Real Estate Talk:
Buying a country home

Key thoughts and processes when buying a second residence

By Joseph Marovitch

Updated July 16, 2026

We are in the prime summer season to visit country homes. At this time, the Laurentians and Eastern Townships are spectacular, with scenic views of emerald mountains, pristine lakes, and the scents of mist and growth. Whether one wants a prestigious home or just a shanty by the lake or on a mountain, to put one’s feet up, have a drink and enjoy the peace, there is something for everyone. The country is something many city dwellers do not experience, but it can be said that passing St Jerome into the mountains, one can feel the pressure of daily life lift off the shoulders. Upon arrival at a location surrounded by forest and facing a lake, there is a sense of surrender from the daily grind and the beginning of a mental reset.

When considering buying a country home, there are factors that would not come into play if you were purchasing in the city.

A second residence in the mountains and/or by the lake is a dream retreat for many. It is a sanctuary away from the hustle and bustle of city life. It is an escape from work and the daily grind, a change of scenery, a place to rest and gather one’s thoughts or think of nothing. It can also be fun and exciting. A mountain retreat can provide hiking trails, swimming, sailing, waterskiing, alpine skiing, bonfires at night and stars, lots of stars.

When considering buying a country home, there are factors that would not come into play if you were purchasing in the city. Most country homes are not in or near a town; therefore, they must have their own well and septic tank. If the property you are searching for has waterfront access, many more factors come into play, such as whether the lake is navigable (motorboats allowed) or non-navigable. Does the lake have an entrance and an exit, or is it sedimentary (meaning not enough oxygen enters the lake to make it livable and drinkable)?

When searching for a country home, these are the questions that must be answered first:

1. How far do you want to drive from the city?
2. Do you want a lakefront?
3. Proximity to your neighbours? Most buyers of second homes want privacy because it is their getaway home.
4. If lakefront, do you want motorboats or no motorboats?
5. Proximity to ski hills and towns?
6. Number of bedrooms and bathrooms?

Once you have found that perfect home, the items to inspect and consider are:

1. Condition of the house via a regular inspection
2. When was the chimney last cleaned and inspected?
3. Water test to ensure the well is clean and the water is potable (drinkable)
4. Lake water test to ensure the lake water is bacteria-safe for swimming
5. Ensure the septic tank is the right size for the number of bedrooms in the house.
6. Ensure the septic tank has been emptied. Most municipalities require the septic tank to be emptied every four years for a second residence and every two years for a permanent residence.
7. Ensure that nothing is built on designated wetlands. Wetlands are areas near lakes or rivers where we are not allowed to build, as construction there destroys the environment and is prone to flooding.
8. Does the house have a working sump pump? A sump pump is a device placed in the basement of the house, below the floor. When the water table rises in the spring, the sump pump automatically discharges the rising water away from the house to keep it dry. A sump pump is usually required for homes near a lake.

Finally, the tax implication. In Canada, the sale of a primary residence is tax-free. A second residence is considered a luxury item and is therefore not tax-free. Upon selling a second residence, any gain is considered a capital gain and is taxed at 50% of the gain.

‘In Canada a primary residence upon selling is tax-free. A second residence is considered a luxury item and is therefore not tax-free.’

If you paid $100,000 for the country home and later sold the property for $150,000, you would be taxed on 50% of the gain or on $25,000. The tax you must pay is dependent upon your income; therefore, it is always a good idea to purchase a second home by placing it in the name of the person in your household who has the least income to pay less tax.

Another possibility is to designate the second residence as your spouse’s primary residence or as that of another family member. Ask your accountant first.

The information in these articles is a summary. Should you have questions, comments or wish to discuss further, please refer to the comments section at the bottom of the page or contact me directly. As well, to view past articles, click here.

State of the market

This week, the Bank of Canada decided to hold interest rates at 2.25%, despite trade disputes with the U.S. and the war between the U.S. and Iran.  Tiff Macklem, the governor of the bank, stated the decision to hold is due to the U.S. refusing to extend the Canada-U.S.-Mexico Free Trade Agreement for another 16 years. The Governor added that the prospect of further interest rate increases is not out of the question if the ongoing Middle East conflict causes inflation to rise due to higher oil prices. Uncertainty is high, Macklem said, which is why volatile interest rates can trigger required rate hikes.

‘This week, the Bank of Canada decided to hold interest rates at 2.25%, despite trade disputes with the U.S. and the war between the U.S. and Iran.’

According to the Quebec Professional Association of Realtors (QPAREB), buyer uncertainty stemming from global economic conditions is causing hesitation to enter the market until the economic climate improves. The QPAREB forecasts that sales will decrease by 6% over the year, given current global circumstances.

Currently, inventory is low, and active demand is high due to reasons that make buying necessary and low rates. Pent-up demand is increasing. The pent-up demand will create opportunities for current owners and future buyers. As stated in past articles, there are strategies to incentivize hesitant buyers to come out now, such as strategic pricing and targeted marketing.

I’m taking a break and will be back after the construction holiday!

Let’s not forget that people with cancer are vulnerable too!

You are invited to keep giving to the following organizations since it’s now more important than ever to support cancer research! Click on the logos below to find out how:

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Image: © Andrew Burlone

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[/col][col size=”10″]Joseph Marovitch has worked in the service industry for over 30 years. His first career was working with families from Westmount and surrounding areas, hosting children between the ages of 6 to 16 as the owner and director of Camp Maromac, a sports and arts sleep-away summer camp established in 1968. Using the same strengths caring for the families, such as reliability, integrity, honesty and a deep sense of protecting the interests of those he is responsible for, Joseph applies this to his present real estate broker career. Should you have questions, please feel free to contact Joseph Marovitch at 514 825-8771, or josephmarovitch@gmail.com [/col][/row][row cols_nr=”2″][/row]