The Ontario and Federal governments have introduced legislation aimed at delivering enhanced HST relief for buyers of eligible new homes, with potential savings of up to $130,000. This initiative is designed to improve affordability, stimulate housing construction, and support economic growth across Ontario.
OREA has prepared a document outlining what this means for REALTORS®. You can view the full Backgrounder here.
Key Highlights
- Buyers of eligible new homes could receive full 13% HST relief (up to $130,000) on homes priced up to $1.5M.
- Relief begins to phase out for homes above $1.5M.
- Applies to purchases made between April 1, 2026 and March 31, 2027.
- Potential to support 8,000 new housing starts and up to 21,000 jobs.
- Future option may allow rebates to be applied upfront through builders.
Important for REALTORS®
- The program is not yet fully implemented—federal regulations and application details are still pending.
- Buyers must currently pay full HST at closing and may apply for the rebate later once available.
- REALTORS® should avoid presenting this relief as immediately available.
What This Means for You
If implemented as proposed, this initiative could increase buyer affordability and demand for new construction, creating new opportunities when working with buyers, builders, and investors.
We will continue to keep Members updated as more details and timelines are confirmed.
