Sask. realty organization says ban on foreign buyers lacks clarity

A real estate agent puts up a "sold" sign in front of a house in Toronto Tuesday, April 20, 2010. (The Canadian Press/Darren Calabrese)

The Saskatchewan Realtors Association (SRA) says an incoming federal ban on the sale of residential properties to foreign buyers is putting salespeople at the risk of hefty fines.

Under the new law, anyone who facilitates the sale of a residential property to a non-Canadian after Jan. 1 could face fines of up to $10,000.

Without clearer guidelines for realtors, SRA public affairs director Cole Zawislak, says too much is being left to interpretation.

“Our issue is we’re now two weeks out from the legislation and we haven’t seen any regulations,” he said.

The ban has a time limit of two years. It doesn’t apply to permanent residents, refugees, or the spouses of Canadian citizens or permanent residents. 

It also provides an exemption under “prescribed circumstances,” although what those are has yet to be described.

“We’re not supportive of the policy, but if it is going to come, I’d like to see more details,” said Zawislak.

He says the legislation was proposed to help cool overheated markets in Canada’s largest cities and could be a real barrier for Saskatchewan, where the economy relies on immigration growth.

“I don’t know how we can call ourselves a welcoming place for foreign residents when they come over here and they can’t even purchase a home.”

Zawislak says the lack of details around the ban makes the law seem more like a political statement than public policy.