The federal government has proposed a GST rebate program aimed at making homeownership more accessible for first-time buyers across Canada. Rising housing costs and affordability challenges have left many Canadians struggling to enter the market, but this program seeks to ease that burden by providing up to $50,000 in GST relief on newly built homes valued at $1.5 million or less.
This initiative not only helps eligible buyers take the critical step toward owning their first home, but it also reflects the government’s commitment to addressing housing affordability. The rebate was introduced following years of advocacy efforts by the Canadian Home Builders’ Association (CHBA) and fulfills a key election promise focused on increasing housing accessibility for Canadians. By reducing the GST costs associated with new home purchases, the program aims to stimulate home buying, encourage new construction, and support first-time buyers entering the housing market.
Below is a quick summary of the key details:
Key Details
Rebate Amount:
- Receive up to $50,000 GST relief on eligible new homes.
Eligibility:
- You must be a first-time home buyer.
- The home must be your primary residence, and you must be the first occupant (not intended for investment or rental purposes).
- Applies to newly built homes purchased from builders, custom builds, and co-operative housing shares.
Home Price Limits:
- 100% rebate for homes priced up to $1 million.
- The rebate phases out between $1–1.5 million (e.g., a $1.25M home gets a 50% rebate).
- Homes priced above $1.5 million are not eligible.
Eligibility Timeline:
Construction must begin by 2031 and the home must be substantially complete before 2036.
Purchase agreements must be signed on or after May 27, 2025, and before 2031.
For more information or updates on how you can take advantage of this rebate, fill out the form below, and our team will be happy to assist!
*This rebate is a proposed federal program and is not yet approved into law. Eligibility is based on federal criteria and determined by the government—not Sterling Homes or any other homebuilder. Details of the program may change as legislative processes unfold.
