Foreign Buyer Ban = Fewer Homes? Housing Crisis Explained

Andy Schildhorn • August 25, 2025

The government says the foreign buyer ban will fix Canada’s housing crisis. Here’s the reality: it may be making things worse — killing presales, stalling construction, and shrinking the very supply of homes we desperately need.

 

In this video, I explore the unforeseen consequences of the government’s Foreign Buyer Ban and explain how this policy, while well-intentioned, could be a major factor in our deepening housing crisis. We’ll look at real data from Metro Vancouver to see why banning foreign investment is actually reducing the number of homes being built for Canadian families.

 

Video Chapters

0:00 - The Problem — Foreign Buyer Ban & Housing Crisis

0:52 - Federal & BC Regulations — A System of Toll Booths

1:48 - Tariff vs. Slammed Gate — A Key Difference

2:21 - The Tax's Impact on Prices & Supply

2:47 - The Real Issue — Why Supply Matters

4:15 - Current Market Reality — Presales Down 40%

4:49 - The Root of the Crisis — Supply, Not Demand

5:54 - A Balanced Solution — The Toll Booth Model

6:19 - How to Connect with Andy

 

Key Takeaways
  • Pre-sales Don’t Attract Local Families: New condo presales are primarily for investors willing to wait years, not families who need housing now.
  • Capital is Seed Money: Foreign investment often acts as the "seed money" developers need to secure financing and break ground.
  • Banning Capital Reduces Supply: By cutting off this capital, the ban is leading directly to fewer presales, stalled projects, and shrinking supply.
  • The Real Problem is Supply: While the ban targets demand, the true crisis is that we aren’t building enough homes to keep up with growth.

 

Ready to create a winning strategy for your real estate goals in this challenging market? Whether you're buying, selling, or investing in Langley or the Fraser Valley, book a free, no-obligation consultation with me:

 

Book a call:

https://rly.forsale/Chat-with-Andy

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