The HST new housing rebate on a pre-construction home
Doorvia Guides · August 6, 2026
If you move in yourself, the rebate is usually built into the price; if you rent it out, you claim it afterward.
New homes and condominiums in Ontario are subject to HST, and rebates reduce the burden for buyers who occupy the home as their primary residence. Builders generally price on the assumption that you qualify and will assign the rebate to them, so the advertised price is net of it.
If you buy to rent instead, you typically pay the HST at closing and then apply for the new residential rental property rebate yourself, with a signed one-year lease as supporting evidence.
That is a large cash-flow difference at final closing. Confirm in writing which assumption your price is based on, and if your plans change between signing and closing, tell your lawyer and accountant immediately.
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