Hi

I have the following scenario :-

-I own a condo right now (my first home in Canada)

-I am planning to sell it and go renting for the next two years; put the money I realize on the RRSP

-Can I withdrow the money I put in RRSP to finance the downpayment for a house after two years without paying tax on the withdrowal?


If this is not an option, what would be the best way to invest the money for two years in the most efficient way?

thanks for any advice

Vada Sambar

Quote:

---

Orginally posted by Vadasambar

Hi

I have the following scenario :-

-I own a condo right now (my first home in Canada)

-I am planning to sell it and go renting for the next two years; put the money I realize on the RRSP

-Can I withdrow the money I put in RRSP to finance the downpayment for a house after two years without paying tax on the withdrowal?



If this is not an option, what would be the best way to invest the money for two years in the most efficient way?

thanks for any advice

Vada Sambar

---

-----------------------------------------------------------------


Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada

Hi Vadasambar

Not to get into your personal life but I just wanted to know why would u sell your condo and go renting for next 2 years ? . Answer only If you are comfortable with my question

Thanks

-----------------------------------------------------------------
We will find a way or we will make one

Smiley,

Renting will give me more flexibility. I hope within the next two years, I will be able to make a decision as to what exactly I want to do..whether to remain in Canada or move out of Canada etc etc. So, I decided to rent. I dont think this will make a big financial impact to me. I did some calculations and I would probably be able to move closer to work (I commute more than two hours a day).

I probably made a wrong decision of buying a house as soon as I come to Canada..anyways

Thanks for asking smiley

Vadasambar

Thanks Vadasambar

Just another question here. How long did you own the house and are you making a "profit" by selling it in 2 years after putting the buying costs + property taxes , realtor commision etc etc. . Just roughly ..

Please let me know as I plan to buy a place shortly and may be for about 2 years and then either sell it or rent it out . So just wanted your views on this. I am not able to decide whether it is a good investment for 2 years or no

Thanks

-----------------------------------------------------------------
We will find a way or we will make one

Quote:

---

Orginally posted by Pramod Chopra
If you want to invest money for short term (2 years) then I would not suggest you to put money in RRSP but you can go in for either govt. securities or triple A bonds so that your money should remain safe though it would not earn much money.

---

-----------------------------------------------------------------
Man's Best Friend

I have the same question to
chopraji

Vadasambar