Short answer
Yes. The federal prohibition on purchases of residential property by non-Canadians was extended and is scheduled to remain in force until January 1, 2027, subject to the Act, regulations and exceptions.
Why this question matters
A newcomer, temporary resident, corporation or family member assumes that available down payment and mortgage approval automatically mean they are legally permitted to buy.
What the official rule or guidance says
Finance Canada announced the two-year extension on February 4, 2024. Eligibility and exceptions depend on citizenship or status, the purchaser, the property and the legislation—not simply where the funds come from.
What this does not mean
A mortgage pre-approval is not legal confirmation that the purchase is permitted. The federal rule is separate from Ontario non-resident speculation tax, lender residency policies and tax advice.
A practical Ontario example
Illustration only: A temporary resident meets a lender’s income and credit requirements but is uncertain whether an exception applies. Removing the financing condition does not protect the buyer if the legal purchase restriction was never checked.
Practical next steps
Have an Ontario real-estate lawyer confirm eligibility before signing an agreement or assignment. Then coordinate immigration-status documents, down payment, tax exposure and lender policy with the broker. Do not rely on an agent’s or online summary as legal advice.
Questions to ask before relying on the answer
- Is this an insurer, tax, legal, regulator or individual lender rule?
- Does it apply to an insured, insurable or uninsurable mortgage?
- How will the lender document and calculate the rent on this exact property?
- Which facts are confirmed, and which are still assumptions?
- What is the lowest-cost workable path through A, alternative/B, MIC or private lending?
Rajiv’s broker perspective
Rental files should be tested, not guessed. I would separate the legal and tax questions from the mortgage calculation, prepare one clean property schedule and then compare suitable lender policies. A strong result is not simply the largest approval—it is a mortgage the client can carry through vacancy, repairs, renewal and a realistic exit.
Related: Mortgage Knowledge Centre · Real Estate Centre · Updates & Rules Centre
Want the rental file tested before you make a decision?
Bring the property numbers, current mortgages and income documents. Rajiv can compare the practical A, alternative/B, MIC and private paths and identify which questions need an accountant or lawyer.