The Ontario Home HST Rebate: What You Need to Know
We’re always keeping an eye on the things that can make building a home in Kawartha Lakes a little more attainable, and the new HST rebate is certainly one of them. We believe programs like this can help more people put down roots, thrive and grow in the region we’re proud to call home.
As architectural build and interior designers, Home by Tim + Chris can be a great place to start if building is on your radar. We can help you understand what’s involved, establish a thoughtful plan and keep a close eye on the budget, while drawing on our years of experience working with trusted, reliable builders and trades. There are plenty of moving parts when you build a home, and having an experienced team beside you can make the process feel a whole lot more manageable. The HST rebate itself has some details to navigate, so let’s break it down.
The New Ontario HST Rebate: What Does It Mean If You’re Building or Buying a New Home?
Building a new home is exciting. So is finding the right one already built and making it your own. And right now, there’s another reason to pay attention if either is on your horizon: Ontario has introduced an enhanced HST rebate for eligible new homes.
If you’re building your own home…
If you own or lease the land and are building a new home, or hiring someone to build it for you, you may qualify for the enhanced rebate.
The important date is April 1, 2026. For an owner-built home, construction must begin on or after April 1, 2026 and on or before March 31, 2027. The home must also be substantially completed by December 31, 2029.
And there’s another important number: the home's fair market value when construction is substantially completed must be less than $1.85 million.
If you meet the requirements, you could recover up to $80,000 of the 8% provincial portion of the HST paid during the construction of your home.
If you’re buying a new home from a builder…
The rules are a little different if you’re purchasing a new home from a builder.
Generally, your agreement of purchase and sale needs to be entered into between April 1, 2026 and March 31, 2027. Construction must begin by December 31, 2028 and be substantially completed by December 31, 2031.
Again, the home must qualify as your primary residence (or that of a qualifying relation), and the total consideration for the home must be less than $1.85 million.
For eligible homes valued at $1 million or less, the rebate can cover 100% of the 8% provincial portion of HST, up to $80,000. Homes valued between $1 million and $1.5 million can receive the full $80,000 rebate, with the rebate gradually reduced for homes above $1.5 million and below $1.85 million.
The Canada Revenue Agency has an official two-page infographic from Canada.ca that outlines the claim process.
What does that actually mean for you?
Quite simply, it could mean more money staying in your pocket.
If you’re thinking about building, this may be a good time to start the conversation. There are plenty of moving pieces involved in creating a new home, from planning and design to permitting, construction and all those decisions that turn a house into your home.
And if you’re considering purchasing a new build, the timing of your agreement could make a meaningful difference to the overall cost.
One thing to keep in mind: the enhanced rebate has specific eligibility requirements, and not every new home or buyer will qualify. It also applies to homes intended to be used as a primary residence, so it isn't simply a rebate for any new cottage, investment property or second home.
The good news? You don't have to figure it all out on your own.
If a new home is on your radar, now is a good time to start asking questions, understanding the timelines and figuring out what the new HST rebate could mean for your project.
Because when it comes to building a home, we'd much rather see your money go toward the things that make your home yours than toward taxes you may be able to get back.
So, Where Does Home by Tim + Chris Come In?
If you’re thinking about building your own home, this is where having an architectural and interior design team involved early can make a real difference. At Home by Tim + Chris, we look at the project as a whole, from the land and architectural design through to the interiors and the way you ultimately want to live in the home. We can help you understand the scope of your project, develop a realistic plan and budget, coordinate the many decisions that come with building and keep the design moving forward from the first idea to construction.
With the new HST rebate tied to specific timelines and eligibility requirements, getting the right team involved early can also help you understand what needs to happen, and when. We’re not tax advisors, but we can help make sure the design and build process is thoughtfully planned from the beginning, which, when you’re building a home, is a pretty good place to start.
Project Nahma on Balsam Lake
The information above is intended as a general overview only and is based on information available from the Canada Revenue Agency as of September 2026. Eligibility for the Ontario Enhanced New Housing Rebate depends on individual circumstances. We recommend speaking with your tax advisor or the CRA to determine whether you qualify.
More information from the provincial government regarding Building more Homes Faster.
More information on Ontario expanding the GST rebate to lower the cost of new homes in Partnership with the Federal Government.
In another blog Beginner’s Blueprint learn about the basics of what we provide under one roof and how we work with you. We also outline how we work with preferred vendors but remain as one point of contact, while we manage timelines and optimize our creative output!
Our How We Work With You blog outlines our design process and is a helpful resource for getting started on your build or design project.
Learn more about our architectural design and other services.
See our latest Project Portfolio full of architectural and interior design imagery.
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