parents, ”says the young adult, who is about to finish his mastery.
“It’s no longer a dad and mom, but sellers of a house in Charlesburg.”— Charlotte Poirier, resident of Charlesbourg
They spent hours learning to make sure that the choice was the right one. This is one of their advice to the next buyers.
“It’s always difficult to make a difference between the fact that they are your parents, but that it is a big purchase for us. We are talking about hundreds of thousands of dollars, so we want to be sure that it corresponds to what we need and what we want, ”she says.
His dream before 30 years old
Having both feet in the process, Cedrik Latulippe is preparing to buy the house with his spouse who saw him grow.
The taste for travel precipitated the retirement of his mother and his stepfather. The sale of their vast home was the next step before traveling the world for 365 days. “We started to think about the fact that it could be a good idea to buy,” explains the 25 -year -old man, in an interview with The sun.
The latter has been putting money aside since its inception in the labor market, at the age of 16.
“The dream has always been to be the owner before 30 years old. It is difficult due to the real estate market. We would have waited at least a year. Probably two or three years. We would not have been in a district of choice, ”he anticipated then.
“It’s too great an opportunity to let it pass.”— Cedrik Latulippe, buyer
Pending the assessment of the value of the house, Mr. Latulippe says he is ready to pay his new home at a fair price.
-“It will not be a friend’s price, but a market price that makes sense. This is something that is not easy to find, ”he laments, about the current outbreak of house prices.
Avoid paying the welcome tax, having more flexibility on the date of the moving and being confident vis-à-vis this first purchase are also on the list of advantages.
In the past year, Cedrik Latulippe was monitoring the ups and downs of the real estate market. (Martin Roy/Archives Le Droit)
A weight is also withdrawn from the shoulders of his parents. “Since we know that we are going to this sale, everyone is more ready and a little less stressed,” he says.
“There is security for them. The first purchase we make is a good value and in a good neighborhood. […] I can go to my neighbor opposite if there is a problem on anything. He knew me when I was six years old, ”concludes the man who plans to renovate his new property in his image.
Help of grandparents
Few parents are putting the keys of their house to one of their children, observes the notary Me Benoît Dancaus.
At the office of the Dancaus Notaires team in Quebec, more grandparents inquire about this. “For one to two years, I have more and more people who come to see me to have their will to be amended, because they decide to give their lifetime to their grandchildren,” he notes.
Transfer of money and donations to money are increasingly frequent in this generation.
The transfer of a property is more observed from grandparents to grandchildren, says Dancaus. (Jocelyn Riendeau/Archives Le Soleil)
“Because of everything we hear about-the price increase, inflation and pricing threats-, grandparents who have more time to think see it can be difficult for their young people,” he notes.
“We don’t see it just for the purchase of a first property. We also see him to pay debts and bail out, ”says Dancaus.
What to know
When it comes to selling a property during his lifetime to his children, three scenarios are on the table, explains Charles Hunter-Villeneuve, expert in private management at the National Bank.
- Real estate donation
The donation of property makes it possible to transmit the building without financial counterpart to a child. Even if no dollar has been exchanged, as much the parent and the child are presumed to have sold and bought the property at its fair market value.
- A lower price sale
“When I make a sale at a favorite price – therefore at a lower price – the parent is always presumed to have sold the fair market value. And the child, he is presumed to have bought at a tax cost at the price of favor, ”shells Mr. Hunter-Villeneuve.
“What will happen is a potential double taxation,” he warns. While the parent will have to pay tax for capital gain, the child will have to declare an acquisition cost. When he left the building, he will have to pay tax on this price reduction.
- A sale with fair market value
It is a question of selling your property at a price as evaluated by specialists. What to do in case the child does not have the means?
The donation of money is a potential avenue, without negative tax rules. “It’s the best of all worlds,” he suggests.
“It’s in the world of Walt Disney. The parent [remplit] Celiapp, Celi and RRSP of his children. ”— Charles Hunter-Villeneuve, private management expert
Another option: interest -free loan or at a rate lower than the prescribed rate. The latter drops to 3 % from July 2025.
“If a parent does not want to give him any cooked in the beak, he can give a loan at 1 % or 2 %. It still has to win this interest income, ”he warns.
“Again, the donation remains the most advantageous option or the interest -free loan if the parents have money. Otherwise, it is to be responsible for the loan or to be a co-owner with a counter-letter for example, ”he sums up.
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