Ontario is expected to table changes that would remove the full HST on newly built homes in the upcoming budget — and notably, this wouldn’t be limited to first-time home buyers.
At a $1M purchase price, that’s up to $130,000 in potential savings.
From $1M to $1.5M, the rebate would remain capped at $130,000, with a gradual phase-out between $1.5M and $1.85M.
They’re also looking to align the previously announced federal HST rebate for first-time buyers to an effective date of March 20, 2025.
For first-time buyers in particular, this could make small multi-unit builds (like a duplex) a much more realistic & strategic entry point — live in one unit, rent the other, and use that rental income to help qualify.
For those considering building new, this rebate changes the overall project cost in a meaningful way.