Real Estate Developers are upset about the foreign buyer tax, arguing that the only real way to make homes more affordable is to increase supply.
Also it would be great if we could increase real estate affordability without lowering the price of anyones real estate.
A month before the tax was announced, Anne McMullin, president and CEO of UDI, e-mailed the Premier warning that any taxes aimed at curbing demand would not make Metro Vancouver more affordable without the stimulation of more supply. And, she added, increasing taxes might severely undermine the value of people’s homes “perhaps even destabilizing our industry, which represents 25 per cent of British Columbia’s economy,” she wrote.
Some experts point out that the foreign buyer market was already showing signs of ‘fatigue’ so the tax was completely unnecessary.
Experts cannot say whether this downturn in foreign owners will remain a long-term trend, but immediately after the Premier announced the tax on the morning of July 25, industry insiders were warning it could badly hurt one of the province’s most important economic drivers.
Read the full article in the Globe and Mail.