Federal ban on foreign buyers
The federal government will implement a ban on the purchase of Canadian real estate by foreign nationals on January 1, 2023. The government’s stated goal with this policy is to reduce pressure on Canadian real estate prices.
While the government hasn’t provided much clarification on this policy, what we understand so far is that the ban will:
- apply to non-Canadians and not Canadian citizens or permanent residents;
- apply to the direct and/or indirect purchase of residential listings including detached homes and strata properties by individuals, corporations, trusts, or other legal entities;
- affect agreements signed on January 1, 2023 or after. Agreements in place as of December 31, 2022 shouldn’t be affected; and
- will be in effect for two years, expiring on December 31, 2024.
