Ontario introducing 15% tax to cool down housing market

Toronto's real estate market just keeps on soaring. Housing prices in Toronto, and across the GTA, seem to be at record highs, but it looks like the province will try to reign them in.

Ontario Premier Kathleen Wynne introduced the Fair Housing Plan today, which includes a new 15 percent tax on foreign speculators, or those who aren't citizens or permanent residents of Canada. These buyers make up 5 percent of the current market.

This 15 percent Non-Resident Speculation Tax (NRST) would apply to single family residences, such as detached and semi-detached houses, townhouses and condos in the Greater Golden Horseshoe area. That includes the GTA, Hamilton, Kitchener-Waterloo, Niagara and Barrie.

Vancouver got a foreign buyers tax last year and it reportedly helped cool down the market there.