Blog > New GST Rebate for First-Time Home Buyers in Canada (2025 Update)
🏡 New GST Rebate for First-Time Home Buyers in Canada (2025 Update)
Buying your first home just got a lot more affordable in Canada! As of May 27, 2025, the federal government has rolled out a brand-new GST rebate exclusively for first-time home buyers — and it could save you up to $50,000 on a new build. Here's what you need to know.
💰 What Is the GST Rebate?
The First-Time Home Buyers' GST Rebate is designed to reduce the upfront cost of buying a new or substantially renovated home by refunding part — or all — of the 5% federal Goods and Services Tax (GST).
🏠 Who Qualifies?
To be eligible for the rebate, you must:
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Be a first-time home buyer (you and your spouse/common-law partner haven’t owned a home in the last 4 years)
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Be a Canadian citizen or permanent resident
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Be at least 18 years old
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Buy a new home (or a substantially renovated one) under an agreement signed on or after May 27, 2025
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Ensure construction starts before 2031 and finishes before 2036
💸 How Much Can You Save?
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✅ 100% Rebate on homes up to $1 million
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🔁 Partial Rebate for homes priced between $1 million and $1.5 million
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❌ No rebate for homes $1.5 million and above
That means if you're buying a new home under $1 million, you could get every dollar of GST back — a huge win for first-time buyers trying to enter the market.
📋 What Kinds of Homes Are Eligible?
The rebate applies to:
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New single-family homes, townhouses, and condos
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Owner-built homes
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Co-op housing units (as long as GST was paid)
🧾 How to Apply
You’ll need to:
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Fill out the correct rebate form:
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GST190 – if buying from a builder
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GST191 & GST191-WS – if building your own home
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Submit it online via CRA My Account or by mail.
🎯 Final Thoughts
This new rebate is a game-changer for many Canadians dreaming of owning their first home. If you're considering a new build in the near future, now might be the perfect time to take advantage of this federal support.
➡️ Thinking of buying in Calgary? Let’s connect — I can help you navigate your options and find a home that qualifies.