Canada’s Foreign Buyer Ban
Is Scheduled to End in 2027
What Burlington and Hamilton buyers should know — including which restriction would lift, and which one would stay exactly where it is.
Two Separate Measures,
Only One of Them Expiring
Canada’s federal foreign-buyer ban is currently scheduled to expire on 1 January 2027, making 31 December 2026 its last scheduled day.
For buyers and sellers in Burlington, Hamilton and surrounding Ontario communities, that raises an important question: what could change — and which restrictions would remain?
Two separate measures matter: the federal restriction on certain residential purchases by non-Canadians, and Ontario’s Non-Resident Speculation Tax.
The federal legislation schedules repeal for 1 January 2027. However, the government could extend or change the rules before that date. Buyers should confirm the law in force before entering an agreement.
Source: Federal legislation, sections 236–237
What the Foreign
Buyer Ban Covers
The Prohibition on the Purchase of Residential Property by Non-Canadians Act restricts certain direct and indirect residential purchases by non-Canadians.
Its definition of residential property includes detached houses containing no more than three dwelling units, as well as separately owned condominium units, townhouses and similar properties.
Canadian citizens, permanent residents and people registered under the Indian Act are outside the Act’s definition of a non-Canadian individual. Certain foreign-controlled Canadian corporations are also covered by the restriction.
Some Non-Canadians
Can Already Buy
Yes — the federal rules include exceptions for certain temporary residents, protected persons and qualifying purchases with a spouse or common-law partner.
- Qualifying work-permit holders or people authorized to work in Canada must have at least 183 days of validity remaining on their permit or work authorization on the purchase date, and must not have purchased more than one residential property.
- International students face separate, stricter requirements.
An exception should be confirmed for the individual transaction before signing.
The 25% NRST Would
Not End Automatically
No — not automatically. Ontario’s Non-Resident Speculation Tax, or NRST, operates separately from the federal ban.
Ontario currently imposes a 25% NRST on qualifying residential acquisitions by foreign nationals, foreign corporations and taxable trustees across the province. It applies in addition to Ontario’s general land transfer tax.
An exception to the federal ban does not necessarily provide an exemption from NRST. Ontario has its own exemption and rebate requirements.
Signing in 2026,
Closing After Expiry
A later closing date should not be assumed to make an earlier agreement permissible.
The federal regulations define a purchase as acquiring a legal or equitable interest, with or without conditions. Buyers should have their lawyer confirm how the restriction applies before entering an agreement during the ban — including a pre-construction agreement with a future closing date.
What This Could Mean in
Burlington and Hamilton
If the ban expires as scheduled, removing that restriction could broaden the pool of potential purchasers for some homes.
That does not establish how many additional buyers would enter the local market, or what would happen to prices. Financing, Ontario’s tax, available inventory and individual buyer circumstances would still matter.
For sellers, the practical approach is to base pricing and timing on current comparable sales and competing listings rather than an assumed surge in foreign demand.
For buyers, the priority is confirming eligibility and the complete purchase budget before making a commitment.
Planning a Purchase
or Sale in 2027?
Before proceeding, confirm:
- Whether the federal ban has expired, been extended or been replaced.
- Whether the buyer and property fall within any applicable restriction.
- Whether Ontario’s NRST applies, and whether an exemption or rebate is available.
- What financing and closing funds will be required.
The Foreign Buyer Ban,
Answered
When is Canada's foreign buyer ban scheduled to end?
The federal legislation schedules repeal for 1 January 2027, making 31 December 2026 the last scheduled day of the restriction. However, the government could extend or change the rules before that date. Buyers should confirm the law in force before entering an agreement.
What does the federal foreign-buyer ban cover?
The Prohibition on the Purchase of Residential Property by Non-Canadians Act restricts certain direct and indirect residential purchases by non-Canadians. Its definition of residential property includes detached houses containing no more than three dwelling units, as well as separately owned condominium units, townhouses and similar properties. Canadian citizens, permanent residents and people registered under the Indian Act are outside the Act's definition of a non-Canadian individual. Certain foreign-controlled Canadian corporations are also covered by the restriction. The regulations exclude properties outside census metropolitan areas and census agglomerations, so buyers should check the specific address rather than assume that a rural-looking property is outside the restriction.
Can some non-Canadians already buy a home in Canada?
Yes. The federal rules include exceptions for certain temporary residents, protected persons and qualifying purchases with a spouse or common-law partner. Qualifying work-permit holders or people authorized to work in Canada must have at least 183 days of validity remaining on their permit or work authorization on the purchase date and must not have purchased more than one residential property. International students face separate, stricter requirements. An exception should be confirmed for the individual transaction before signing.
Would Ontario's 25% Non-Resident Speculation Tax end with the federal ban?
No — not automatically. Ontario's Non-Resident Speculation Tax, or NRST, operates separately from the federal ban. Ontario currently imposes a 25% NRST on qualifying residential acquisitions by foreign nationals, foreign corporations and taxable trustees across the province, in addition to Ontario's general land transfer tax. An exception to the federal ban does not necessarily provide an exemption from NRST, as Ontario has its own exemption and rebate requirements.
Can a buyer sign in 2026 and close after the scheduled expiry?
A later closing date should not be assumed to make an earlier agreement permissible. The federal regulations define a purchase as acquiring a legal or equitable interest, with or without conditions. Buyers should have their lawyer confirm how the restriction applies before entering an agreement during the ban, including a pre-construction agreement with a future closing date.
What could the end of the ban mean for Burlington and Hamilton sellers?
If the ban expires as scheduled, removing that restriction could broaden the pool of potential purchasers for some homes. That does not establish how many additional buyers would enter the local market or what would happen to prices. Financing, Ontario's tax, available inventory and individual buyer circumstances would still matter. For sellers, the practical approach is to base pricing and timing on current comparable sales and competing listings rather than an assumed surge in foreign demand.
Read It
Yourself
Every condition above was taken from the following official sources. If you are making a decision, read the source that matches your situation:
- Federal legislation scheduling the repeal — sections 236–237
- Prohibition on the Purchase of Residential Property by Non-Canadians Act
- Prohibition on the Purchase of Residential Property by Non-Canadians Regulations (SOR/2022-250)
- CMHC — Prohibition on the Purchase of Residential Property by Non-Canadians Act
- Government of Ontario — Non-Resident Speculation Tax
Published 15 September 2026. Last reviewed against the sources above on 15 September 2026. We are REALTORS®, not legal or tax advisors. Legislation and guidance change, and a scheduled repeal is not a completed one. Confirm the rules in force for your transaction before signing.
Planning a Move?
Let’s Look at the Real Numbers
The Mother Daughter Team helps buyers and sellers in Burlington, Hamilton, Waterdown, Oakville and surrounding communities plan their next move. We can help assess property options and local market conditions while your lawyer and accountant confirm the legal and tax requirements.
Laura Brown & Kristina Kritikos · Royal LePage Burloak Real Estate Services · 905-634-7755