Canada's first-time home buyer GST rebate: up to $50,000 back
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Work out your own numbers with the canada first-home gst rebate calculator.
Canada has a new GST rebate for first-time home buyers who buy a newly built home. It removes the GST, or the federal part of the HST, on homes up to $1 million, to a maximum of $50,000. Homes from $1 million to $1.5 million get a partial rebate.
Who qualifies
You must:
- be at least 18 years old,
- be a Canadian citizen or permanent resident,
- be a first-time home buyer: you have not lived in a home that you or your spouse or common-law partner owned in the year of purchase or in the four calendar years before it, and
- plan to live in the home as your main residence.
Which homes qualify
- A new home bought from a builder, including a new condo unit or a house built on land you buy from the builder.
- A home you build yourself, or have built for you on your land.
- A share in a new co-op housing unit.
Construction must start before 2031 and be substantially complete before 2036. The purchase agreement must also fall after the program’s start date. The CRA and the Department of Finance have published different dates for this, so check the CRA page before you sign.
How much you get back
| Purchase price | Rebate |
|---|---|
| $1,000,000 or less | All of the GST, up to $50,000 |
| $1,250,000 | Up to $25,000 |
| $1,500,000 or more | $0 |
Between $1 million and $1.5 million, the rebate drops in a straight line. For each $100,000 above $1 million, the rebate is $10,000 lower.
The rebate covers the 5% federal GST. In provinces with HST, it covers the federal 5% part only. The provincial part may have its own rebate.
Example
A first-time buyer signs for a new condo at $800,000. GST at 5% is $40,000. The price is under $1 million, so the full $40,000 comes back.
How to apply
Most buyers get the rebate through the builder, who credits it on the closing statement. If the builder does not credit it, or you build the home yourself, you apply to the CRA directly. Keep your purchase agreement and proof that you live in the home.
Common questions
How much is the first-time home buyer GST rebate?
All of the GST, up to $50,000, on a new home priced at $1 million or less. A partial rebate applies up to $1.5 million.
Does the GST rebate apply to resale homes?
No. The rebate is for newly built homes and substantially renovated homes only. Resale homes do not usually have GST.
Who counts as a first-time home buyer?
Someone who has not lived in a home they or their spouse or common-law partner owned in the year of purchase or the four calendar years before it.
Does the rebate cover the provincial part of HST?
No. It covers the federal 5% part. Some provinces have their own rebates for the provincial part.
Updated: November 1, 2026. Based on CRA information on new housing rebates.