Builders Say Canada’s Foreign Buyers Ban is Stopping Construction of New Homes
Developers are warning that the wording of the new rules will have unintended consequences.
A home under construction in Vaughan, Canada.
Photographer: Cole Burston/BloombergThis article is for subscribers only.
Canadian Prime Minister Justin Trudeau’s ban on foreign homebuyers is making it harder to build new housing, Canadian developers say.
The wording of the ban, which came into effect at the beginning of this year, unintentionally prevents a broad swath of companies from purchasing vacant land to turn into new housing due to its strict limits on foreign involvement, they say. That’s making it harder for the Trudeau government to ease the country’s housing crisis — the reason the prohibition was introduced in the first place.