Further to my post dated 10 Jan 2023 regarding Canada’s foreign homebuyer ban, govt of Canada has just announced some changes.
Starting from March 27, 2023, some exceptions to the Foreign Buyer ban are now in effect in Ontario, Canada. The following changes have been made:
- Non-Canadians who hold a work permit or are authorized to work in Canada can purchase residential property if they have at least 183 days or more remaining on their permit or work authorization and have not already bought more than one property.
- Non-Canadians and foreign businesses can now purchase residential property if they plan to develop it. Any repairs, renovations, or remodeling will not be considered.
- Non-Canadians can also buy vacant land zoned for residential and mixed-use for any purpose.
- The control threshold for privately held corporations or entities formed under Canadian law has been increased from 3% to 10%.
- The Canada Revenue Agency (CRA) has waived the late fees and interest on the Underused Housing Tax (UHT), which requires non-resident, non-Canadians to pay 1% of the value of any unused or vacant property in Canada. They can now file UHT returns and payments without penalty until Oct. 31.
