Foreign Buyer Ban: The Blue Mountains

Foreign Buyer Ban: The Blue Mountains

Hello my dear reader, since it is officially January 2023, the Foreign Buyer Ban is now in effect in Canada. Living in The Blue Mountains, Meaford, and Collingwood areas you are living in a 4-seasons playground, of Southern Georgian Bay. These are popular tourist destinations and also popular for foreign buyers to purchase. So I thought I would shed a little light on what this means for our area: having a Foreign Buyer Ban in The Blue Mountains.

What is the Foreign Buyer Ban?

As we have discussed, COVID-19 created a BOOM in the real estate market, house prices soaring and home affordability becoming a great concern to Canadians. Enter, the Foreign Buyer Ban: “​​Prohibition on the purchase of residential property by non-Canadians Act” was announced by Parliament on June 23, 2022 and began on January 1, 2023 and will continue for the next two years*. Banning commercial enterprises and individuals outside of Canada from purchasing residential properties in Canada.

Which Properties are included in the ban?

Residential properties such as: detached homes, semi-detached homes, rowhouse units, condominium units and other similar properties are included in the Foreign Buyer Ban. If the property resides in a municipality with a core population of less than 10,000 they are not subject to this ban. Also, recreational properties like cottages or lake houses are also not included in the ban. 

What are the Foreign Buyer Ban Exemptions?

Those who have temporary Canadian work permits, those who are refugee claimants, and international students (that meet certain criteria) are still allowed to buy residential properties in Canada. Non-Canadians with spouses or those with common-law status with their Canadian partner are also exempt from the Foreign Buyer Ban. Vacant land is exempt from the foreign buyer ban, and as mentioned recreational properties such as your new cottage or lake home also is not included in the ban. 

Foreign Buyer Ban: The Blue Mountains

Dear reader you might be asking yourself what this means if you are looking to purchase in The Blue Mountains as a Foreign Buyer? Well, our area is popular as a vacation and tourist destination! Properties used for recreational purposes are abundant here and if you are a foreign buyer looking to buy property we just need to do our due diligence and confirm that you fall under these exemptions and are allowed to purchase so there are no legal issues for you or myself. 

Have questions about how the foreign buyer ban affects you? If you are looking to buy or sell today with team Builds by the Bay, then let’s Chat! Check out our real estate services and contact us to help you with your real estate needs. 

*There has since been an update to the Foreign Buyer Ban. CREA shares: “On Sunday, February 4, 2024, Finance Minister Chrystia Freeland announced the federal government’s intention to extend the Prohibition on the Purchase of Residential Property by Non-Canadians Act (foreign buyer ban), which was first introduced in 2023, by two years to January 2027.”