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Veteran estimates foreign investment as much as 70%, argues for regulation

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Justin da Rosa | 29 Mar 2017, 08:15 AM Agree 0
One Toronto brokerage owner is calling for foreign buyer regulation, despite some blowback from his own brokers
  • Aldo8226 | 29 Mar 2017, 11:35 AM Agree 0
    I agree with the 70% estimate. Most of the foreign buyers buy through relatives already resident in Canada.
  • Kris Kooblall | 29 Mar 2017, 11:35 AM Agree 0
    This knowledge is already firmly in the marketplace with levels of government taking a seemingly hands off approach and watching on as if this crisis will solve itself and in time go away. it is much more pronounced than one year ago when clarion calls for immediate action was sounded from the mountaintops.

    We are in a full blown crisis.

    Carl Langschmidt, president of Condos.ca, recently penned a blog entitled Foreign Investor Tax and Regulation Please! – a polite, yet assertive call to action.

    In the piece, Langschmidt argues foreign ownership stats are much higher than the CMHC’s estimate of 2.3% of sales in Toronto. He went so far as to call that figure “laughable.”

    “Our talks with sales reps in the trenches indicate it is much higher; some reported as high as 70% foreign ownership at developments like CityPlace,” Langschmidt wrote.

    We just have to mirror the levels of governments approach and watch to see their response.
  • mk | 29 Mar 2017, 11:58 AM Agree 0
    when offshore buyers purchase a block of condos, they later flip the paper, do not pay land transfer tax, do not pay income tax
    and siphon money out of the country. the next buyer pays a premium because of this first off the line group of buyers
    and end users, hopefully those who live and work here pay a high price. gvts at all levels choose to ignore these issues and
    developers are only too happy to facilitate these buys as they can then go to the bank and get financing with a sold out bldg.
    Very bad for our younger generation who want to get started in life
  • Kyle | 31 Mar 2017, 10:15 AM Agree 0
    Hear Hear!! Mr. Langschmidt is the only sane voice I have heard so far! Anyone who deals in real estate in Tororoto knows full well that the 2.3% figure from CMHC, which most of the spineless politicians and greedy real estate associations like to quote on, is not only laughable but simply fictional!!!

    Those who like to argue that the foreign ownership tax will not work simply have to look at what is happening in Vancouver right now. In a span of few months after the introduction of the foreigner tax, Vancouver has become more affordable than in Toronto!
  • Joe | 02 Apr 2017, 07:53 PM Agree 0
    The problem is speculation and "assignments
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