4 ms·
From my understanding, Canada's housing market is largely being influenced by foreign investors. I've read that lots of foreign investors are buying homes in ca
by milkytron 6y ago
From my understanding, Canada's housing market is largely being influenced by foreign investors. I've read that lots of foreign investors are buying homes in cash, over market rate, and then letting them sit vacant.
If Canada's laws don't discourage this and others see it as a safe way to store their wealth, this could be a possible explanation for the insane rise in home costs compared to other countries.
- 908B64B197 6y ago> I've read that lots of foreign investors are buying homes in cash, over market rate, and then letting them sit vacant. This is used to launder illegally acquired assets that are brought in the country. Then as a bootstrap toward acquiring western passports. > If Canada's laws don't discourage this It encourages it. Out of control immigration quotas as well as lax regulations regarding birth tourism and a liberal-party friendly immigrant base has made it a no brainer for the current party to keep the bubble expanding.
- railsgirls112 6y agoHasn't that been the case in places like NYC for a bit now? I remember reading about like single digit occupancy rates in massive luxury apts. I'd imagine that would have only increased but would love a check on my understanding.
- sidlls 6y agoIt's what drives the price increases in the Bay Area in California, as well. When 20% or more of the purchases in a given year are by foreign persons, it is problematic. They don't live here, they buy properties and let them sit vacant or rent them out. We need to basically prohibit ownership of anything but a primary residence by any entity that isn't a citizen or permanent resident (corporate entities would qualify if 100% of their true beneficial owners meet the same standard).