With financial markets roiling and house prices tumbling, investors in countries around the globe appear to have a diminished zeal for buying real estate outside of their own borders.
Parliament passed the Prohibition on the Purchase of Residential Property by Non-Canadians Act earlier this year after the Trudeau government unveiled the plan in the 2022 federal budget. The rules allow some exemptions, Mr. Zinati adds. Refugees, students and an individual purchasing with a spouse or common-law partner who is not subject to the ban may be eligible, for example.One aspect Mr. Zinati is keenly watching for is more information on how the rules will be enforced and whether the final regulations will be less stringent than the government’s original stance appeared to be.Mr.
Mr. Zinati says purchases by foreign buyers who have no ties to this country are rare. Looking at his own firm, lawyers are aware of the occasions when they need to remit Ontario’s foreign buyers’ tax on behalf of a buyer.Mr. Zinati also believes the new ban will have little impact because the market has fallen since the spring when the budget was announced.
The City of Toronto also plans to implement a vacant homes tax. The annual tax will be levied on unoccupied homes beginning in 2023. CREA made several recommendations, including a suggestion that the ban include an exemption for buyers from the United States and Mexico in order to avoid a reciprocal response from Canada’s trading partners.
joan_baxter article a little tone deaf re: less impact in rural/smaller communities; most buyers have some CA ties - clearly missed the mark on NS and the likes of Canec/Pioneer Estates/Grand River Estates….
wonder if the US will reciprocate...
This is the end? Lol what dream world are you guys in?
Too little too late
The foreign buyer plan should be: if any non-resident buyer wishes to purchase Canadian real estate, they simply need to fill out a form telling why they want to own land in a country they don’t live in and submit it to the authorities who will tell them: “No.”
LOL back doors and loop holes!
If governments truly cared about their citizens, they’d close every single loophole in this flawed policy. Make no mistake, they do not care. This is pure show.
It’s not a true ban if there are holes big enough to throw an elephant through.
'Refugees, students and an individual purchasing with a spouse or common-law partner who is not subject to the ban may be eligible, for example. Buildings with more than three units are not covered by the ban.' What kind of refugees have this kind of money?
🥳
What foreign buyer ban? Aren’t we importing 500k foreigners per year?