What Is Ontario's Enhanced HST Rebate?
Announced March 25, 2026 and effective for agreements signed after March 31, 2026 and before April 1, 2027, Ontario's enhanced New Housing Rebate temporarily eliminates the HST on qualifying newly built homes. The province rebates its full 8% portion, and the federal government has partnered with Ontario to rebate the 5% federal portion as well — the entire 13% HST on homes valued up to $1 million.
This is one of the most significant new-home incentives in Ontario history, and it applies directly to pre-construction townhomes, detached homes, and condos purchased from a builder.
Who Qualifies
- All buyers — first-time, move-up, and downsizing buyers using the home as a primary residence (yours or a relation's)
- Investors — through the enhanced New Residential Rental Property Rebate, when renting long-term (1+ year leases)
- Assignment buyers — if both the original agreement and the assignment are signed within the April 2026 – March 2027 window
- Most home types — detached, semi-detached, townhomes, rowhouses, duplexes, and condo units bought new from a builder
Key Dates
- Agreement of Purchase & Sale signed April 1, 2026 – March 31, 2027
- Construction begins before January 1, 2029
- Substantially completed before January 1, 2032
Important: Federal regulations and updated CRA rebate forms are still being finalized. Until then, builders generally cannot credit the enhanced rebate at closing — you may need to pay HST at closing and claim the rebate from the CRA afterward. This page is general information, not tax or legal advice; confirm your eligibility with a tax professional and review your specific agreement.
Which of Our Projects Qualify?
Every project we currently represent has offerings in the full-rebate zone (under $1M) or the maximum-rebate zone (under $1.5M), and all are within the qualifying construction window:
On a $900,000 townhome, the rebate is worth roughly $117,000. On a $524,990 stacked town, about $68,000. This is real money — and the signing window is limited.
Frequently Asked Questions
Do I have to be a first-time buyer?
No. Ontario's enhanced rebate is open to all eligible buyers — including investors buying qualified long-term rentals. This is broader than the federal first-time buyer GST rebate.
Do pre-construction condos and towns qualify?
Yes — new homes purchased from a builder, including townhomes, rowhouses, and residential condo units, are eligible home types.
What if my home is over $1 million?
You can still receive the maximum $130,000 rebate on homes up to $1.5M. Between $1.5M and $1.85M the rebate phases down to $24,000.
Can investors claim it on rental properties?
Yes, through the enhanced New Residential Rental Property Rebate — the unit must be rented for long-term residential use (at least one year), and the rebate is claimed from the CRA.
Do assignment purchases qualify?
Yes, if both the original Agreement of Purchase and Sale and the assignment agreement are entered into after March 31, 2026 and before April 1, 2027.
When do I actually get the money?
Until federal regulations and CRA forms are finalized, most builders can't credit the rebate at closing — you'd pay the HST at closing and claim it back from the CRA. Ask us how each builder is handling it.
