Finance minister can’t say how much foreign buyer tax will affect housing market
TORONTO — Ontario’s finance minister can’t say how much a tax on foreign homebuyers — the centrepiece of the Liberal government’s new package of housing measures — will affect the red-hot Greater Toronto Area market.
Economists and real estate experts have raised questions about the effectiveness of the new 15-per-cent levy, pointing to the government self-admitted lack of housing data.
When asked on Friday whether the government had any evidence to suggest foreign speculators were driving up house prices in the region, Finance Minister Charles Sousa cited a survey by the Toronto Real Estate Board that suggested foreigners were involved in about five per cent of property purchases.
Realtors have also offered anecdotal evidence about foreigners placing bids via phone calls, he said.