Ontario $24,000 HST Rebate for New Condos & Homes in Mississauga (2026 CRA Guide)

2026 Ontario Pre-Construction & Assignment Tax Advisory by Fernando Borges Mora, REALTOR® (eXp Realty) — CRA Form GST190 (End-User) vs. Form GST524 (Investor Rental Rebate).

Ontario 24000 HST rebate guide for new and pre-construction condos in Mississauga by Fernando Borges Mora REALTOR

How the 13% HST Works on Newly Built Condos & Homes in Mississauga

While used resale homes and condominiums in Mississauga are exempt from Harmonized Sales Tax (HST) on the purchase price, all brand-new pre-construction condos, custom tear-down rebuilds, and assignment sales in Ontario are subject to 13% HST (comprising the 5% Federal GST portion and the 8% Ontario Provincial portion).

Wait—if new builds carry 13% HST, why doesn't a buyer see a separate 13% tax bill on a builder's price sheet at M City (448 Burnhamthorpe Rd W), Exchange District (151 City Centre Dr), or Westport / Brightwater in Port Credit?

Because Ontario builders advertise their base purchase prices "Net of HST Rebates"—meaning the builder assumes on paper that you qualify to assign the $24,000 Ontario New Housing Rebate directly to the builder on closing day. Understanding when you qualify for that instant credit—and when you must pay $24,000 upfront on closing day and claim it back from the Canada Revenue Agency (CRA)—is essential before signing any builder or assignment contract.

Direct Resources for Mississauga Condo Buyers & Investors:

2026 CRA HST Rebate Breakdown for New Homes & Condos Over $450,000 in Ontario

Under the federal Excise Tax Act and CRA Guides RC4028 & RC4231, the HST rebate on a newly constructed home in Ontario consists of two parts:

Rebate ComponentRebate FormulaMaximum Dollar RebateApplies to Mississauga New Builds Over $450,000?
1. Federal GST Portion (5% Tax)36% of the 5% Federal GST on the first $350,000Up to $6,300 (Phases out between $350K and $450K)$0 (Because virtually all Mississauga new condos & homes exceed the $450,000 federal phase-out ceiling).
2. Ontario Provincial Portion (8% Tax)75% of the 8% Ontario tax on the first $400,000 of net price ($400,000 × 8% × 75%)$24,000 CAD MaximumYES — $24,000 CAD Rebate applies even if the new condo or house costs $600,000, $900,000, or $2,000,000+!

Scenario A vs. Scenario B: End-User Homebuyer vs. Rental Investor at Closing

How you receive your $24,000 Ontario HST Rebate depends entirely on whether you (or an immediate blood/marital relative) move into the unit as your primary place of residence, or whether you lease the unit out to a tenant:

Scenario A: You (or a Close Relative) Move In as Primary Residence (CRA Form GST190)

  • How It Works at Closing: The builder credits the $24,000 Ontario New Housing Rebate directly against your purchase price on the Statement of Adjustments (CRA Form GST190 + RC7190-ON), so you do not have to bring an extra $24,000 on closing day.
  • Strict CRA Audit Rule ("Close Relative" Definition): Under the Excise Tax Act, to qualify for the builder credit, every single person registered on legal title must either be the individual moving into the condo as their primary place of residence, or a statutory "relation" (spouse, child, parent, sibling, or grandchild).
  • Warning — The Uncle, Cousin, or Friend Co-Signer Trap: If an uncle, aunt, cousin, niece, nephew, or business partner co-signs your mortgage and goes on title—even for just 1%—the CRA disallows 100% of the $24,000 New Housing Rebate because uncles, aunts, and cousins do not meet the Excise Tax Act definition of a "close relation"! Furthermore, you must genuinely live in the unit (Typically for at least 12 months); flipping a new unit immediately or moving a tenant in on Day 1 after claiming the owner-occupier rebate triggers a CRA audit reassessment for the full $24,000 plus daily compound interest.

Scenario B: You Buy the New Condo as a Rental Investment (CRA Form GST524 — NRRP Rebate)

  • What Happens on Final Closing Day: If you disclose to the builder that you are buying the condo as an investment property to rent out, the builder cannot credit you the rebate at closing. Instead, the builder adds the $24,000 HST rebate adjustment to your final closing statement—meaning you must pay that $24,000 upfront on closing day.
  • How You Get Your $24,000 Back From the CRA in 4 to 8 Weeks: Once you take title and sign a 1-year lease agreement (Ontario Standard Lease / OREA Form 400) with a tenant who will occupy the unit as their primary residence for at least 12 months, your accountant or real estate lawyer submits CRA Form GST524 (GST/HST New Residential Rental Property Rebate Application) and Form RC7190-ON along with a copy of the signed 1-year lease and your final Statement of Adjustments. The Canada Revenue Agency refunds the $24,000 directly into your bank account (typically within 4 to 8 weeks of electronic filing), and you must apply within 2 years of the final title closing date.

(Need a verified AAA tenant placed with a 1-year OREA Form 400 + Ontario Standard Lease right after Occupancy so you can claim your $24,000 CRA rental rebate immediately? Contact Fernando Borges Mora, REALTOR® [eXp Realty] via our Mississauga Condo & House Rental Lease Guide).

Official Verified CRA & Legislative Sources