1. Changing the law of buying a home for skilled Canadian immigrants

The Canadian Mortgage and Housing Corporation (CMCH) announced that the Act Prohibiting the Purchase of Residential Property by people in other Countries has been amended since March 27th, 2023. Accordingly, foreign residents coming to Canada to work with a legal work permit with a validity of more than 183 days (approximately 6 months), can now purchase mixed-use residential and commercial land if they meet the criteria. certain will. 

However, new skilled immigrants may not purchase more than one residential property in Canada. The Act defines residential property as single-family homes or similar buildings, townhouses, townhouses, residential condominium units, and other similar facilities.

In addition, there was an amendment to the provision applicable to bare land. Vacant land planned for residential and mixed use can now be purchased by non-Canadians and used by the buyer for any purpose, including residential development .

In addition, the current regulations on tax records and previous work experience in Canada are being repealed.

To be able to purchase residential land, skilled Canadian immigrants with a work permit must:

• Have worked in Canada for a minimum of 3 years within the 4 years preceding the time of purchase, if the work is full-time employment as defined in subsection 73(1) of the Refugee Protection Regulations and immigration, (IRPA).

• Have filed all required income tax returns under the Income Tax Act for at least three of the four tax years prior to the year the purchase was made.

• Have not purchased more than one residential property.

The amendment to this act is intended to ensure that housing is used as a place to live for people living in Canada, rather than as speculative investments by foreign investors.

2. Provide a savings account to buy the first house

The Government of Canada's 2023 Budget has announced the official launch of the New Tax Free First Home Savings Account (FHSA). This was originally proposed in the federal government's 2022 budget, and as of April 1, 2023, financial institutions can begin making this plan available to Canadians.

With this plan, skilled first-time homebuyers can save up to $40,000 on a tax-free basis. The maximum annual contribution to the account is $8,000 per year. Contributions to the plan will be tax deductible, and withdrawals to buy a first home will not be taxed, similar to a Tax Free Savings Account.

A first home savings account is part of the Canadian government's plan to make homes more affordable, as it helps Canadian immigrants use savings to pay for a home upfront. their first. The government is estimating that the FHSA will provide $725 million in assistance over the next five years.

To be eligible to open an FHSA, a participant must:

• A Canadian resident

• 18 and older

• First time home buyer

The account may be open for 15 years or until the end of the year when the participant turns 71 or at the end of the year following the year in which a qualifying withdrawal is made from the FHSA for the first home purchase, depending on eligibility. Which comes first.

3. Price of house in Canada

Price of house in some areas tend to increase and there are also some areas that slow down, even turn down. Up to now, the states with high house prices that skilled Canadian immigrants need to consider when choosing a place to live:

• Alberta

• Québec

• British Columbia (BC)

• Ontario

House prices in these states are hovering around 403,000 CAD - 942,000 CAD, equivalent to about 7 billion - 16 billion Vietnam dong

The states with low house prices range from $282,000 to CAD 403,000 (from 4 billion to less than 7 billion Vietnam dong):

• Saskatchewan

• Manitoba

• Newfoundland and Labrador

If you plan to become a skilled Canadian immigrant, look into the housing market to find a new place to live that fits your family's financial situation. And you can contact iCanfield for advice and support in the procedures of buying or renting a house when settling down.