Do you have a dream of owning a piece of land and the house that sits on it? Whether you want to buy a house or a condo in Ontario, it’s of great essence that you have an understanding of HST rebates on new homes. Here are the top 3 things to know beforehand:
1. Types of HST Rebates
There are basically two types of HST rebates – New Home Rebate and New Residential Property Rebate. The New Home Rebate is essentially for homebuyers who intend to live in the new residence, while the New Residential Property Rebate is for investors who intend to lease off the residence as an income property. If you file for the wrong program, you risk losing out on the rebate. Note that the process of applying for the HST rebate is the same whether you’re the investor or end user.
2. Types of buyers entitled to receive the HST rebate
You are entitled to receive the HST rebate in Ontario if:
• You’re an investor or end-user purchasing a pre-construction house or condo,
• You’re purchasing a newly constructed residence that has never been lived in previously,
• You’ve built a new residence yourself,
• You have drastically renovated your residence and transformed at least 90% of it.
3. How HST rebate is calculated
You’re entitled to a maximum HST rebate of $30,000 for homes and condos priced under $350,000. For properties valued above $450,000, the highest HST rebate amount allowed is $24,000.
Remember that there’s a time limit when applying for the HST rebate on a new home or condo in Ontario. You need a professional like My HST Ontario to ensure that you file in good time and get the maximum amount you are entitled to. Call 1833-553-7326 today for more information.