Buying a new home in Brampton or Caledon in 2026 could become more affordable with Ontario’s enhanced HST rebate programs.

Eligible buyers may qualify for up to $80,000 through the Ontario Enhanced New Housing Rebate and potentially up to $50,000 through Ontario’s New Home Affordability Payment. Combined, these programs could provide up to $130,000 in potential HST relief on qualifying new homes valued at $1 million or less.

For buyers exploring new construction near Mayfield Road, Bolton, Caledon East, or Brampton’s growing residential communities, understanding these programs before signing a builder agreement is important.

This guide explains the rebate programs, eligibility requirements, important deadlines, and what buyers should know when purchasing a new home in the Greater Toronto Area.

1. What Is the Ontario Enhanced New Housing Rebate?

The Ontario Enhanced New Housing Rebate (ENHR) is a temporary program designed to reduce the provincial portion of HST on eligible newly constructed or substantially renovated homes.

The program supplements Ontario’s existing new housing rebate and is administered under the applicable Canada Revenue Agency rules.

Key features of the program include:

• Eligible new homes and substantially renovated residential properties.

• Potential relief on the provincial 8% HST portion.

• A maximum enhanced rebate of $80,000.

• Eligibility for qualifying buyers who are not necessarily first-time purchasers.

• Specific agreement dates and substantial completion requirements.

Eligibility depends on the property’s value, intended use, purchase agreement, and other CRA requirements.

2. How Much Can You Save on a New Home?

The rebate amount depends on the home’s value and the applicable eligibility rules.

The standard Ontario New Housing Rebate may still be available where the enhanced rebate does not apply.

For homes valued up to $1 million, the rebate is limited to the eligible provincial HST, up to $80,000.

For homes between $1.5 million and $1.85 million, the enhanced rebate decreases as the property value increases.

The actual calculation should be confirmed using the applicable CRA rules and the consideration specified in the purchase agreement.

3. Can You Receive an Additional $50,000?

Ontario’s New Home Affordability Payment (ONHAP) is a separate provincial program that may provide additional relief to eligible new-home purchasers.

The payment can provide up to $50,000, equivalent to the 5% federal portion of HST, subject to the applicable eligibility and adjustment rules.

The Ontario payment may be reduced by the federal portion of certain GST/HST housing rebates for which the buyer qualifies.

This means buyers should not automatically add every advertised rebate together without checking the applicable rules.

The federal first-time home buyers’ GST/HST rebate is also a separate program and has its own requirements.

4. Important Rebate Deadlines for 2026 and 2027

The purchase agreement date is particularly important when determining eligibility for the enhanced rebate.

For example, a buyer signing an eligible builder agreement in February 2027 may fall within the applicable agreement window, even if the home closes later.

However, an agreement signed before April 1, 2026, does not generally qualify under the enhanced purchase window simply because the property closes in 2027.

Buyers should confirm the agreement date, completion schedule, and any applicable exceptions with their lawyer and the CRA.

5. New Construction Opportunities in Brampton and Caledon

Brampton and Caledon offer a range of new-home communities for buyers looking for different property types and price points.

The Mayfield Road corridor is particularly relevant for buyers comparing developments near the municipal boundary.

Builder pricing and available inventory can change. Buyers should request a current price list and written confirmation of the rebates included in the advertised price.

6. Understanding the Standard Ontario New Housing Rebate

The enhanced rebate is separate from the standard Ontario New Housing Rebate.

Under the standard program, eligible purchasers may receive:

• Up to $24,000 where HST was paid on the land.

• Up to $16,080 where HST was not paid on the land.

The exact amount depends on the applicable eligibility requirements and calculation rules.

The traditional federal GST/HST New Housing Rebate is also separate from Ontario’s enhanced rebate and affordability payment.

Because several programs may apply to the same transaction, buyers should obtain a written breakdown showing the rebates assumed in the builder’s agreement.

7. Who Qualifies for the Enhanced New Housing Rebate?

The enhanced rebate is not restricted to first-time home buyers.

Generally, qualifying individuals must purchase an eligible new or substantially renovated residential property for use as their own or a qualifying relation’s primary place of residence.

Other conditions concerning the property, purchase agreement, completion, and rebate application also apply.

Before relying on the rebate, buyers should confirm:

1. Whether the property qualifies as a new or substantially renovated home.

2. Whether the property will meet the primary-residence requirements.

3. Whether the agreement was signed within the applicable period.

4. Whether the substantial completion deadline will be met.

5. Whether the builder agreement correctly addresses the rebate.

Investors purchasing properties exclusively for rental purposes should investigate the separate new residential rental property rebate rules rather than assuming the owner-occupied enhanced rebate applies.

8. Will the Builder Give You the Rebate Directly?

In many new-home transactions, the buyer assigns the rebate to the builder, and the builder credits the amount against the purchase price.

As a result, an advertised builder price may already include assumed rebates.

The buyer must still meet the applicable eligibility requirements. If a builder credits a rebate that the purchaser is not entitled to receive, the agreement may require the buyer to repay the amount.

Before signing, ask the builder:

• Is the advertised price inclusive of HST and assumed rebates?

• Which federal and provincial rebates are included?

• What happens if I do not qualify for a particular rebate?

• What is the exact rebate chargeback provision?

• Who is responsible for filing the applicable rebate application?

Have your real estate lawyer review these terms before signing the agreement.

9. Checklist Before Buying a New Home

Frequently Asked Questions

 

1. What is the Ontario Enhanced New Housing Rebate in 2026?

It is a temporary program offering up to $80,000 in provincial HST relief on qualifying new or substantially renovated homes. The amount depends on the property’s value, intended use, agreement date, and eligibility requirements.

2. Can I receive $130,000 when buying a new home in Brampton?

Eligible purchasers may qualify for up to $80,000 through the enhanced rebate and up to $50,000 through Ontario’s affordability payment. The maximum combined amount is subject to property value and applicable rebate interaction rules.

3. Do I have to be a first-time home buyer?

No. The enhanced Ontario rebate is not limited to first-time purchasers. However, the federal first-time home buyers’ GST/HST rebate has separate eligibility conditions.

4. Does the rebate apply to new homes in Caledon?

Eligible newly built homes in Caledon may qualify, provided the property, buyer, purchase agreement, and completion satisfy the program requirements.

5. Can investors qualify for the enhanced rebate?

Owner-occupied rebate rules generally require the home to be used as a primary residence. Investors should investigate separate new residential rental property rebate provisions and obtain professional advice.

6. Is the rebate automatically deducted from the purchase price?

Not necessarily. Builders may credit assigned rebates against the purchase price, but the treatment depends on the agreement. Buyers should verify the exact amounts and eligibility conditions in writing.

7. What happens if I do not qualify after signing?

The builder agreement may require the buyer to repay rebates credited in advance if eligibility is denied. Review the rebate assignment and chargeback clauses with a lawyer before signing.

Final Thoughts: Make an Informed New-Home Purchase

Ontario’s enhanced new housing rebate and New Home Affordability Payment may create substantial savings opportunities for eligible buyers in Brampton and Caledon.

However, the maximum advertised amount is not a guaranteed discount. The purchase price, agreement date, property use, builder’s rebate arrangements, and eligibility conditions determine the actual relief available.

Whether you are considering a townhouse in Brampton or a detached home in Caledon, review the purchase agreement carefully and obtain independent legal and tax advice.

Parveen Arora and Team Arora serve buyers across Brampton, Mississauga, and the GTA. Buyers exploring new construction can research the team’s services and request assistance comparing available properties and understanding the questions to ask builders.

Always verify the final rebate calculation with the CRA, the Ontario government, and your qualified professional advisers.

Official Sources

• CRA – Ontario Enhanced New Housing Rebate
• Ontario – New Home Affordability Payment
• CRA – GST/HST New Housing Rebate
• CRA – Ontario Enhanced New Housing Rebate Eligibility

Disclaimer: This article is for educational purposes only and is not legal, tax, financial, or real estate advice. Rebate rules and eligibility requirements may change. Verify all program details with official government sources before making a purchase. E. & O.E.