In one of the many measures the federal government has put into place to slow down the real estate market and ensure Canadians have more access and buying power when purchasing a home, is the implementation of a temporary ban on new foreign ownership.
As stated, this is a temporary measure that will ban foreign money from purchasing non-recreational and residential property in Canada for the next two years.
The Prohibition on the purchase of residential property by a non-Canadian Act states the following:
• Does not apply to Canadian citizens and permanent residents;
• Applies to non-Canadians directly or indirectly purchasing residential property in Canada for a period of two years;
• Applies to residential property, including detached houses or similar buildings of one to three dwelling units, as well as part of buildings such as semi-detached houses, condominium units, or other similar premises;
• Applies to direct or indirect purchases of residential property, including purchases made through corporations, trust or other legal entities;
• Establishes penalties for non-compliance applicable to non-Canadians, as well as any person or entity knowingly assisting a non-Canadian in violating the prohibition.