The Canadian government, represented by Deputy Prime Minister and Finance Minister Chrystia Freeland, has announced its intention to extend the ban on foreign ownership of Canadian housing for an additional two years. This decision comes in response to concerns over foreign investment driving up housing prices and exacerbating affordability issues, particularly in major urban areas. The ban, which is currently set to expire on January 1, 2025, will now be extended until January 1, 2027. Foreign commercial enterprises and individuals who are not Canadian citizens or permanent residents will remain prohibited from purchasing residential property in Canada.

This extension is part of the government’s broader efforts to improve housing affordability for Canadians. The government has significantly increased its investment in housing since 2015, with the current annual federal housing investment more than double what it was in 2013-14. Various measures have been implemented to address housing affordability, including the passage of the Prohibition on the Purchase of Residential Property by Non-Canadians Act in 2022. Additionally, the government’s economic plan includes initiatives such as the Affordable Housing and Groceries Act, the Apartment Construction Loan Program, the Affordable Housing Fund, the Housing Accelerator Fund, the Rapid Housing Initiative, the Federal Lands Initiative, and others aimed at increasing housing supply and supporting Canadians in achieving homeownership.