First-Time Home Buyer Rebates and Programs in Ontario: A 2026 Guide
Who Counts as a First-Time Buyer?
Land Transfer Tax Refunds
Ontario refunds up to $4,000 of the provincial land transfer tax to eligible first-time buyers. No tax is payable on the first $368,000 of the price of an eligible home, so any home priced above $368,000 gets the full $4,000. You must be at least 18, a Canadian citizen or permanent resident, never have owned a home anywhere in the world, and move in within nine months of the transfer. See Ontario.ca, land transfer tax refunds for first-time homebuyers.
If you buy in Toronto, you may also claim a municipal land transfer tax rebate of up to $4,475, for up to $8,475 in refunds in total. You can claim the Ontario refund at registration through the electronic statements, or pay the tax and apply to the Ministry of Finance within 18 months of registration. Our land transfer tax guide has the rates, the Toronto rules and worked examples.
Programs for Your Savings and Your Tax Return
First Home Savings Account
You must be at least 18, a resident of Canada and a first-time buyer to open one. Room is $8,000 in the first year, unused room carries forward up to $8,000, and there is a $40,000 cap overall. Contributions are generally tax deductible, and a qualifying withdrawal for a first home is tax free. See CRA, First Home Savings Account.
Home Buyers' Plan
You can withdraw up to $60,000 from your RRSPs to buy or build a qualifying home and repay it over 15 years. For first withdrawals made from 2026 to 2028, repayment starts in the fifth year after the year of withdrawal. See CRA, Home Buyers’ Plan.
Home Buyers' Amount
You can claim up to $10,000 for a qualifying home, which was the amount for homes bought in 2025. It is a non-refundable credit that reduces your federal tax, claimed on line 31270 for the year you buy. See CRA, Home Buyers’ Amount.
You can use the Home Buyers’ Plan and a qualifying FHSA withdrawal for the same home if you meet the conditions for each. A qualifying FHSA withdrawal needs a written agreement to buy or build a qualifying home, and you must plan to move in within a year. An FHSA starts building room when you open it, so opening one early helps. See CRA, FHSA definitions and CRA, FHSA participation room.
Buying a New Home: GST/HST Rebates
The total of Ontario’s provincial rebates is capped at the lesser of $80,000 and the provincial HST payable, and Ontario says eligible buyers could save up to $130,000 across the federal and provincial parts. For the federal rebate, the agreement must be signed after March 19, 2025 and before 2031, you must be the first to occupy the home, and it must be your primary residence. See CRA, first-time home buyers’ GST/HST rebate, CRA, Ontario Enhanced New Housing Rebate and Ontario.ca, New Home Affordability Payment.
If you are buying an assignment, take care. An agreement signed before April 1, 2026 that was later varied or assigned is treated as signed before that date, and for an assignment both the original and the assignment agreements must fall inside the Ontario window. Our assignment of property service and pre-construction condo service can walk you through it.
Mortgage Rules That Help First-Time Buyers
Since December 15, 2024, the price cap for insured mortgages is $1.5 million, up from $1 million, and 30-year amortizations are available on insured mortgages for all first-time buyers and all buyers of new builds. A longer amortization lowers your monthly payment, but it means you pay more interest over time. See Department of Finance Canada, mortgage reforms in force. Your lender or mortgage broker confirms what you qualify for.
How to Claim Each Program
Land transfer tax refund
First Home Savings Account
New home rebates
Home Buyers' Amount
How We Help
We act for buyers of resale and new homes, and we serve clients in English, Hindi and Punjabi. Tell us about your purchase and we will go through which programs may apply to you, so nothing is missed at closing. Call (647) 696-8069 or book a free consultation below. See our residential purchase service, and budget for the rest in our closing costs guide.
Frequently Asked Questions
What first-time home buyer rebates are available in Ontario?
On any qualifying purchase: the Ontario land transfer tax refund, the Toronto municipal rebate if you buy in Toronto, the First Home Savings Account, the Home Buyers’ Plan and the Home Buyers’ Amount. On a new home, GST/HST rebates also apply.
How much is the Ontario land transfer tax refund?
Up to $4,000. You get the full amount on a home priced above $368,000, if you meet the conditions: at least 18, a Canadian citizen or permanent resident, never owned a home anywhere in the world, and you move in within nine months.
Do I get a Toronto rebate as well?
If you buy in Toronto and qualify, you may claim a municipal land transfer tax rebate of up to $4,475 in addition to the Ontario refund. Our land transfer tax guide has the details.
Can I use the FHSA and the Home Buyers' Plan together?
Yes. You can make an HBP withdrawal and a qualifying FHSA withdrawal for the same home, as long as you meet all the conditions for each at the time of the withdrawal.
Do these programs apply to resale homes?
The land transfer tax refunds, the FHSA, the Home Buyers’ Plan and the Home Buyers’ Amount can apply to resale homes. The GST/HST rebates are for new and substantially renovated homes.
Do I have to apply for the new home rebates myself?
Not always. The builder may pay or credit the rebate to you at closing. If it does not, you apply on Form GST190 within two years of the date ownership transfers to you. Ask your lawyer to check your closing statement.
What if I missed the land transfer tax refund at closing?
You can pay the tax and apply to the Ministry of Finance within 18 months of registration. You will need the registered transfer, your agreement of purchase and sale, and proof of occupancy and of citizenship or permanent residence.
Does the Ontario Enhanced New Housing Rebate apply if I buy an assignment?
Only if both the original agreement and the assignment agreement fall inside the April 1, 2026 to March 31, 2027 window. An agreement signed earlier that is varied or assigned is treated as signed before April 1, 2026.
Is the first-time buyer test the same for every program?
No. The Ontario land transfer tax refund asks whether you have ever owned a home anywhere in the world, while the federal programs look at homes you lived in during the current year and the four preceding years. Check each program.
Related Guides
Legal Information, Not Legal Advice. This guide summarizes information from Ontario.ca, the Canada Revenue Agency and the Department of Finance Canada, checked on October 23, 2026. Programs, limits and dates change, and each program has its own eligibility rules, so confirm the current rules and speak with a real estate lawyer and your tax adviser before you rely on this guide.