real estate toronto

Ontario might impose foreign buyer's tax to cool real estate market

The real estate market in the Toronto area is wildly hot right now, pricing hordes of prospective buyers out of the market, so Ontario's Finance Minister Charles Sousa is exploring ways to cool it down.

One idea he's considering includes following British Columbia's lead by imposing a foreign buyer's tax, reports the Canadian Press today.

"A year ago I was thinking, 'Let market forces prevail,'" Sousa said, according to the Canadian Press.

"But now I'm concerned about...the ability of people to enter the marketplace. (There are) bidding wars everywhere you go, it appears, and I'm sensitive to that. I'm sensitive to the degree of fast appreciation in the short term and what will that do over the long term."

In November, the province gave land transfer tax rebates to first-time home buyers and upped the land tax transfer rates on homes that sold for more than $2 million.

The average price for a house (including detached homes, townhouses and condos) in the GTA reached $875,983 last month. That's a 28. percent increase since February 2016.

Lead photo by

Piotr Halta


Join the conversation Load comments

Latest in City

Vote for your favourites in 30 new best of categories

Toronto neighbourhood still shaken by long lockdown in Ontario

People upset after Shoppers Drug Mart in Toronto replaces cashiers with self-checkouts

Toronto loses out to Winnipeg on latest ranking of world's greatest places

Police are now ticketing cyclists for going too fast in a Toronto park

Toronto ferry undergoing major transformation that will be a first for Canada

Someone in Toronto is sending passive aggressive notes telling people how to park

Toronto is finally doing something about noisy Fast & Furious-style drivers