The Conservative Party of Canada is not wasting any time in kicking
off the election campaign on the right note. It recently shared that it wants
to make real estate in the country more affordable. It has even devised a
three-pronged approach that will help in achieving this goal.
One of the
key reasons why the prices of real estate are high in the country is that there
is a dearth of available supply. To tackle this problem, The Conservatives plan
to build a million homes in the next three years if they are elected to power.
The
Conservative party also stated that it would make it happen by making the most
of federal infrastructure investments and release over 15 percent of the real
estate portfolio for housing. It also plans to improve the federal lands
initiative, convert unused office space into housing, defer capital gains tax
when selling a rental property, work with Indigenous communities to ensure
their housing needs are met, reinvesting in rental housing, and creating
incentives for private landowners and corporations to donate the property to
land trusts, which will assist in the development of more affordable housing.
Reduction
of Money Laundering and Foreign Investments
To help
reduce the real estate prices, the Conservative party will change the Proceeds
of Crime and Terrorist Financing Act. It also plans to set up Federal
Beneficial Ownership Registry to help contain money laundering.
The
Conservatives said, "To arrest and reverse the inflationary impacts of
foreign buyers and speculation in the housing market, we will ensure that
housing in Canada is truly for Canadian citizens and residents first. The
Liberals are on record stating, 'we're a very safe market for foreign
investment, but we're not a great market for Canadians looking for choices
around housing.' This must change."
Investors
living in Canada or planning to move here would be banned from buying homes for
two years. Instead, foreign investors will be encouraged to invest in affordable
and purpose-built rental housing.
Changes
to Mortgages
The
Conservative Party will make mortgages more affordable by introducing changes
like allowing 7-10 years mortgages for first-time buyers, reducing mortgage
stress tests (and eliminating them on renewal), and lessening down payments in
high-priced markets like BC and Ontario.
In contrast
with the plans of the Liberal Party, the Conservative party says that
it won't change the taxation regarding the sale of a primary residence. It
stated, "Canada's Conservatives will never tax Canadians' capital gains on
the sale of their principal residence, something many within the Liberal Party
are threatening to do."
What do you
think of The Conservative Party's ideas? Are they just ideas that won’t be
implemented if the party gains power in the upcoming September elections or will the
party stick to its promises? Share in the comments!
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