Canada's Foreign Buyer Ban Is Extended to 2027: Who's Banned and the Key Exceptions

The ban was originally set to expire on January 1, 2025. In February 2024 the federal government announced a two-year extension to January 1, 2027. (Source: CMHC / Government of Canada)

Its stated purpose is to curb speculative foreign capital tying up housing supply and to prioritize homes for people who live in Canada.

What the Ban Covers

It restricts non-Canadian citizens, non-permanent residents, and foreign commercial entities from buying residential property, defined as buildings with three dwelling units or fewer, including semi-detached houses and condominium units.

Note: multi-unit residential of four or more units, and larger rental/commercial assets, generally fall outside the ban.

The Main Exceptions

• Geographic: non-Canadians can still buy residential property located outside Census Metropolitan Areas (CMAs) and Census Agglomerations (CAs).
• Temporary residents: eligible international students and certain temporary workers on work permits may buy.
• Spousal co-purchase: a non-Canadian buying together with a Canadian-citizen or permanent-resident spouse or partner is exempt.
• Protected persons: refugee claimants and protected persons.
• Vacant land: following amendments, non-Canadians may purchase vacant land zoned for residential and mixed use.

People conflate the two. The purchase ban is a question of whether you can buy. Ontario’s Non-Resident Speculation Tax (NRST, 25%) is a question of tax owed when you do buy. Even if an exception lets you buy legally, you may still owe NRST. Check both regimes separately.

A purchase made in violation of the ban can lead to fines and a court-ordered forced sale of the property. Agents and lawyers who knowingly assist a violating transaction can also face liability. Confirm eligibility with a professional before you submit an offer.

Q: How long is Canada's foreign buyer ban extended?

Per CMHC and the federal government, the Prohibition on the Purchase of Residential Property by Non-Canadians Act runs to January 1, 2027 (originally set to expire January 1, 2025), following a two-year extension announced in February 2024.

Q: Can international students and work-permit holders buy?

In qualifying cases, yes. The ban includes exceptions for some international students and temporary workers on work permits, subject to residency and tax-filing conditions. Verify eligibility with a lawyer before buying.

Q: Can I buy with a Canadian spouse?

Yes. A non-Canadian buying residential property together with a spouse or common-law partner who is a Canadian citizen or permanent resident is one of the ban’s exceptions.

Q: Is the ban the same as the 25% Non-Resident Speculation Tax?

No. The ban governs whether you can buy; Ontario’s NRST (25%) governs tax owed once you buy. Even if an exception lets you buy legally, NRST may still apply. Confirm each separately.