For many newcomers to Canada, achieving Permanent Residency (PR) is an exciting milestone that opens doors to new opportunities—including homeownership. If you’re currently renting and waiting for your PR before buying a home, you’re not alone. Many prospective buyers delay their purchase to avoid additional taxes and ensure a smoother transaction. But while you wait, there are key steps you can take to prepare, so when the time comes, you’re ready to make a confident move. Our team has walked many families, just like yours, through the home buying process. Here’s what you need to know.

Understanding the Additional Taxes Non-Residents Face

One of the biggest reasons non-residents hold off on buying a home in Canada is the Non-Resident Speculation Tax (NRST). In Ontario, non-citizens and non-permanent residents are subject to a 25% tax on residential property purchases in Ontario. This tax is in addition to the standard land transfer tax and can significantly impact affordability.

The Ontario government introduced the NRST to help keep home prices affordable for local buyers by discouraging foreign investors from driving up prices. While the goal is to make it easier for Ontario residents to buy homes, this tax adds a big extra cost for non-residents, making it harder for them to purchase property in the province.

Waiting until you receive your PR status can mean substantial savings, allowing you to put more money toward your home rather than additional taxes. However, that doesn’t mean you should wait to start planning your purchase.

What You Can Do While You Wait for PR

Just because you’re not buying yet doesn’t mean you should put your homeownership journey on hold. Here are some proactive steps to take while waiting for your PR:

1. Rent in the Area You Like

If you have a particular city, town, or neighbourhood in mind, consider renting there first. This gives you a chance to experience the community firsthand—understanding the commute, amenities, schools, and overall lifestyle before committing to a purchase. Renting in your target area also allows you to keep an eye on the local real estate market and get a feel for pricing trends. The David Bradica Team has extensive experience helping newcomers find rental properties in areas with great school districts, family-friendly amenities, and convenient access to public transit. This ensures that while you wait for PR, you’re in a location that supports your family’s needs.

2. Sign Up for Sold Searches with Us

One of the best ways to prepare for homeownership while waiting for your PR status, is by understanding what homes are selling for in your preferred neighbourhoods. By signing up for sold searches, you’ll receive updates on recent sales, helping you get familiar with market conditions and set realistic expectations for your budget when the time comes to buy.

3. Explore Different Neighbourhoods & School Districts

Even if you have a dream neighbourhood in mind, it’s worth exploring other areas that may offer more value or better suit your lifestyle. If you have children (or plan to in the future), researching school districts is also a crucial factor. Many families prioritize access to top-rated schools when choosing where to buy. Taking time now to visit different neighbourhoods and schools while waiting for your PR status will help you make a more informed decision later.

4. Strengthen Your Financial Position

While waiting for PR, take steps to ensure you’re in the best financial position for homeownership:

• Save for a larger down payment – A larger down payment can reduce your mortgage costs and make you a stronger buyer.
• Improve your credit score – A higher credit score can help you secure better mortgage rates and terms.
• Research mortgage options – Some lenders offer mortgage programs for non-residents or those with work permits, but having PR status often expands your financing options.

5. Get A Thorough Understanding Of How The Home Buying Process Works In Canada

Sometimes it’s not about what you do know, it’s what you don’t know that matters. Our team will sit down with you and go over the home buying process in Canada and walk you through every step to a successful purchase. Even if you’re not ready to buy today, working with a real estate team like ours can give you a strategic advantage. We have worked with many newcomers to Canada and have extensive knowledge and experience helping families settle into their ideal neighbourhoods once PR is received. We understand the unique challenges you may face, from navigating financing options to understanding school catchments and local amenities.

Our team can:

• Keep you informed about market trends
• Help you identify the best areas for your lifestyle and budget
• Guide you through the homebuying process so you’re prepared when the time is right
• Connect you with mortgage specialists who understand your unique situation
• Provide insights into neighbourhoods that align with your family’s long-term goals

Hit the Ground Running Once You Receive PR

Once your PR is approved, you’ll want to move quickly to take advantage of your new eligibility and avoid missing out on opportunities in the market. Because you’ve already done your research and preparation, you’ll be in an ideal position to make an informed and confident purchase.

By working with us early in your journey, we’ll ensure you’re ahead of the game when the time comes. From arranging viewings to submitting offers, we’ll help you transition smoothly from renting to homeownership. Our expertise in helping newcomers means we can guide you every step of the way, making your move as seamless as possible.

Final Thoughts

Waiting for your PR before buying a home in Canada makes financial sense, but that doesn’t mean you should wait to start planning. By taking proactive steps now, you’ll be ready to act as soon as your PR status is finalized.

The David Bradica Team is here to support you every step of the way. Sign up for our sold searches, connect with us to discuss your goals, and let’s start planning your path to homeownership!