Foreign buyers bought less than 900 properties
Data flowing in from the Ontario government shows that foreigners bought 5 per cent of homes sold in the Greater Golden Horseshoe region since a 15 per cent foreign-tax was announced in April.
In all, 857 residential and agricultural real estate purchases were made by foreigners in the horseshoe region that arcs from the Niagara Region to Peterborough between April 24 and May 26, according to the report.
Non-Canadian buyers were responsible for 9 per cent of total transactions in York Region and 7 per cent in Toronto, with lower numbers in surrounding areas.
Under the non-resident speculation tax, the government began collecting information from real estate buyers concerning their citizenship and residency.
The 15 per cent tax applies to purchases by people who aren’t citizens or permanent residents, and by foreign corporations.
The tax is part of a housing plan the government introduced in an effort to cool down the market in the Greater Toronto Area - a plan that is apparently working only too well. In the first two weeks of June, as an example, housing sales were down 56.2 per cent from the same time a year earlier, according to the Toronto Real Estate Board, and the average price has dropped $57,000 from a month earlier, to $808,847.