Province introduces measures to cool hot housing market and control rents

The Ontario government will impose a 15% tax on non-resident housing buyers in the Golden Horseshoe, and allow municipalities to impose a vacant-home tax, in an effort to cool the surging housing market in Toronto.

Last month, the average price of a detached home in Toronto reached $1.21-million.

The "Fair Housing Plan" will also extend rent controls to all rental units in the province.

Current controls only apply to units built before November of 1991.

The plan also sets aside $125-million over five years to encourage the construction of new purpose-built rental apartment buildings by rebating a portion of development charges.

The province will also work with municipalities to identify provincially-owned surplus lands that could be used for affordable and rental housing development.