3/26/2026
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Posted in Ontario Real Estate by Vanguard Realty | Back to Main Blog Page
In collaboration with the federal government, Ontario is expanding eligibility for an HST break on new homes.
Last October, the Doug Ford Progressive Conservatives announced a full rebate on the provincial (8%) portion of the HST for first-time homebuyers on properties worth up to $1 million — but ahead of Thursday’s provincial budget, Ontario plans to extend that rebate by absorbing the full 13% HST for all eligible homebuyers.
Provincial Housing Minister Rob Flack, speaking to reporters from a Wednesday morning press conference at a Mississauga construction site, said it takes too long and costs far too much to build homes in Ontario — something he hopes measures like these will change.
“Over 70% of people looking to buy a home are doubtful they ever will,” he said.
“That’s not acceptable — for a nation and province as prosperous as ours, this reality needs to change, and we’re changing it here today.”
Announcement part of Ontario’s 2026 budget
The move will remove the full 13% HST for new homes up to $1 million, to a maximum of $130,000.
That $130,000 maximum will be maintained for homes valued up to $1.5 million, decreasing incrementally for homes over that number to $24,000 for homes $1.85 million and above.
The program will be partially funded via money from the federal government that would cover the federal portion of the HST, or 5% — amounting to around $2.2 billion in joint tax relief.
This proposal is part of the province’s 2026 budget, set to be released on Thursday.
Source/More Details: Toronto Sun
Ontario Living, Ontario Real Estate, Ontario Real Estate News
