On May 27, 2025, the federal government introduced a new GST rebate program for first-time home buyers (FTHBs). Under this program:
- GST is fully eliminated on the purchase of a new home priced up to $1 million, and
- Partially reduced for new homes priced between $1 million and $1.5 million.
Who Qualifies as a First-Time Home Buyer?
To be considered a first-time home buyer for the purposes of this rebate, you must:
- Be at least 18 years old;
- Be a Canadian citizen or a permanent resident of Canada; and
- Not have lived in a home you owned, or that was owned by your spouse or common-law partner, in the calendar year of the purchase or in the four preceding calendar years, whether in Canada or abroad.
If two people are purchasing the property together, only one of them needs to qualify as a first-time home buyer, as long as the qualifying individual intends to use the home as their primary residence and is the first person to occupy it.
Additional Key Points
- The rebate can only be claimed once per lifetime.
- If your spouse or common-law partner has already claimed a FTHB GST Rebate, you are not eligible to claim it.
- The purchase agreement must be signed between March 27, 2025, and 2031.
For more details, click the image below.
