Trudeau’s Housing Minister Ahmed Hussen added additional loopholes to the Prohibition on the Purchase of Residential Property by Non-Canadians Act (PPSP) that restricted foreign real estate investors. Canada needs foreign investment to build houses.. House sales .“The Government of Canada has identified the need to increase housing supply,” the department wrote in a Regulatory Impact Analysis statement..“However, restrictions on foreign-controlled corporations set out in the Act are preventing some developers from purchasing vacant land for the purpose of development or from redeveloping residential property. These development activities are needed to increase Canada’s housing supply and improve affordability.”.On June 23, Parliament passed the Act. The law came into force on January 1. It proposed to ban any foreigner from buying “directly or indirectly any residential property” in Canada under threat of $10,000 fines..On Dec. 21, the cabinet began writing numerous regulatory loopholes into the Act to exempt all vacation property or purchases by refugees, legal immigrants or international students, according to Blacklock’s Reporter..Minister Hussen on Wednesday expanded loopholes to exempt temporary foreign workers, lifted all restrictions on foreign speculation on vacant lands, and broadened the definition of “foreign” to narrow the law’s application..“Since implementing the Act and regulations, the Government of Canada, in consultation with impacted stakeholders, has identified several challenges with the interaction between the prohibition and its immigration and housing policy objectives,” said Hussen’s legal notice..“Amendments repeal the vacant land provision from the definition of residential property so the prohibition does not apply to vacant lands,” said the Analysis statement..“In other words, the purchase by non-Canadians of vacant land or any other property that does not actually have a dwelling unit on it will be permitted.”.“This exception allows non-Canadians to purchase residential property for the purpose of development,” said the notice..Minister Hussen said the original regulations finalized just four months ago were now considered “too onerous,” “confusing” and “overly restrictive.” .Rules were “negatively impacting important development activities,” said the notice..The Liberal Party, in a 2021 election campaign document A Home For Everyone, said it would “ban new foreign ownership of Canadian houses for the next two years to ensure Canadians have access to purchasing homes.” .Prime Minister Justin Trudeau explained the purpose of the ban while campaigning for re-election on Aug. 24, 2021..“No more foreign wealth parked in homes that people should be living in,” said Trudeau..Conservative MPs on the Commons Finance committee had pressed for a stricter ban on foreign speculators..“At least two parties ran on this,” Conservative MP Ed Fast (Abbotsford, BC) told a Feb. 28 committee hearing..“Send just that clear message that we are placing Canadian buyers of residential real estate first,” said Fast..“They come first. Anybody else who wants to join can come later. Right now we have to focus on Canadians themselves.”
Trudeau’s Housing Minister Ahmed Hussen added additional loopholes to the Prohibition on the Purchase of Residential Property by Non-Canadians Act (PPSP) that restricted foreign real estate investors. Canada needs foreign investment to build houses.. House sales .“The Government of Canada has identified the need to increase housing supply,” the department wrote in a Regulatory Impact Analysis statement..“However, restrictions on foreign-controlled corporations set out in the Act are preventing some developers from purchasing vacant land for the purpose of development or from redeveloping residential property. These development activities are needed to increase Canada’s housing supply and improve affordability.”.On June 23, Parliament passed the Act. The law came into force on January 1. It proposed to ban any foreigner from buying “directly or indirectly any residential property” in Canada under threat of $10,000 fines..On Dec. 21, the cabinet began writing numerous regulatory loopholes into the Act to exempt all vacation property or purchases by refugees, legal immigrants or international students, according to Blacklock’s Reporter..Minister Hussen on Wednesday expanded loopholes to exempt temporary foreign workers, lifted all restrictions on foreign speculation on vacant lands, and broadened the definition of “foreign” to narrow the law’s application..“Since implementing the Act and regulations, the Government of Canada, in consultation with impacted stakeholders, has identified several challenges with the interaction between the prohibition and its immigration and housing policy objectives,” said Hussen’s legal notice..“Amendments repeal the vacant land provision from the definition of residential property so the prohibition does not apply to vacant lands,” said the Analysis statement..“In other words, the purchase by non-Canadians of vacant land or any other property that does not actually have a dwelling unit on it will be permitted.”.“This exception allows non-Canadians to purchase residential property for the purpose of development,” said the notice..Minister Hussen said the original regulations finalized just four months ago were now considered “too onerous,” “confusing” and “overly restrictive.” .Rules were “negatively impacting important development activities,” said the notice..The Liberal Party, in a 2021 election campaign document A Home For Everyone, said it would “ban new foreign ownership of Canadian houses for the next two years to ensure Canadians have access to purchasing homes.” .Prime Minister Justin Trudeau explained the purpose of the ban while campaigning for re-election on Aug. 24, 2021..“No more foreign wealth parked in homes that people should be living in,” said Trudeau..Conservative MPs on the Commons Finance committee had pressed for a stricter ban on foreign speculators..“At least two parties ran on this,” Conservative MP Ed Fast (Abbotsford, BC) told a Feb. 28 committee hearing..“Send just that clear message that we are placing Canadian buyers of residential real estate first,” said Fast..“They come first. Anybody else who wants to join can come later. Right now we have to focus on Canadians themselves.”
