15% Foreign home buyers tax, not a big deal
Last year, Vancouver introduced a 15% foreign homebuyers tax. I predicted it would come to Toronto after 6 months.
Today, Ontario’s govt has copied Vancouver by introducing a 15% foreign homebuyers tax. The hope is this will discourage foreign investors from buying and speculating on the Toronto housing market (by the way, there is no data to prove that foreign investors are a factor or contributing to the red hot housing market).
Vancouver tried this last year. But what happened? The amount of sales slowed, but just temporarily. And house prices didn’t really drop. This year, Vancouver house values are up over 3% and climbing. Read the rest of this entry »