Trudeau’s plan to halt foreign buying of Canadian homes may backfire as cash-ready overseas investors game the market

Justin Trudeau’s re-election pledge to stop foreign property speculators from pushing up Canada’s home prices will only be temporary, and will have limited impact in improving affordability, analysts said.

The measure, part of Trudeau’s campaign platform for a third term as prime minister in Canada’s federal election scheduled for September 20, is likely to spur overseas buyers with ready cash to jump ahead of the ban, while local Canadians are also likely to sit on the sidelines instead of rushing into the market, analysts said.