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  • Cameron G. White

New Federal Legislation Prohibiting the Purchase of Residential Property by Non-Canadians

The federal government’s newly enacted Prohibition on the Purchase of Residential Property by Non-Canadians Act (“the Act”), is set to come into force on January 1, 2023.


The Act prohibits individuals who are not Canadian citizens or permanent residents of Canada (collectively, “non-Canadians”) from purchasing residential property in Canada for a period of two years. The prohibition also applies to corporations that are not incorporated in Canada or are controlled by non-Canadians.


The Act:

  • Prohibits non-Canadians from directly or indirectly purchasing residential property in Canada for a period of two years, which includes purchases made through corporations, trusts, or other legal entities;

  • Applies to residential property, which includes detached homes or similar buildings of one to three dwelling units as well as parts of buildings such as semi-detached houses, strata units, or other similar premises;

  • Establishes penalties for non-compliance applicable to non-Canadians, as well as any person or entity knowingly assisting a non-Canadian in contravening the prohibition;

  • Sets out exemptions for certain classes of people such as refugees, individuals who purchase residential property with their spouse or common-law partner (provided the spouse or common-law partner is eligible to purchase residential property), temporary residents in Canada who satisfy the prescribed conditions in the regulations, and other classes of persons set out in the regulations.

If you have any questions, please contact us at (604) 736 9791 or email Alex Robertson ar@dwslaw.ca.


Disclaimer: This article is not intended to serve as, or should be construed as legal advice, and is only to provide general information. Should you require legal advice for your particular situation, please get in touch with us. The information for this article was compiled on June 6, 2022. Any updates made to the article can be found at dwslaw.ca/articles.

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