We have not sent an email with program updates in a long time because not many material changes have occurred and we are seeing record demand of our Antigua & Barbuda and St. Kitts & Nevis Citizenship-by-Investment Program offerings so we have just rolled up our sleeves and focused on ensuring smooth application processing. Together with our colleagues at Sherbrooke Street Capital, we are also anticipating and preparing for the reopening of the QIIP next year, so please stay tuned for those details.
The reason for this time-sensitive email is that some real estate investors are rushing into the Canadian real estate market before a new law comes into effect prohibiting non-Canadians from purchasing residential property in Canada.
Earlier this year, the Canadian Government passed this new legislation (the Prohibition on the Purchase of Residential Property by Non-Canadians Act) which will be in force for two years starting on January 1, 2023.
The good news is that we have just received clarity on one important point: as per Section 4(5) of the Act “[the prohibition] does not apply if the non-Canadian becomes liable or assumes liability under an agreement of purchase and sale of the residential property before [Jan 1, 2023]”. Therefore, for those of you whose overseas real estate buyers have already signed preliminary purchase agreements at Le Sherbrooke, River & Fifth, Victoria sur le Parc, or any of Broccolini’s residential projects, those sales will proceed as originally planned.
What does this mean for you and your clients?
There are many details of this law which will only be known once the accompanying Regulations are published and for now we are proceeding on the assumption that most non-Canadians will not be able to invest in Broccolini’s current residential real estate projects after January 1, 2023.
As a result, we have seen a material uptick in inquiries from foreign buyers as many would like to secure their investment in Canada before the new law comes into effect.
If you believe you have some clients who might be interested in Canadian real estate investment, please let us know.
