No ones going to do that. 20% drop in a few months would decimate the market and no one has the political chops to push that through.Another post that I dont know if it belongs in election or housing thread. If a political party believed that a home price correction was the right way forward, they could implement principal residence capital gain tax effective in something like four or six months. That gives people time to get out and lock in money before it gets taxed. The rush of people trying to get out and dodge a ~25% tax could drop prices 15 to 20% quickly.
Not sure about you but I sure as hell wouldn’t want my house dropping 20% for ‘reasons’. Even if I don’t plan on selling anytime soon.
My better solution is fund the creation of the CRA Capital Gains Fraud division go back the last 10 years and anyone found moving houses every 13 months (or whatever) to evade capital gains tax gets to pay back taxes.
Crack down on flippers using capital gain tax exemption rules to make millions without paying tax.