Foreign Home Buyers Ban & Exemptions
Canada’s Two-Year Ban on Foreign Home Buyers and Exemptions
In a bid to stabilize the housing market, Canada has announced a two-year ban on foreign home buyers. Under the new regulations, foreigners will be prohibited from purchasing a non-recreational, residential property in Canada.
The move comes as the housing market in Canada has been struggling to keep up with demand. “We are confident that these measures will help ensure that Canadian real estate is available for Canadians who need it,” said Finance Minister Bill Morneau.
“Exemptions For Permanent Residents & International Students.”
Despite the fact that Canada has banned home purchases by foreign nationals for a period of two years, permanent residents and international students will still be able to buy houses in Canada. Foreign investors do not include foreign students with study permits who are studying at Canadian institutions of higher learning.
An exemption may also exist if the purchase is demonstrated to be for future employment or immigration in the next two years. A real estate lawyer can help you with any questions you may have about the new rules.
Although the ban will eliminate a portion of the competitive market, the foreigners who were buying up real estate, may not have a large impact on the real estate market as a whole.
In theory, the government’s ban may be challenged under the Charter of Rights and Freedoms for discriminating on the basis of nationality. Additionally, the ban also raises compliance questions under the US-Canada free trade agreement.
Consult A Real Estate Lawyer
A real estate lawyer can help you with any questions you may have about the new rules. If you’re thinking of buying a property in Canada, make sure to consult with a real estate lawyer to ensure that you are compliant with the new regulations.
What do you think of the new regulations? Do you think they will be effective in stabilizing the housing market? Let us know in the comments below!