No measures for homebuyers that could impact house prices in Toronto: Morneau

"The skyrocketing cost of renting or buying in Ontario and the Greater Golden Horseshoe in particular is the unwanted outcome of a strong economy with a promising future", said Wynne at a press conference that also blamed speculators for rising housing prices and landlords for gouging renters. The new tax would be effective as of April 21, 2017.

The B.C. government implemented a 15-per-cent tax on property purchases in Metro Vancouver by buyers who aren't citizens or permanent residents. That kind of tax would discourage speculation and make it more expensive to "flip" homes, he said. "With this tax, we're targeting people who aren't looking for a place to raise a family, they're looking only for a quick profit or a safe place to park their money".

Housing experts believe it could also free up more rental homes, say politicians and housing experts.

Sales in Vancouver cooled a year ago in the wake of a tax on foreign buyers.

A key plank in that would be the 15 per cent surcharge on offshore speculators, who are estimated to make up just 5 per cent of the current market.

Excluding Greater Vancouver and Greater Toronto, the average price was $389,726. "In some ways, we have to realise this is a good problem to have ..." At the same time, we recognize the need to protect the significant investment homeowners have made.

Tal took issue with the province's plans to expand rent control, which now applies only to units built before November 1991, to all private rental units.

BMO had concerns about rent control, noting that the change could slow the construction of rental units.

Tenants groups welcomed the move.

That's the new limit on how much rent the average Toronto unit can rise per year.

Sousa discussed vacancy rates that are constraining supply at a meeting this week with the federal finance minister and Toronto Mayor John Tory, who has been talking about a vacant homes tax.

The new plan extends rent control to all private rental units in the province.

Home sales in the country hit a record high last month, the Canadian Real Estate Association said Tuesday.

Neither of Ontario's opposition parties objected to any of the government's proposed measures.

"History has shown us that rent control leads to slums". Progressive Conservative Housing Critic Ernie Hardeman said the measures are moving "in the right direction".

The Ontario government is unveiling a suite of calming measures to address soaring housing prices in the red hot Greater Toronto Area market on Thursday. The change will mean annual rent increases for all tenants who stay in their rental housing will be limited to Ontario's inflation-based guideline (which this year is set at 1.5%), unless the landlord gets approval from the Landlord and Tenant Board.

- Government to amend the Residential Tenancies Act to clarify text of leases and compensate evicted tenants.

This multi-faceted plan consisting of new policies to address Ontario's rising housing costs to provide affordable housing to people of Ontario would also help create jobs for people and help them in their everyday lives.

As part of the measures, the city of Toronto will have the power to impose a tax on vacant homes - something the mayor of the city lobbied for previously.

To mitigate the potential negative impacts that closing the so-called 1991 loophole could have on new rental construction, Ontario's Fair Housing Plan will also introduce a targeted $125-million, five-year program, offering a rebate on a portion of development charges for rental apartment buildings.

- The creation of a new Housing Supply Team with dedicated provincial employees to identify barriers to specific housing development projects and work with developers and municipalities to find solutions.

- An effort to understand and tackle practices that may be contributing to tax avoidance and excessive speculation in the housing market.

Reviewing the rules real estate agents are required to follow to ensure that consumers are fairly represented in real estate transactions.

  • Zachary Reyes