Prime Minister Justin Trudeau hopes regulating the housing market will help average, hard-working citizens achieve the Canadian Dream, says Blacklock’s Reporter..On behalf of the Liberal cabinet, Trudeau promised if re-elected to ban all new foreign purchases of Canadian residential real estate for a minimum of two years..Ironically, Trudeau and his cabinet kiboshed a Conservative motion in the Commons June 9 proposing very similar sanctions..Trudeau promised to “crack down” on factors influencing the Canadian housing market to be one of the most expensive in the world. “No more blind bidding. No more foreign wealth being parked in homes that people should be living in..“The deck seems stacked against people and has for an awfully long time,” Trudeau said..In a new document released by the Liberal Party titled A Home For Everyone, the Liberals say they will “ban new foreign ownership of Canadian houses for the next two years” to ensure local citizens have realistic access to purchasing homes in the nation..On June 9 Commons voted 180-147 for a motion recommending cabinet investigate a “temporary freeze on home purchases by non-resident foreign buyers who are squeezing Canadians out of the housing market.”.While the Conservatives, Bloc, and NDP’s supported this motion, Liberal members and the entire Liberal cabinet opposed it..The Liberal Party said in a statement August 24 it plans to also implement a “Home Buyer’s Bill of Rights” to help make the home-buying process easier and more fair. The plan intends to eliminate blind bidding..While many, especially the BC provincial government that’s in the process of attempting to fix their housing market problems through provincial foreign property ownership taxation of their own, some don’t agree with the government’s Band-Aid solution..David Oikle, president of the Ontario Real Estate Association, said “you cannot fix Canada’s housing crisis by denying millions of hardworking families the choice of how to sell their homes by regulating real estate prices.”.Currently, private contracts are provincially legislated through the Constitution Act. Trudeau provided no details on any legalities regarding his bid-regulation proposal..Trudeau hopes this legislation can help average citizens achieve the Canadian Dream, saying to reporters “if you word hard, if you save, your dream of having your own place should be in reach. For too many people it just isn’t and that’s not right.”.“It’s time for things to change,” said Trudeau. “You shouldn’t lose a bidding war on your home to speculators.”.In a further attempt to even the housing market playing field, the Home document also referenced an “unspecified slipping tax” that would be incurred on properties which changed ownership within twelve months of originally purchasing..Effective January 1, cabinet will “levy a 1% annual equity tax on unoccupied condos, townhouses, and single-family homes owned by non-resident foreigners.” The Budget Office estimates the tax is worth $175 million per year..Jackie Conroy is a reporter for the Western Standard.jconroy@westernstandardonline.com
