Toronto proposes tax on home purchases by foreigners

Here's how Ontario's new foreign homebuyer tax would work

The region's housing market has seen prices jump more than 33% over a year, with the average detached house selling for $1.21-million dollars.

A 15-per-cent non-resident speculation tax proposed by the Ontario government Thursday forms a key plank in the province's plan to cool the hot housing market in its southern cities.

"We're going to continue to pay close attention to what happens in the housing market", she said.

Premier Kathleen Wynne's Liberals are widely expected to reveal housing policy measures when Sousa issues his budget on April 27.

Local house hunters are increasingly finding themselves in bidding wars with buyers from Toronto, who are now looking further afield thanks to telecommuting and an increasingly expensive big city housing market.

Sousa said Ontario policymakers would unveil a "suite of measures" in the coming days in an effort to boost housing supply and address price gains in Toronto and the broader region.

Wynne said the measures were created to help people afford to rent or buy a home, brushing off a suggestion that the move was more about boosting her approval rating, which has recently plunged to just over 10 per cent, according to polls. The Fair Housing Plan will also include a new Housing Supply Team of dedicated provincial employees to identify barriers to specific housing development projects and work with developers and municipalities to find solutions.

The B.C. government also implemented a foreign buyers' tax and cities new powers to tax vacant homes, which Vancouver has begun to do.

- A five-year, $125-million program aimed at encouraging the construction of new rental apartment buildings by rebating a portion of development charges.

The three agreed to work together to track data and enforce compliance with tax regulations and to meet every quarter to assess the Toronto market. New rules would see all private rental units fall under annual rent increase guidelines. A similar tax in Vancouver brought sky-high prices down initially, but they're creeping back up, suggesting the measure's effect may have been only temporary.

More news: Indiana Pacers first round preview

Lobo believes the government was moved to impose rent controls at least partially because of recently publicized cases where people renting condo units in buildings erected after 1991 were suddenly hit by price increases of $1,000 or more per month.

The new legislation would also allow Toronto-and possibly other municipalities-to table a tax on vacant homes.

Which isn't to say there are no good ideas in today's housing plan, only that the government (and probably a government of any political stripe) was always going to be cautious.

The danger of governments imposing even more taxes on real estate (without increasing supply) is that they will be playing Russian roulette with the major asset of most homeowners - the market value of their home and the amount of equity they have in it.

Tim Hudak, CEO of the Ontario Real Estate Association, welcomed the review.

- Education for consumers on their rights, particularly on the issue of one real estate professional representing more than one party in a real estate transaction.

John Jason, a lawyer specializing in financial services at law firm Cassels Brock & Blackwell LLP in Toronto, said Ontario's new housing measures could lead to some decreases in house prices if speculation is tamped down.

The plan also includes establishing timelines for elevator fix so that they aren't broken so often in condos and apartments.

FRPO warned that roughly 9,000 objective built rental suites in Ontario, represents $2.7 billion in gross investment, will be exposed to risk in the event of rent control rule changes.

Related News:

  • National Basketball Association fines Grizzlies' Fizdale $30000 for officiating rant

    Danny Green scored 12, LaMarcus Aldridge pumped in 11 points and Pau Gasol contributed 10 points off the bench. Grizzlies: Memphis was 2-0 at home against San Antonio in the regular season, winning by an 11-point average.
    Microsoft To Do App Released for iOS & Android

    Microsoft To Do App Released for iOS & Android

    There are a ton of note-taking apps out there, but To Do aims to help you across all types of situations and environments. The app uses what is called smart technology in order to give you smart suggestions based on your activities and routine.

    Paris Hit By Another Terror Attack: Gunman Kills Cop, Wounds Three More

    Police raided the suspect's apartment in a suburb to the east of Paris and found guns and knives during a search of his vehicle. Here is what we now know about the shooting, which took place just days before the first round of the French election.
  • Thousands Demand Trump Release Tax Returns

    Thousands Demand Trump Release Tax Returns

    Elizabeth Warren, of MA , on Friday posted an online video urging Congress to force Trump to release the returns. Critics say Trump's failure to release returns raises conflict-of-interest questions about his business empire.
    Watchdog says 'incontrovertible' sarin used in Syria attack

    Watchdog says 'incontrovertible' sarin used in Syria attack

    He said in a statement that further results would follow, but that "the analytical results already obtained are incontrovertible". Top Assad ally, Russia, has asserted a Syrian government airstrike hit a rebel chemical weapons factory, causing the disaster.

    In Search For Life, NASA Finds Two "Ocean Worlds"

    The new findings support that conclusion and add that the rock appears to be reacting chemically to produce the hydrogen. This process, where microbes break down the hydrogen and release methane as a byproduct, is known as methanogenesis .
  • Canada minister they're looking forward to Trump trade talks

    Canada minister they're looking forward to Trump trade talks

    If increased to 70 per cent, many Mexican plants would be shuttered and relocated back to the U.S. or Canada. MacNaughton also said the trade balance on dairy "massively" favours the U.S.by a five-to-one margin.

    Fleeing with student, teacher took guns, cash and wife's auto

    Cummins' wife, Jill files for divorce, alleging irreconcilable differences have arisen and exist between her and her husband. At this point in the investigation the TBI has received more than 1,300 tips from almost every state in the country.
    Lawmakers plot ways to force Syria war vote

    Lawmakers plot ways to force Syria war vote

    The Constitution states that Congress is the branch of government that should declare war, not the executive branch. House Foreign Affairs Chairman Ed Royce would be the point person in the House for a war authorization.
  • California gunman to appear in court on murder count

    California gunman to appear in court on murder count

    He and Randalls were friends for 15 years after bonding on a job over a love of music and the Los Angeles Dodgers. Muhammad then set his sights on three white men standing at a bus stop. "That's what he set out to do that day".
    Dortmund player gives emotional interview after explosion

    Dortmund player gives emotional interview after explosion

    German authorities have arrested a suspected Islamic extremist connected to what Chancellor Angela Merkel called a "despicable" attack.
    Two people killed during anti-government protests in Venezuela

    Two people killed during anti-government protests in Venezuela

    GM has about 2,700 workers in the country, where it's been the market leader for over 35 years. Tens of thousands of opponents of President Nicolas Maduro flooded the streets of auto .


Most liked

Pence says Trump to attend Asian summit in Nov
Moreover, Trump would be gracing the event, European PPP Expertise Centre alias EPEC Summit scheduled to be held in Vietnam. U.S. -Philippine relations are strained over Duterte's war on drugs, and his brash efforts to forge closer ties with China.

US House committee sets more hearings in Trump-Russia probe
In the end, Democrats and Republicans agreed to hold both the closed and open hearing that Democrats had been pushing for. Devin Nunes, R-Calif., disclosed that USA spy agencies had swept up communications of Trump associates.

United Airlines can't say if video has hit sales
He described the incident as a "system failure across various areas". "There was never a consideration for firing an employee". Even in normal times, airlines closely - even daily - scrutinize numbers such as advance sales and occupancy levels on planes.

Labour MP says her party is not trying to win election
Because the British people know that they are the true wealth creators, held back by a system rigged for the wealth extractors. Latest polls show Labour lagging a staggering 24 points behind the Tories, who command an imposing 48% of the popular vote.

Oil prices tumble on U.S. inventories data
The head of OPEC says oil producers are seeking sustainable stability in crude markets as they consider whether to extend output curbs.

Confessed killer Muhammad to make his first court appearance Friday
He told police he noticed the driver was Latino and the passenger was white so he shot four rounds into the passenger side. Here's how police say a fatal argument at a motel led to the deaths of three more men, allegedly victims of hate crimes.

Dani Alves explains what he told Neymar after Barcelona Champions League exit
When you face a side like this, with their attacking options, you think that one or two goals are always going to be scored. Messi' frustrating first half had a painful ending when he was caught by Miralem Pjanic while jumping for a ball.

Tsonga loses opening match in Monte Carlo, Djokovic wins
With Cuevas on serve again at 5-6, Pouille clinched victory on his second match point when the former hit another backhand long. He could also jump to first in the list of top clay-court titlists with his 50th-what would be his 70th title overall.

United Kingdom parliament votes in favour of early election
According to a YouGov poll for The Times published Thursday, the Conservative party lead with 49 percent, up 4 percentage points from last week.

Singer Cuba Gooding Sr. found dead in car in Los Angeles
Paramedics rushed to the location but they couldn't revive the singer via cardiopulmonary resuscitation (CPR), Variety reported. Soul singer, Cuba Gooding Sr. was reportedly found dead in his auto in Woodland Hills, California on Thursday afternoon.

Cavaliers stunning rally puts Pacers on brink
IN shot almost 50 percent from the field and rarely do you consistently win when your opponent is making half their shots. George called out Miles, "In situations like that, I got to get the last shot". "Again, it comes down to trust".

Guardiola reveals how he was told to sign David Silva for Barcelona
City now occupy fourth spot on 61 points, some seven ahead of Arsenal and Manchester United, who sit fifth and sixth respectively. Tom Johnson is on 166 from 354 appearances while Sergio is on 164 from just 246 games played - an incredible statistic.

Former RCB owner Mallya arrested in the UK
Surjewala said the government's sincerity of goal would be proved only when Mallya and Modi are brought back to India. The source said Indian authorities will have to present a case for extradition of Mallya.

Streaming Deals Like Amazon's NFL Deal Not 'Smart For Us — Netflix
This coming weekend, it is about to have even more reasons to celebrate as it expects to hit the 100 million subscriber mark. The prediction had been made yesterday by the company with the release of its first-quarter earnings.

US state of Arkansas conducts first execution since 2005, plans three more
Arkansas was planning to execute Johnson and Lee from 7 p.m at its Cummins Unit in Grady, which houses the state's death chamber. Media witnesses speak about the late Thursday night execution of Ledell Lee in Varner, Ark., early Friday, April 21, 2017.