Two-Year Ban on Non-Canadians Purchasing Residential Property
According to the REALTORS® Association of Edmonton, as of January 1, 2023 a two-year ban comes into effect for non-canadians wanting to purchase residential property.
This means that non-Canadian citizens or non-permanent residents of Canada can not buy a home or any residential real estate for two years. This includes direct and indirect purchases. Anyone, as a part of the transaction, who helps a non-Canadian buy a house is subject to a fine of up to $10,000.
Read more at https://www.mltaikins.com/real-estate/its-not-just-foreign-buyers-wholl-be-impacted-by-canadas-residential-real-estate-ban/
This purchasing ban will include single family houses, townhouses, duplexes and condominiums. The $10,000 penalty will apply to REALTORS®, any directors, officers, agents, mandataries, senior officials or managers of a corporation or entity.
If you are a canadian resident and are planning on purchasing a home in 2023 or 2024, expect to provide your passport and drivers license for fintrac purposes to your REALTORS® when you are writing an offer - $10,000 is a big fine!
I found another interest article reguarding this bill at https://www.lexology.com with allowed exemptions:
The Act does contain a number of exceptions, described below:
- Temporary residents who satisfy certain conditions: ... for international students undertaking studies in Canada that are conducive to future permanent residency.
foreign nationals working in Canada who have filed Canadian tax returns and continuously worked for three out of the past four years in certain qualified work.
- Diplomatic or consular purposes:
- Non-Canadian individuals with Canadian spouses or common-law partners
I still don't completely understand the foreign ownership ban taking place January 1, 2023, but will keep you updated as soon as I here more. Let me know your thoughts.