The government of Prime Minister Justin Trudeau has announced that it will ban foreign investors from buying housing in Canada for two years in an attempt to calm the housing market.
Finance Minister Christia Freeland has taken a number of measures to curb speculation and demand amid record housing prices when announcing the federal budget for the year.
The government has announced a two-year ban on buying a home from foreigners, as well as higher taxes on people who sell their homes within a year, although both measures include a number of exceptions, including for permanent residents and international students.
The budget also includes billions for new housing and measures to help Canadians trying to enter the market, including a new savings account and changes in the tax credit for first-time buyers.
The government is under pressure to cool the overheated market after prices rose by more than 20% last year, while rental rates are also rising.
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