The $24,000 Ontario HST Rebate Ends March 31, 2027: What Repeat Buyers, Move-Up Buyers and Investors Need to Know

Since Ontario adopted the HST in July 2010, almost every buyer of a new home from a builder has received the Ontario New Housing Rebate — up to $24,000 back on the provincial portion of the HST, whether or not they had owned a home before. Most buyers never noticed it, because builders credit it inside the sticker price.

That rebate is ending. Ontario announced the decision in its spring 2026 budget, and its 2026 Fall Economic Statement (October 29, 2026) set out exactly how it winds down. If you are a repeat buyer, a move-up buyer or an investor considering new construction, March 31, 2027 is now the date that matters.

 

What Is Being Eliminated

Two provincial rebates are ending:

• The Ontario New Housing Rebate (NHR): 75% of the 8% provincial portion of the HST on the first $400,000 of a new home's value, to a maximum of $24,000.

• The Ontario New Residential Rental Property Rebate (NRRPR): the equivalent rebate for investors who buy a new unit to rent out.

Per the Fall Statement, both "will generally become unavailable for new purchases and transactions that begin on or after April 1, 2027."

 

Who Keeps the Rebate: The Transition Rules

The rebates remain available if, on or before March 31, 2027:

• you enter into the agreement of purchase and sale with the builder; or

• for an owner-built home or substantial renovation, construction begins; or

• for a co-op, the share agreement is entered into; or

• for a rental property, the builder agreement is entered into or landlord-built construction begins.

In all cases, tax on the purchase must become payable no later than December 31, 2035 — in practice, the home must close by then.

Assignments

An assignment sale keeps the rebate only if both the original agreement with the builder and the assignment agreement were entered into on or before March 31, 2027. If you are thinking of buying an assignment, the date of the assignment agreement now matters as much as the original. See our Pre-Construction Assignment Sale Guide for how assignments work generally.

 

Who Is Affected — and Who Is Not

Buyer	Builder agreement on or before March 31, 2027	Builder agreement on or after April 1, 2027
First-time buyer, primary residence	Federal and Ontario first-time buyer rebates; enhanced relief if signed from April 1, 2026	Federal and Ontario first-time buyer rebates continue (agreements before 2031)
Repeat or move-up buyer, primary residence	Up to $130,000 enhanced relief (if signed from April 1, 2026), or the $24,000 rebate	No Ontario new housing rebate under the current rules
Investor buying to rent	Rental property rebate; enhanced relief if eligible	No Ontario rental property rebate under the current rules

The elimination does not affect the temporary enhanced relief of up to $130,000 for agreements signed between April 1, 2026 and March 31, 2027. That program is explained step by step in Ontario's Enhanced HST Rebate: How It Actually Works.

 

Why This Changes the Math on New Construction

As we explained in our original coverage of the HST rebate, Ontario builders normally quote prices with the HST included and the $24,000 rebate already credited, with the rebate assigned to the builder. For agreements signed from April 1, 2027, there is no Ontario rebate for a repeat buyer or investor to assign. Unless builders absorb that difference, the same home could cost a repeat buyer up to $24,000 more than it would under today's rules — on top of losing the temporary enhanced relief of up to $130,000.

How builders adjust their price lists and agreements after April 1, 2027 remains to be seen. Read any agreement signed after that date carefully for how HST and rebates are handled.

 

What To Do Before March 31, 2027

• If you are a repeat or move-up buyer planning to buy new, the window to sign with the most HST relief in a generation closes on March 31, 2027.

• If you are an investor, compare projects you could commit to before the deadline against the post-April 2027 cost, including the eligibility conditions investors face under the enhanced program.

• If you are buying an assignment, make sure the assignment agreement is signed by March 31, 2027.

• Whatever you sign, have your real estate lawyer review the HST and rebate clauses before it becomes firm.

OREA has asked the province to extend the March 31, 2027 deadline. As of the Fall Statement, Ontario has not committed to an extension, so plan on the date as it stands.

 

Frequently Asked Questions

I signed with a builder in 2024 and close in 2028. Do I lose the $24,000?

Under the transition rules, no. Your agreement was entered into before April 1, 2027, so the rebate generally remains available, provided tax becomes payable by December 31, 2035. Have your lawyer confirm for your specific agreement.

Does this affect first-time buyers?

Eligible first-time buyers keep full HST relief on qualifying new homes up to $1 million through the separate federal and Ontario first-time buyer rebates, which run for agreements signed before 2031.

Does it affect resale homes?

No. HST does not apply to the resale of a used home, so these rebates were only ever for new and substantially renovated homes.

Is the federal GST new housing rebate also ending?

The Fall Statement is an Ontario document and covers the Ontario rebates only. The November 5, 2026 federal budget made no change to the federal GST rebates. See our summary of Federal Budget 2026 and Ontario's Fall Statement.

 

This guide is for general informational purposes and does not constitute legal, financial, or tax advice. Every situation is different — always consult a licensed real estate professional, lawyer, and tax advisor before making any decisions.

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Frank Merigliano, Team Leader / Sales Representative, VIP Condos Toronto, RE/MAX PREMIER INTERNATIONAL INC., Brokerage — licensed since 1993, with RE/MAX since 1995, and a Top 50 RE/MAX team in Canada since 2015.

 

Sources: Ontario 2026 Fall Statement, Annex: Details of Tax Measures; Canadian Mortgage Trends, "Ontario details phaseout of $24,000 HST rebate for new homes" (Nov. 2, 2026); OREA statement on the 2026 Fall Economic Statement; CRA Guide RC4028.