The federal prohibition on foreign nationals buying Canadian homes expires January 1, 2027. But the ban ending does not mean the financial barriers disappear — BC's 20% Additional Property Transfer Tax and the Speculation and Vacancy Tax both stay in place.
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Canada’s foreign buyer ban expires January 1, 2027. That is a meaningful policy change, and you will see plenty of headlines about it between now and then. But the headlines will probably miss the most important detail: the ban ending does not remove the main financial barriers to foreign nationals buying in Vancouver.
Here is a precise breakdown of what changes, what stays, and what it means for buyers and sellers in this market.
What the Federal Ban Was
The Prohibition on the Purchase of Residential Property by Non-Canadians Act came into force on January 1, 2023. It made it illegal for most foreign nationals to purchase residential property in Canadian census metropolitan areas — which includes Greater Vancouver. Violations could result in fines up to $10,000 and a court order to sell the property.
The federal government extended the ban by two years in early 2024, pushing the expiry to January 1, 2027. As of July 2026, no further extension has been announced.
The ban covered residential properties with up to three units — detached houses, condominiums, semi-detached homes. Vacant land was exempt. Properties outside census metropolitan areas were also exempt.
What “Expiry” Actually Means
When the ban expires, foreign nationals are no longer legally prohibited from buying residential property in Canada. The purchase itself becomes legal again under federal law.
What expiry does not mean: it does not change any provincial tax. It does not cancel any municipal tax. It does not lower the financial cost of purchasing as a foreign national in BC.
The legal gate closes. The financial barriers stay.
BC Taxes That Remain After January 2027
These three taxes apply to foreign national buyers in Vancouver independently of the federal ban. None of them are tied to the federal law, and none will change when it expires.
1. Additional Property Transfer Tax (20%)
BC’s Additional Property Transfer Tax (APTT) applies to foreign nationals, foreign-controlled corporations, and taxable trustees purchasing residential property in specified areas. Metro Vancouver is one of those areas. The tax rate is 20% of the property’s fair market value, paid at the time of purchase.
This is a one-time tax calculated on the full purchase price. For a $1,500,000 property, the APTT alone is $300,000 — on top of the standard Property Transfer Tax. You can see how the numbers add up using the property-transfer-tax calculator.
The APTT has a limited exemption for BC Provincial Nominees who are using the property as their principal residence. Otherwise, it applies in full. As of July 2026, there is no indication the provincial government plans to change this rate.
2. Speculation and Vacancy Tax (3% annually)
BC’s Speculation and Vacancy Tax (SVT) applies in 59 specified communities, including Metro Vancouver. For the 2026 tax year, the rate for foreign owners and satellite families is 3% of assessed value per year. That rate rises to 4% for the 2027 tax year.
On a property assessed at $1,200,000, the 2026 SVT for a foreign owner is $36,000 per year. If the property is rented out long-term to a qualifying tenant, the owner may qualify for an exemption. But a foreign buyer who leaves the unit empty or uses it as a vacation property pays the tax in full, every year.
3. City of Vancouver Empty Home Tax
The City of Vancouver levies its own Empty Home Tax (EHT) separately from the provincial SVT. Properties that are not used as a principal residence or rented for at least six months per year are subject to this municipal tax. As of 2025, the EHT rate was 3% of assessed value for most properties. This applies within City of Vancouver boundaries — not the broader Metro Vancouver area.
A foreign national buying a condo in Vancouver’s West End, Coal Harbour, or Yaletown who does not occupy or rent the unit would be subject to both the SVT and the EHT.
Who Is Actually Affected by the Ban Expiring?
Not every foreign buyer was prohibited under the federal ban. Several groups were already exempt before January 2027.
Already exempt:
- Work permit holders with at least 183 days remaining on their permit at the time of purchase — this exemption was added in early 2023 updates to the regulations
- International students at designated learning institutions who meet physical presence requirements (with a maximum purchase price of $500,000)
- Refugees and protected persons
- Foreign nationals with a Canadian citizen or permanent resident spouse, if purchasing jointly
Still prohibited until January 1, 2027:
- Foreign nationals with no Canadian immigration status (tourist visa, no status, or business visa only)
- Foreign-controlled corporations
- Taxable trustees in certain structures
For the first group — work permit holders, international students — the ban expiry changes nothing. They were already able to buy (subject to all the taxes above). For the second group, January 2027 removes the legal block. But the APTT, SVT, and EHT remain.
What This Might Mean for Vancouver Prices
Foreign buyer demand was never as large a share of the Vancouver market as public perception suggested. Pre-ban estimates placed foreign buyers at roughly 2–5% of total transactions in most years, with concentration in high-end detached homes and luxury condos above $2 million.
The more realistic price effect, if any, would be felt in those higher price segments — West Side detached, Coal Harbour and Yaletown luxury condos — where foreign buyers historically concentrated. But the 20% APTT is a far larger barrier than the federal ban itself was. A buyer willing to pay $300,000 in tax on a $1.5M purchase is a different profile from the typical foreign buyer who was deterred by the ban.
There is also a broader market context to keep in mind. As of mid-2026, Vancouver is in a buyer’s market with inventory at multi-year highs and benchmark prices down roughly 6% year-over-year. A modest increase in foreign buyer activity at the top end of the market would not significantly move overall prices for average buyers.
If you are a local buyer worried that the ban expiry will push prices sharply higher — the data and tax structure do not support that concern.
What to Do If You Are an International Buyer
If you are a foreign national who has been waiting for the ban to expire, here is a practical path forward.
First, confirm your status. Are you on a work permit, studying here, or a non-resident with no Canadian status? Your current immigration status determines which rules apply now versus after January 2027.
Second, get a full cost picture before making any offer. Budget the 20% APTT on the full purchase price, the standard PTT, legal fees, and the ongoing SVT obligation. Our international buyers guide covers the full tax and process breakdown for non-resident buyers.
Third, work with a BC real estate lawyer who handles non-resident transactions. The rules around APTT exemptions, withholding tax (for sellers), and trust structures are specific to BC law. This is not an area to navigate without specialist legal advice. Consult a qualified BC real estate lawyer for your specific situation before proceeding.
Finally, watch the policy timeline. The ban expires January 1, 2027. Between now and then, federal policy could change — another extension is possible, though no extension has been announced as of July 2026. Do not assume the current timeline is final until it is.
Frequently Asked Questions
Does the foreign buyer ban expiring mean I can buy in Vancouver with no restrictions?
No. The ban expiry removes the federal legal prohibition — you can buy without risking a fine or forced sale. But BC’s 20% Additional Property Transfer Tax, the Speculation and Vacancy Tax, and the City of Vancouver Empty Home Tax all continue to apply. The financial cost of buying as a foreign national in Metro Vancouver does not change when the federal ban expires.
I am on a work permit in Canada. Does this change anything for me?
Probably not. Work permit holders with at least 183 days remaining on their permit were already exempt from the federal ban under 2023 regulation updates. You have been able to buy since then, subject to the same BC taxes. The January 2027 expiry does not change your situation.
What is the actual dollar cost of the 20% APTT in Metro Vancouver?
The APTT is calculated on the full fair market value of the property at the time of purchase. On a $800,000 condo: $160,000 in APTT. On a $1,500,000 property: $300,000. On a $2,000,000 detached home: $400,000. This is paid at closing on top of the standard Property Transfer Tax. Use the PTT calculator to run your specific numbers.
Could the federal government extend the ban again before January 2027?
Yes, it is possible. The government extended the original two-year ban by another two years in early 2024. As of July 2026, no extension has been announced — but no permanent repeal has been announced either. If you are making purchase plans based on the January 2027 expiry, confirm the current legislative status closer to that date. A licensed BC real estate lawyer can help you track the relevant policy changes.
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