top of page
Foreign Buyer
Facts
​
-
Statistics Canada said foreign investors comprised from 2 to 6% of buyers before all the taxes and bans. BC Premier David Eby even expressed regret for blaming foreign buyers for our obvious home shortage, an admission that was not widely covered in mainstream media.
-
​​New condo development needs around 70 - 80% in committed pre-sales (down payments) to qualify for financing to start construction. Should Canada follow the newly introduced Australian example that restricts foreign investment in existing/resale homes, but allows them to help fund new builds and presales?
-
A former BC Housing CEO admitted in 2019 that government doesn't have the funds to provide all the social housing and needs private sector investment. So did federal Canada Mortgage and Housing Corp. (CMHC) deputy chief economist Aled ab Iorwerth. "We need more private-sector investment to build more supply in the housing market, particularly in the rental sector." This same official also admitted the federal housing "targets" of hundreds of thousands more homes built a year aren't even achievable in the current environment. Plus, governments are broke. Borrowing more money and higher taxes aren't helping anyone.
-
As we welcome millions more newcomers a year to Canada amidst a couple hundred thousand homes being built annually, should we allow them to help invest in building secured rental apartments or private condos used for renting? Canada doesn't have a lot of home-grown billionaire investors to help finance growth. Housing finance experts like Dr. Murtaza Haider says we need "trillions" not billions of dollars.
-
At unsustainable and "alarming" debt levels, with credit downgrades, meaning higher interest rates, governments should NOT be "developers". They have zero accountability for billions of taxpayer funds already spent on housing and would be exposed to project bankruptcies or mortgage defaults.
-
Rental vacancy rates are often less than 1% in our major cities. A healthy vacancy rate is about 3% and up.
Who else will fund home construction? Governments finances are "alarming"
-
Eastern homebuilders are also asking Ottawa to remove the foreign buyer ban following interest rate hikes and a market slump. Presales of condos necessary for construction financing crashed in Toronto, Vancouver and Ottawa. "Over the past few years, developers have postponed and canceled projects because they are unable to sell the minimum amount needed to obtain construction financing from lenders."
-
This "reduces the number of units available to families in Canada,” builders told the Globe & Mail July 31/25. Many of these condos could have been in the private rental market.
-
Avoid proven failures like all "government"- owned social housing with unaccountable spending that often ends up in poorly maintained derelict, rodent-infested "slums" like those in New York City.
-
Social housing in Vienna, Austria was too costly to maintain.

Should Foreign Investors Finance
Rental Homes?
bottom of page



















