Canada Extends Foreign Housing Ownership Ban by Two Years

Canada has prolonged its prohibition on foreign housing ownership for an additional two years to ease the national housing affordability crisis.

The government attributes the crisis to an influx of migrants and international students, which has pushed up demand for housing amid slowing construction due to rising costs.

The ban, initially set to expire on January 1, 2025, will now extend to January 1, 2027, according to Deputy Prime Minister Chrystia Freeland. This measure is part of the country's efforts to prevent Canadians from being outpriced in their own housing markets.

The government has also capped international student permits and will limit post-graduation work permits to tackle high newcomer numbers that are exacerbating the housing shortage.

Population growth driven by immigration has strained services and spiked housing prices, affecting the popularity of Prime Minister Justin Trudeau's government, with polls suggesting possible defeat in an election.