The Canadian government’s decision to axe a 28-year-old visa scheme for immigrants will have a substantial impact on the housing markets in Canada, especially in Vancouver and Toronto, experts say.
Canada scrapped its Immigrant Investor Program earlier this month. The scheme was particularly popular with wealthy real estate investors from mainland China. Under the program, foreign investors with a minimum net worth of C$1.6 million (US$1.44 million) were granted Canadian residency in return for making an interest-free loan of C$800,000 (US$726,720) to the government for five years. The government returned the principal amount in instalments over five years.