Ontario HST Rebate on New Homes — What Buyers Can Save

Published April 25, 2025

When you buy a brand-new home in Ontario, HST applies to the purchase price. The good news: federal and provincial new housing rebates can return a meaningful portion of that tax to qualifying buyers.

The federal GST/HST New Housing Rebate refunds part of the 5% federal portion of HST, with maximum benefits on homes valued up to $450,000 (and a reduced benefit above that). The Ontario new housing rebate refunds up to $24,000 of the 8% provincial portion of HST — and unlike the federal portion, this provincial rebate is available on homes of any price.

To qualify, the buyer (or an immediate family member) must move into the home as their primary residence. Investors who plan to lease the home can usually claim a similar rebate under the New Residential Rental Property Rebate, but the application process is different and the rebate is paid after closing, not assigned to the builder.

Most builders — Remington and Greenpark included — quote the purchase price net of the HST rebate, assuming you're an end-user. If you're buying as an investor, the rebate amount is typically added to your closing costs and recovered later through CRA.

This isn't tax advice. Every buyer's situation is different, especially when it comes to assignments and rental scenarios. Speak with your real estate lawyer and accountant before firming up your Agreement of Purchase and Sale.