Applications are open. An eligible first-time buyer of a new or substantially renovated primary residence may recover 100% of the federal GST, to a maximum of $50,000, when the home costs $1 million or less. The maximum rebate phases out between $1 million and $1.5 million and is zero at $1.5 million or more. The benefit is not automatic and does not apply to an ordinary resale home.
Decision points
- 01
Confirm that the home, agreement dates, construction dates, and buyer meet the federal rules before counting the rebate.
- 02
At $1.25 million, the maximum first-time-buyer rebate is $25,000 before buyer-specific eligibility and other rebate calculations.
- 03
Keep the federal GST rebate separate from BC property-transfer-tax exemptions and closing-cash timing.
What is available now
The CRA is accepting applications for the federal first-time home buyers' GST/HST rebate. It can return up to $50,000 of federal GST on an eligible new or substantially renovated home. A qualifying builder may credit the rebate at closing, or the buyer may apply directly, depending on the transaction and forms.
Who can qualify
The program has buyer, home, primary-residence, agreement, construction, completion, and application timing conditions. The basic first-time-buyer test generally looks at whether you or your spouse or common-law partner lived in a home either of you owned in the current calendar year or previous four calendar years. Separation and accessibility situations can have additional rules.
How the value changes by price
For a qualifying home at $1 million or less, the first-time-buyer rebate can cover 100% of federal GST up to $50,000. Between $1 million and $1.5 million, the maximum declines linearly. The CRA's $1.25 million example produces a maximum of $25,000; at $1.5 million or more, this rebate is nil.
How the cash and claim path works
Do not assume the rebate will be available for the deposit or completion funds. Confirm whether the builder will credit it, which application form applies, who files it, the filing deadline, and what evidence the lender and conveyancer require. The CRA says applications are usually due within two years, but the exact start date depends on the type of transaction.
Keep federal and BC programs separate
The federal GST rebate, the existing GST/HST new-housing rebate, and BC's first-time-buyer or newly built home property-transfer-tax exemptions have different legislation, thresholds, dates, and forms. A buyer may qualify for more than one benefit, but eligibility for one does not prove eligibility for another.
Common questions, answered directly
Is the first-time home buyer GST rebate available now?
Yes. The CRA says applications are open. The buyer and property still have to meet the program's eligibility, timing, occupancy, and filing requirements.
How much is the first-time home buyer GST rebate?
It can reimburse 100% of federal GST up to $50,000 on a qualifying home priced at $1 million or less. The maximum phases out between $1 million and $1.5 million and is zero at $1.5 million or more.
Does the rebate apply to a resale home?
Not to an ordinary resale home. It is aimed at eligible new or substantially renovated homes, including qualifying owner-built homes, when the program conditions are met.
What is the maximum rebate on a $1.25 million home?
The CRA's example shows a maximum first-time-buyer rebate of $25,000 at $1.25 million, before confirming the buyer and transaction meet every condition.
Can I combine it with a BC property-transfer-tax exemption?
Potentially, because they are separate programs, but each must be tested independently. Do not net either benefit from closing cash until the conveyancer, builder, or tax adviser confirms the transaction treatment.
No provider paid to appear on this page. Parcel & Key does not accept legal referral fees or paid real-estate-agent leads. Future partner links will be labelled beside the action and activated only after written approval.