I am interested in the Quebec Investor Immigration and was wondering if it is possible to take out a loan to make the investment? A lot of my net worth is tied up in various investments. I would prefer to hold onto those investments rather than liquidating some of them. What is the best way to use my investments to qualify for this program?
Answers
The financing option is available for the Quebec Immigration Investment Program. The authorized financial intermediaries offer this option to all investors and it ranges from 220k CAD to 240k CAD depending on the interest rates. 95% of the people who apply for the QIIP choose this option instead of the 800k CAD investment.
In order to qualify to the Quebec program, you need to show that you have over 1.6M CAD in net assets (does not need to be liquid). In order to assess if you can qualify under the QIIP regulations, the government would count the value of your bank accounts, investments, properties, companies etc. (to do so, you would provide bank statements, statements from your securities companies, appraisal reports for the value of your properties etc.) You would also have to disclose all of your current liabilities. Once you are accepted under this program, you can indeed take a loan with one of the financial intermediaries authorized to participate in the program in order to make the required investment.
To qualify under the Quebec Immigration Program, (QIP) you must be able to prove the ownership of your assets, the history of their acquisition and their market value. At the present time, the amount of assets required to qualify under the QIP is 1,6M$ Canadian. Financial partners accredited by the government to set up the investment aspect of this program offers loan to candidates. So, it is possible to hold on to your existing investments and to qualify for this program.
In order to qualify for Quebec Investor Program under the current requirements, one has to fulfill the requirements listed below. 1. Applicant and spouse must have legally accumulated and can demonstrate worldwide net assets of at least CDN $1,600,000. (Accumulated through land, real estate, investments, deposits, business ownership, etc.) 2. Applicant must demonstrate 2 years of Management experience or Business Ownership (full or partial) within the last 5 years. 3. Applicant must make an investment through the Government of Canada of CDN $800,000 for five years without receiving any interest, or may finance this for a one-time financing fee of CDN $220,000* (subject to change due to prevailing interest rates). 4. The main applicant and other applicants must pass medical and security requirements. An applicant should find a financial institution to finance the investment amount of $800,000 CAD. Then, the applicant only pays the upfront financing fee of $220,000 CAD (subject to change due to prevailing interest rates). This financing fee is a cost to the applicant, not an amount to be returned by the financial institution.
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