On March 27, significant amendments were made to the Prohibition on the Purchase of Residential Property by Non-Canadians Act (the "Act"), including:
- Threshold of foreign ownership, for an entity formed in Canada to be subject to the Act, increased from 3 per cent to 10 per cent (see “control” under s.1 of the amended Act);
- Non-Canadians are now allowed to purchase residential property for development (see 4(2)(e));
- The Act no longer applies to vacant land that is zoned for residential or mixed use (3(2) is repealed); and
- Flexibility for temporary residents holding a work permit to purchase residential property has been increased (see 5(b)(i) to (iii)).
Review our table for a summary of some of the key sections and amendments, highlighted in red, to the Act and Regulations. This should not be a substitute for reading the legislation. (See our previous Notice to Lawyers for more information on the Act.)