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canadian estate agents worried about calls for protectionism

News Posted On: 01 February 2012

Estate agents in Canada are worried that calls for measures to protect local sales markets from international investors could hurt international sales in markets such as Vancouver.

There have been some suggestions that Canada should impose similar restrictions to those implemented in Australia. However those opposed to this plan point out there is no firm data showing the true number of overseas buyers as many purchase through Canadian companies especially set up for this purpose.

The recently inaugurated mayor of Vancouver has already said he will set up a task force looking at housing costs which have spiralled out of control.

Gregor Robertson has announced the task force, which will include developers, architects, building owners and financiers, will look at housing affordability with the hope of discovering ways of increasing the supply of affordable homes both in the short and long-term. He has pointed out that young people in the city have enormous difficulty finding affordable accommodation.

In spite of these words many believe little will be done to stem the flow of international money towards Canada, and Chinese buyers will continue to purchase homes in Vancouver.

Local residents in Vancouver are not particularly happy about this situation as many of the homes remain vacant while young Canadian families are unable to afford such high prices. It's estimated that Chinese buyers account for 20% of all sales in the city, and a similar effect can also be seen in Toronto and Montréal, although more sales in the cities are due to European investors.

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