On March 25th, the Ford government announced it would remove the full 13% HST on new homes valued up to $1 million — effective April 1, 2026 through March 31, 2027. It made headlines everywhere. My phone started buzzing the same day. But as someone who works in this market every single day, my honest reaction was: this is significant — just not in the way most people think.

The core GTA market? Not much is changing

Let me be direct. For areas like central Brampton, Mississauga, or Toronto itself — where the market is already saturated and price points are well above $1 million for most detached homes — this rebate doesn't really shift the equation. If a home is listed at $1.4 million, the HST exemption doesn't apply. You're not suddenly saving $130,000.

Where I do think this creates real movement is on the outskirts — Kitchener, Waterloo, Hamilton, Niagara, Oshawa. These are areas where new communities are actively emerging and price points are closer to that $1 million threshold. That's where this rebate becomes a genuine game-changer.

What I'm already seeing on the ground

I was showing a client homes in Brampton just last week. Mid-showing, after he heard the news, he stopped and asked me: "Aman, can we look at homes in other areas? If I can get a newer, bigger home for $100,000 less — why wouldn't I?" That's the shift happening right now. Buyers who were set on Brampton are suddenly open to Kitchener, Hamilton, and beyond.

And to give you a real sense of what the Brampton resale market looks like right now — I just sold a detached bungalow with a legal three-bedroom basement apartment, listed at $799,000, that closed at $770,000. No HST on resale. Strong value, income potential built in, and negotiated below asking. That's the resale market today in Brampton.

Now imagine a comparable new build in an outer market like Kitchener — with the HST now removed. Suddenly that comparison between resale in Brampton and new construction further out gets very interesting for buyers. That's the real conversation I'm having with clients this month.

The builder question nobody is asking yet

Here's what I think is being overlooked in all the excitement: builders are not showing their cards yet. They are holding pricing firm and watching carefully. Will they pass the full HST savings to buyers? Some will. But I wouldn't assume every builder will hand that money back — some may quietly absorb part of it as margin. That's just the reality of how this industry works.

How builders respond over the next 60–90 days will determine everything. If they genuinely drop prices to reflect the rebate, you'll see a real surge in new construction demand — and the resale market in those outer areas will feel the pressure too. If they hold prices and pocket the savings, the headline impact fades quickly.

My advice if you're thinking about acting on this

If the home fits your life — your commute, your family's needs, your long-term plans — and you can get a newer home in your price range because of this rebate, that's a smart move. A new home is always a better bet than a resale of the same age at a similar price. Less maintenance, better energy efficiency, modern layouts.

But if you're forcing yourself into a home in a location that doesn't work for you just to chase the rebate — that's not a strategy, that's a mistake. You're going to live in that house every single day. The $100,000 saving means nothing if the home or the neighbourhood isn't right for your family.

The rebate is a real opportunity. But it's a tool, not a reason to buy. Use it wisely.

Frequently asked questions

Ontario and the federal government have announced a new housing and infrastructure partnership that could have a big effect on real estate across the province. The agreement includes $8.8 billion over 10 years to support housing-enabling infrastructure and major transit projects, and part of the plan is tied to reducing municipal development charges by up to 50% in eligible municipalities.

So what does that actually mean in simple words?

Development charges are fees builders pay to municipalities when new homes are built. Those fees help fund things like roads, water systems, wastewater systems, and other local infrastructure needed to support growth. When those charges are high, the cost usually gets pushed into the price of new homes, condos, and rental projects. That is one reason new construction has become harder to make affordable. The new partnership is trying to reduce that pressure.

Why did this happen?

This happened because Ontario is still dealing with a major housing supply problem. The province has been trying to find ways to get more homes built faster, but builders have been facing high construction costs, financing challenges, slower sales, and heavy municipal fees. At the same time, governments know that simply asking for more housing is not enough if the infrastructure is not there to support it. Water, sewers, roads, and transit all have to expand along with housing. The new agreement is meant to deal with both problems at the same time: lower some of the upfront costs of building and help fund the infrastructure needed to support more housing.

What could this mean for Ontario real estate?

The biggest possible effect is on new construction.

If development charges come down in a meaningful way, some projects that were too expensive or too risky for builders may start to make more sense again. That could help unlock more condo, rental, and low-rise development in certain markets. It may also improve confidence for builders who have been delaying launches or slowing down projects. This is especially important at a time when Ontario’s own budget lowered its housing-start outlook for the next several years, showing that supply is still not where the province wants it to be.

For buyers, this does not mean prices will suddenly drop overnight. Real estate does not work that fast. But it could help slow future price pressure on some new homes if builders are able to bring more inventory to market with lower costs. In other words, this is more of a supply-supporting move than an instant affordability fix.

For investors and landlords, this could also matter because lower building costs and better infrastructure support may encourage more rental construction over time. Ontario’s 2026 budget separately highlighted support for converting newly built condos into long-term rentals, which shows the province is clearly focused on expanding rental supply as well.

For municipalities, this creates a balancing act. Development charges are a source of funding for local growth-related infrastructure. If charges are reduced, governments need another way to help municipalities handle the cost of growth. That is why this partnership is tied to long-term infrastructure funding and not just a simple fee cut on its own.

The real takeaway

This is important news because it shows governments are finally acknowledging something the industry has been saying for a long time: if Ontario wants more homes, it has to make them easier to build and easier to service. Lowering development charges alone will not solve the housing crisis, but it can remove one major barrier. If this policy is implemented well, it could help builders move projects forward, improve housing supply, and support a healthier real estate market over time.

For anyone watching the Ontario market, this is a story worth paying attention to, especially if you are interested in pre-construction, investment properties, or areas where future growth depends on better infrastructure.

Want to know how this could affect new homes, pre-construction projects, or investment opportunities in your area? Reach out and I can help you understand where this policy may create the biggest opportunities in Ontario real estate.

Disclaimer

This article is for general informational purposes only and does not constitute legal, financial, or real estate advice. Market conditions, government policies, and program details may change. Readers should do their own due diligence and consult licensed professionals before making any real estate, legal, or financial decisions. 

Aman Khattra is a licensed real estate agent with Royal LePage Platinum Realty, and this content is intended for educational purposes only.

Power of sale properties are gaining attention in today’s market—especially among buyers looking for opportunities. Here’s a simple, clear breakdown of what they are, how they come to market, and whether they’re worth considering.

What Is a Power of Sale Property?

A power of sale happens when a homeowner fails to make mortgage payments, and the lender (usually a bank) has the legal right to sell the property to recover the outstanding loan.

In Ontario, this process is more common than foreclosure and is typically faster and more streamlined. The property is usually listed on MLS just like a regular home.

How Do Power of Sale Homes Come to the Market?

The process usually looks like this:

1. Homeowner misses mortgage payments
2. Lender issues a notice (default notice period)
3. If payments aren’t resolved, lender proceeds with sale
4. Property is listed for sale through a real estate agent

These homes are not always advertised as “power of sale,” so working with a knowledgeable agent helps identify them.

Why Are Buyers Interested in Power of Sale?

1. Potential Value Opportunities

Banks are focused on recovering their money, not maximizing profit. In some cases, this creates opportunities for buyers.

2. Less Emotional Sellers

Since the seller is a bank, there’s no emotional attachment, which can make negotiations more straightforward.

3. Faster Transactions

These properties are often handled with clear timelines and structured processes, which can speed things up.

Can You Negotiate on Power of Sale Properties?

Yes—but with a different approach.

• Banks rely heavily on market value and comparable sales
• They are less flexible emotionally, but still open to reasonable offers
• Strong offers with clean conditions and solid financing tend to perform better

👉 You can negotiate—but only if your offer makes sense on paper.

Key Benefits of Buying Power of Sale

• Possible better purchase price compared to market
• Opportunity to build equity faster
• Access to properties that may not be widely marketed
• Structured and transparent process

Important Things to Watch Out For

Most power of sale homes are sold “as-is, where-is”, which means:

• The bank will not fix issues
• Property condition may vary
• Buyers must do proper inspections and due diligence

How to Secure a Good Power of Sale Property

1. Work With the Right Agent

An experienced agent can help you identify real opportunities, not just listings.

2. Act Quickly

Good deals don’t last long. Be ready with:

• Pre-approval
• Deposit
• Clear decision-making

3. Focus on Numbers, Not Emotions

Evaluate based on:

• Comparable sales
• Renovation costs
• Long-term value

4. Do Proper Inspections

Even though it’s “as-is,” always try to include an inspection condition where possible.

Final Thoughts

Power of sale properties can be a great opportunity for the right buyer—especially if you’re looking for value and are comfortable doing some due diligence.

They’re not always “cheap deals,” but with the right strategy, they can help you enter the market smarter or build long-term equity.

Disclaimer

This content is for general informational purposes only and does not constitute legal, financial, or real estate advice. Market conditions and property details may change. Buyers should conduct their own due diligence and consult licensed professionals. 

Aman Khattra is a licensed real estate agent with Royal LePage Platinum Realty, and this content is intended for educational purposes only.

The Ontario government has announced a temporary expansion of the HST rebate on new homes, making all buyers eligible—not just first-time buyers—for a limited time. This move is aimed at improving affordability and boosting new housing construction across the province.

What Is the New HST Rebate Program?

Starting April 1, 2026, to March 31, 2027, buyers purchasing newly built homes in Ontario may qualify for an HST rebate of up to $130,000.

Previously, this rebate was mainly available to first-time homebuyers. Now, any buyer—whether first-time, move-up, or investor—can benefit, as long as they meet the eligibility requirements.

Key Highlights

• Maximum rebate: Up to $130,000
• Applies to: New construction homes (including pre-construction)
• Eligibility expanded to: All buyers (not just first-time buyers)
• Program duration: April 1, 2026 – March 31, 2027

Price-Based Rebate Breakdown

• Up to $1.5 million: Full rebate (up to $130,000)
• $1.5M – $1.8M: Reduced rebate
• Above $1.85M: Standard rebate (~$24,000 applies as per existing rules)

Eligibility Criteria

To qualify for this rebate, buyers must meet the following conditions:

1. Purchase Timeline

• Agreement with the builder must be signed between
  April 1, 2026 – March 31, 2027

2. Property Use

• The home must be used as:
  • Primary residence, OR
  • Residential rental property

3. Construction Deadlines

One of the following must apply:

Option A:

• Construction starts on or before Dec 31, 2028
• Completion by Dec 31, 2031

Option B:

• Construction started before March 31, 2026
• Agreement signed within program dates
• Completion by Dec 31, 2029

Why This Matters for Buyers

This program can significantly reduce upfront costs on new homes. For example:

• On a $1M new home, you could save tens of thousands of dollars
• Lower upfront costs can improve mortgage qualification
• More flexibility for buyers considering pre-construction opportunities

Impact on the Market

The government estimates this program could:

• Add 8,000+ new housing starts
• Support 21,000 jobs
• Boost Ontario’s economy by $2.7 billion

This is especially important as new construction—particularly condos in the GTA—has slowed due to rising costs and lower demand.

Final Thoughts

This is a limited-time opportunity that can benefit a wide range of buyers—not just first-time purchasers. Whether you're looking to move up, invest, or buy your first home, this rebate can make a noticeable difference in your overall cost.

If you're considering a new build or pre-construction home, timing your purchase within this window could help you maximize savings.

Disclaimer

This content is for general informational purposes only and does not constitute legal, financial, or real estate advice. Market conditions, government policies, and eligibility criteria may change. Readers are encouraged to conduct their own due diligence and consult with licensed professionals. 

Aman Khattra is a licensed real estate agent with Royal LePage Platinum Realty, and this content is intended for educational purposes only.