03/21/2025
Great promises for First-time Homebuyers from both the Liberals and Conservatives!
PM Carney Announces GST Exemption for First-Time Buyers
Prime Minister Mark Carney announced today that the Government of Canada will eliminate the Goods and Services Tax (GST) for first-time homebuyers on homes at or under $1 million. CHBA has been advocating extensively with all major parties for a change to GST thresholds and most recently has touted it as an important move in the face of tariffs and resultant rising construction costs. CHBA is encouraged that this policy addresses what has been a major contributor to affordability challenges when buying a new home. In the fall, the Conservative Party of Canada also announced that they would remove the GST on new homes with a purchase price under $1 million, should they be elected. There were no further details on today’s announcement, including when this change would come into effect—and if an election is called, it won’t be until after that. However, CHBA is pleased that whether the Liberals or Conservatives form the next government, reform for GST on housing is on its way, and CHBA will continue with its recommendations to make it most effective, including implementing this as soon as possible.
