Officially known as the Prohibition on the Purchase of Residential Property by Non-Canadians Act, the two-year ban was introduced as part of the government’s efforts to address housing affordability concerns.
But following feedback from industry stakeholders, the Minister of Housing and Diversity and Inclusion has announced four key updates to the act to “enhance the flexibility of newcomers and businesses looking to add to Canada's housing supply.”
The four amendments include:
Vacant land exemption
The ban will no longer apply to vacant land that is zoned for residential or mixed use.
Work Permit Holders
Since the ban was found to be contradictory to the federal government’s immigration goals, the legislation will no longer apply to work permit holders as long as they have at least 183 days of validity remaining on their work permit.
Exception for development purchases
A new exception that has been introduced will allow non-Canadians to purchase residential property for the purposes of development. Under the original legislation, this was only permitted for publicly traded corporations.
Foreign control threshold raised
The ban initially deemed a privately held corporation or entity as “foreign” if non-Canadians owned 3% or more of it. Under the new amendments, that threshold has been raised to 10%.
If you’d like to understand the full depths of the act, I recommend reaching out, so we can discuss or review the guidelines together.
Original article from mattparker.ca