Prohibition on the Purchase

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The Prohibition on the Purchase of Residential Property by Non-Canadians

The Prohibition on the Purchase of Residential Property by Non-Canadians Act enforces a two-year ban, effective from January 1, 2023, on non-Canadians purchasing residential properties in Canada. The term “residential property” includes detached homes, semi-detached homes, rowhouse units, and residential condominium units. Non-Canadians who breach the prohibition may face fines of up to $10,000, while any individual or entity that knowingly helps a non-Canadian violate the ban may also be fined up to $10,000. If a non-Canadian is discovered to have obtained the residential property in violation of the Act, a court may order the sale of the property, with the non-Canadian receiving no more than the purchase price paid.


The Act exempts various individuals and circumstances, such as international students, temporary residents, refugees and refugee claimants, recreational properties, properties located outside of a Census Metropolitan Area (CMA) or Census Agglomeration (CA), purchases made with a Canadian spouse or common-law partner, and purchases made by a person registered under the Indian Act. The Act does not impose compliance requirements on professionals or rely on third parties for enforcement. Nonetheless, the Canadian Real Estate Association (CREA) recommends that REALTORS® exercise due diligence and risk mitigation. CREA has created a Certification and Consent of Purchaser certificate that REALTORS® should complete before assisting or advising a potential buyer and use alongside other due diligence practices.