Update: “Effective as of January 1, 2023, the Prohibition on the Purchase of Residential Property by Non-Canadians Act (the “Act”) prevents non-Canadians from buying residential property in Canada for 2 years.”
- The Act defines residential property as buildings with 3 dwelling units or less. This includes semi-detached houses and condominium units. The Act doesn’t prohibit the purchase of larger buildings with 4 or more dwelling units.
- Non-Canadians can purchase residential properties located outside of Census Metropolitan Areas (CMA) and Census Agglomerations (CA).
- Certain exceptions apply allowing Non-Canadians to purchase a residential property in defined circumstances.
- If a non-Canadian, or anyone who knowingly assists a non-Canadian, is convicted of violating the prohibition, they will have to pay a fine of up to $10,000. Additionally, a court can order the sale of the residential property.
As of March 27, 2023, the following amendments were made by the Government of Canada:
– Enable more work permit holders to purchase a home to live in while working in Canada.
– Repealing existing provision so the prohibition doesn’t apply to vacant land.
– Exception for development purposes.
– Increasing the corporation foreign control threshold from 3% to 10%.
To read the full report of the amendment please visit the Canada Mortgage Housing Corporation.
Non Resident Mortgages are available for non-resident applicants under the following categories:
1) Non-permanent residents of Canada.
2) Temporary residents to Canada, such as foreign workers with valid work visas.
1) U.S. Residents can obtain uninsured mortgage financing for a second home or vacation property.
2) A good down payment is preferred from own resources, and an ability to repay loan amount.
3) Standard U.S. withholding tax policies apply.
We can make your experience of attaining a mortgage easier and convenient. We are able to help you with the mortgage requirements, so you can apply for financing with certainty.
We are committed in providing you with the service, competitive rates, and flexible mortgage options that best meet your needs and current financial and credit situation. For your convenience, we can arrange your financing in the comfort of your own home or office.