What penalties apply if a non-Canadian buyer violates the federal foreign buyer ban in Ontario?

Violating the federal ban carries real consequences beyond simply having to unwind a purchase informally. The Act allows for meaningful financial penalties against a non-Canadian who buys residential property in violation of it, and this exposure can extend to anyone who knowingly assists in structuring or completing a prohibited purchase, not just the buyer alone. Separately, and perhaps more significantly for someone who has already closed, a court can order the property sold, which is a considerably more disruptive outcome than a fine.

Because specific penalty amounts and the exact mechanics of a forced sale are the kind of detail that should be confirmed directly against the current federal rules rather than assumed, this is not an area to estimate casually, especially given how much is at stake if a purchase turns out to be prohibited.

If there is any genuine uncertainty about whether a purchase is permitted, resolve that question before closing rather than after, since the available remedies for a completed, prohibited purchase are far more disruptive than simply not proceeding.