A rebate could reduce your purchase cost, but eligibility depends on the property, its price, your purchase dates and whether you intend to live there or rent it out.
Which rebates could apply?
Quebec has GST and QST housing rebate programs with different limits. Under the regular owner-occupied new-housing program, eligible buyers purchasing a home and land from a builder may qualify for:
| Regular rebate | Maximum refund | Starts decreasing above | No rebate at |
|---|---|---|---|
| GST | $6,300 | $350,000 | $450,000 |
| QST | $9,975 | $200,000 | $300,000 |
These thresholds generally refer to the purchase price before taxes, including the land. Other conditions apply, including use as a primary residence by an eligible occupant. Different thresholds can apply to leased-land homes and housing cooperatives. [1]
For buyers considering properties above these limits, the regular rebates may provide no relief. However, qualifying first-time buyers have another program to consider.
First-time buyers could recover up to $50,000 in GST
The first-time home buyers’ GST rebate can refund all the GST on an eligible new home priced up to $1 million, to a maximum of $50,000. The rebate decreases between $1 million and $1.5 million and disappears at $1.5 million.
This is a GST rebate—it does not automatically refund the QST. It also includes any eligible regular GST new-housing rebate, so the two GST amounts are not simply added together. [2]
For example, a qualifying home purchased for $700,000 before taxes carries $35,000 in GST. An eligible first-time buyer could potentially recover that $35,000.
Eligibility involves more than buying your first new construction. Generally, you must be at least 18, be a Canadian citizen or permanent resident, and meet the rule concerning whether you lived in a home owned by you or your spouse during the current calendar year or previous four calendar years.
For a home and land purchased from a builder, qualifying agreements generally must be signed on or after March 20, 2025, and before 2031. Construction, ownership-transfer and first-occupancy requirements also apply. [3]
What if you plan to rent out the property?
Buying a new condo as an investment requires a different rebate assessment. Quebec’s regular new residential rental property rebate has its own eligibility rules and limits.
The regular rental rebate can reach $6,300 for GST and $7,182 for QST. It becomes unavailable at a purchase price or applicable fair market value of $450,000 for GST and $225,000 for QST. These are different from the owner-occupied QST limits. [4]
Before projecting your return, have the applicable rental program confirmed for the specific property. Avoid building an investment budget around an assumed refund.
Five questions to ask before signing
Request a written breakdown that answers:
- Is the advertised price before taxes or tax-inclusive?
- Does it already deduct an assumed rebate?
- Which rebates do I personally qualify for?
- Will an eligible rebate be credited by the builder or claimed afterward?
- How much money will I need at the notary, including taxes and closing adjustments?
Revenu Québec allows the buyer or builder to file the regular new-housing rebate application. When the builder files it, the builder must pay or credit the rebate to the buyer. Confirm how your agreement handles this. [1]
Planning a purchase in the West Island?
Whether you are considering a new condo or comparing new construction with an existing home, understanding the full purchase cost helps you make a more informed decision.
Contact Matthew De Angelis to discuss your West Island property search and the questions to address before committing to a purchase.