Ontario HST New Housing Rebate Calculator
This tool shows how Ontario’s expanded HST rebate creates additional savings on new-build homes and lets you model how those savings could be shared between buyer and builder.
Enter the purchase price below and walk through each step.
Step 1 — Old System Breakdown
Pre-April 2026- 🏠 The purchase price on the APS already includes HST.
- 📋 On closing, the buyer assigns their HST rebate entitlement to the builder. The buyer never receives a rebate cheque.
- 💰 The builder collects the full purchase price from the buyer.
- 🔄 The builder also receives the $24,000 rebate from CRA (through the buyer’s assignment).
- 📤 The transaction is subject to HST. The builder remits the HST component ($74,778.76) to CRA.
- ✅ Builder nets: $650,000.00 (from buyer) + $24,000.00 (rebate) − $74,778.76 (HST remitted) = $599,221.24.
Step 2 — Additional Savings Created
- 📊 Under the expanded rules, the rebate increases to $74,778.76 — up from the old $24,000 cap.
- 💡 The difference ($50,778.76) represents additional savings that did not exist before April 2026.
- 🔄 The rebate continues to flow through the builder (the buyer assigns the rebate to the builder on closing, same as always). Without any change to the purchase price, the builder would retain the full benefit of the increased rebate.
- 🤝 Step 3 below lets you model how the buyer and builder could agree to share these savings — for example, by reducing the purchase price so the buyer captures a portion.
Step 3 — Split the Savings
New SystemBuyer’s share
$25,389.38
Builder’s share
$25,389.38
- 📋 The closing mechanics do not change. The buyer assigns the rebate entitlement to the builder on closing (same CRA forms as always).
- 🔄 The transaction remains subject to HST. The builder would otherwise have to remit the HST ($71,857.86) to CRA, but the rebate assigned by the buyer ($71,857.86) offsets that obligation — as shown above, the two amounts are identical and net to zero.
- 💰 The builder’s actual take-home is effectively the purchase price received from the buyer: $624,610.62.
- 📉 By reducing the purchase price by $25,389.38, the buyer pays less on closing.
- 📈 Even with the lower price, the builder still nets $624,610.62 — which is $25,389.38 more than the $599,221.24 they would have kept under the old rules.
- ✅ Net result: buyer pays less, builder keeps more. Both sides benefit from the expanded rebate.
Bottom Line Comparison
Buyer saves vs. old deal
$25,389.38
Pays $624,610.62 instead of $650,000.00
Builder nets vs. old deal
+$25,389.38
Nets $624,610.62 instead of $599,221.24
Eligibility at a Glance
- APS signed between April 1, 2026 and March 31, 2027.
- Construction begins on or before December 31, 2028.
- Construction substantially completed on or before December 31, 2031 (primary residence) or December 31, 2029 (rental property where construction began before March 31, 2026).
- Home must be used as a primary residence or as a residential rental property.
- Applies to the full 13% HST (Ontario + federal). Federal government has agreed to cost-share, subject to federal legislation.
This is a temporary one-year expansion. Eligibility is based on when the APS is signed and construction timelines, not the closing date.
As of the date of this tool, the expanded rebate has been announced but the underlying federal regulations have not yet been enacted. CRA forms, filing procedures, and the exact process for claiming the expanded rebate have not been published. It is not yet known how or whether individual builders will agree to adjust purchase prices. This tool illustrates the math only.
Rebate Schedule
Rebate at each price point under the expanded rules vs. the old $24,000 cap.
| Home Price | Old Rebate | New Rebate | Additional |
|---|---|---|---|
| $500,000 | $24,000 | $57,522 | $33,522 |
| $550,000 | $24,000 | $63,274 | $39,274 |
| $600,000 | $24,000 | $69,027 | $45,027 |
| $650,000 | $24,000 | $74,779 | $50,779 |
| $700,000 | $24,000 | $80,531 | $56,531 |
| $750,000 | $24,000 | $86,283 | $62,283 |
| $800,000 | $24,000 | $92,035 | $68,035 |
| $850,000 | $24,000 | $97,788 | $73,788 |
| $900,000 | $24,000 | $103,540 | $79,540 |
| $950,000 | $24,000 | $109,292 | $85,292 |
| $1,000,000 | $24,000 | $115,044 | $91,044 |
| $1,050,000 | $24,000 | $130,000 | $106,000 |
| $1,100,000 | $24,000 | $130,000 | $106,000 |
| $1,150,000 | $24,000 | $130,000 | $106,000 |
| $1,200,000 | $24,000 | $130,000 | $106,000 |
| $1,250,000 | $24,000 | $130,000 | $106,000 |
| $1,300,000 | $24,000 | $130,000 | $106,000 |
| $1,350,000 | $24,000 | $130,000 | $106,000 |
| $1,400,000 | $24,000 | $130,000 | $106,000 |
| $1,450,000 | $24,000 | $130,000 | $106,000 |
| $1,500,000 | $24,000 | $130,000 | $106,000 |
| $1,550,000 | $24,000 | $114,857 | $90,857 |
| $1,600,000 | $24,000 | $99,714 | $75,714 |
| $1,650,000 | $24,000 | $84,571 | $60,571 |
| $1,700,000 | $24,000 | $69,429 | $45,429 |
| $1,750,000 | $24,000 | $54,286 | $30,286 |
| $1,800,000 | $24,000 | $39,143 | $15,143 |
| $1,850,000 | $24,000 | $24,000 | $0 |
| $1,900,000 | $24,000 | $24,000 | $0 |
Rebate Curve
Expanded HST rebate by home price. Old $24K cap shown for comparison.
Sources
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Disclaimer
This calculator is for educational and illustrative purposes only and does not constitute legal, tax, or financial advice. The calculations are estimates based on publicly available information from the Ontario 2026 Budget (announced March 25, 2026) and the Ministry of Finance media briefing.
The expanded HST rebate is subject to federal regulatory enactment. CRA forms, filing procedures, and rebate timelines have not yet been published. All figures should be independently verified by a qualified professional before being relied upon for any transaction.
Use at your own risk. Simplyclose Law Professional Corporation accepts no liability for any decisions made based on this tool.