Now – Mar 31, 2027

Up to $130K HST relief

For owner-occupants buying new from a builder. The biggest change on this page.

Since Apr 1, 2026

Tarion registration & Home ID

Freehold buyers must register their purchase with Tarion within 45 days of signing, using the Home ID on the Warranty Information Sheet supplied by the builder. From Jan 1, 2027, registering late or not at all can reduce how your deposit compensation is handled.

From Jan 1, 2027

Freehold cooling-off

New freehold homes get a 10-day right to cancel — condos already have one.

In effect

30-year amortization

Available on insured mortgages for new builds, with a $1.5M insured price cap.

◆ Time-Limited · The Biggest Change of 2026

Up to $130,000 in HST Relief on a New Home

Ontario's Enhanced New Housing Rebate is now in effect. Buy a new home from a builder as your primary residence, sign inside the window, and you may be eligible for combined relief equal to the full 13% HST — not just the $24,000 provincial rebate buyers were used to. You do not need to be a first-time buyer.

APS must be signed by

March 31, 2027

Window opened April 1, 2026.
Builders can credit it at closing.

Up to $1M

Full 13% HST

Up to $80,000 provincial plus up to $50,000 Ontario top-up for the federal part.

$1M – $1.5M

Flat $130,000

Combined provincial rebate and top-up payment.

$1.5M – $1.85M

Phased out

Relief shrinks as the price rises.

$1.85M +

Up to $24,000

Only the standard Ontario rebate applies.

You likely qualify if…

Watch out for…

✓ This Guide Is for You If:

◆ You're planning a 5+ year hold — not a quick flip
◆ You have strong liquidity beyond your deposit
◆ You don't need to move by a specific date
◆ You're an investor evaluating long-term appreciation plays
◆ You're a first-time buyer who wants to lock in today's price and build savings during construction — see the First-Time Buyer Guide →
◆ You're a move-up buyer with time to wait for the right product

✗ This Probably Isn't for You If:

◆ You need to be in a home within 12 months and aren't open to move-in-ready builder inventory
◆ You're stretching to qualify at today's rates
◆ You need rental income from day one
◆ You can't absorb a potential $30,000+ appraisal gap
◆ You're counting on assignment profit as your exit strategy
◆ You're uncomfortable with 2–5 years of uncertainty

◆ Project & Developer Due Diligence

The builder’s track record with Tarion and the HCRA, the zoning and site-plan status, and what’s planned around the site. In writing, before you sign.

◆ APS Review & Lawyer Coordination

Matthew walks you through what each key clause means in practice: deposit schedule, closing adjustments, assignment rights, occupancy fees, cancellation terms. Then he coordinates a review with a real estate lawyer who works on pre-construction.

◆ Full Closing Cost Estimate

Development charges, levies, utility hook-ups, Tarion enrolment, HST and the 2026–27 rebate position, so the number at final closing isn’t a surprise.

◆ Deposit & Deadline Tracking

Every instalment date, the Tarion registration window, the cooling-off period, mortgage pre-approval and renewal timing, and the occupancy-to-closing gap.

◆ Design Centre Guidance

Prioritize upgrades that add real value and resale appeal, and avoid spending thousands on items you could upgrade for less after possession.

◆ PDI Attendance

Matthew attends your pre-delivery inspection, documents deficiencies, and recommends an independent inspector where the home warrants it.

◆ How He’s Paid

The builder usually offers to pay the buyer brokerage fee. If a builder offers less than your agreement, the agreement says what happens, and Matthew checks this before you sign. How representation works →

Up to $600

Home Inspection

Use an inspector Matthew recommends or your own. You pay the inspector; with the receipt, Matthew reimburses you on closing, up to $600.

Up to $350

Appraisal

If your lender charges for one, you pay it; with the receipt, Matthew reimburses you on closing, up to $350.

12 months

Home Warranty

A one-year warranty from closing through a partner provider. The provider’s policy sets what’s covered, the limits and any deductible.

Move-in clean

Professional Cleaning

A professional clean before you move in, through a partner cleaning company.

+ The Advantages

- The Risks

Deposit / Down Payment

Paid in installments over the construction period. Tarion protection has limits — up to $20,000 on condos, up to 10% of the price (max $100,000) on freeholds. Not a mortgage payment; this is your own cash out of pocket.

Development Charges

Municipal fees tied to new construction infrastructure. These vary significantly by municipality — Newmarket, Aurora, Bradford, East Gwillimbury, Barrie, and Innisfil each set their own schedules.

Land Transfer Tax

Good news — unlike Toronto, there is NO municipal land transfer tax in York Region or Simcoe County. You pay only the provincial LTT. First-time buyers receive a rebate of up to $4,000.

Legal Fees

Budget for two sets of legal fees — one at signing/review, one at closing. Pre-construction is significantly more complex than a standard resale transaction.

HST Treatment

For a primary residence, HST is usually built into the price with rebates assigned to the builder. Investors are treated differently and may need to fund HST at closing. See the 2026 rebate →

Tarion Enrollment Fee

Mandatory new home warranty fee. Developers often pass this to the buyer as a closing adjustment — it should be visible in your APS.

01

Buying Based on Renderings, Not Location

Stunning renderings can make a poorly located community feel premium. In York Region and Simcoe County, location fundamentals mean: proximity to GO stations, Highway 400/404 access, school ratings, and employment nodes.

02

Over-Upgrading Finishes That Don't Appraise

Spending $30,000 on kitchen upgrades at the design centre feels exciting. But appraisers don't add premium value for developer-installed upgrades at pre-construction markup prices.

03

Underestimating Closing Costs

Development charges, land transfer tax, Tarion fees, legal fees, and utility connections. On an $800K townhome, closing costs can add $40,000–$65,000 beyond your down payment.

04

Not Planning for the Rate Environment at Closing

You signed when rates were X. You're closing when rates might be Y — and lenders re-qualify you under the rules in force at closing. Today, the minimum for uninsured mortgages is the higher of your contract rate plus 2% or 5.25% — and that can change before you close.

05

Assuming Assignment Profit Is Guaranteed

In a flat or declining market, finding an assignee at a price above your purchase can be extremely difficult — especially with developer consent fees, legal costs, and a thinner buyer pool.

06

Buying Product That Doesn't Match the Market

York Region and Simcoe County skew heavily toward families. Buying a tiny condo in a suburb where the dominant pool wants three bedrooms and a garage is a mismatch.

The Stress Test May Work Against You

When you close, lenders re-qualify you using the stress test in effect at that time. If the qualifying rate has moved higher, you may qualify for less than expected.

Lender Policies Change

The lender who pre-approved you 3 years ago may have changed their policies or exited condo lending entirely. Early commitment doesn't lock in willingness to fund years later.

Condo Building Blacklisting

Lenders can refuse to lend on specific buildings — particularly those with high investor concentration, pending special assessments, or reserve fund issues.

Appraisal Below Purchase Price

If the market has softened, the appraisal may come in below your agreed purchase price. On a $700K unit, even a 5% gap means $35,000 you need on the spot.

Employment or Income Changes

Job changes, switching from salaried to self-employed, or income reductions between signing and closing can all impact your mortgage approval.

Investor Mortgage Tightening

Regulatory changes can tighten mortgage rules specifically for investment properties — higher required down payments or reduced amortization options.

Yes — many pre-construction contracts allow assignment, meaning you can sell your rights to another buyer before taking possession. However, some contracts restrict assignment or require the developer's consent (with a fee of $5,000–$10,000). Assignments have their own tax implications — speak to a CPA. Note: an assignee only gets the 2026 enhanced HST rebate if both the original agreement and the assignment are signed between April 1, 2026 and March 31, 2027. Matthew can help you understand the assignment clause in any specific APS before you sign.

Protection exists, but it has limits. Condo deposits must be held in trust under the Condominium Act, and Tarion covers up to $20,000. Freehold deposits are covered by Tarion up to 10% of the purchase price (maximum $100,000; $60,000 on homes $600,000 or less). Deposits above those limits carry more risk, which is why the deposit structure matters. That said, you could be left without a home in a market that's moved higher since you signed. Matthew reviews developer track records and completed projects before recommending any builder.

This is the appraisal gap risk. When you close, your lender will appraise the unit. If the appraised value is below your purchase price, your mortgage may not cover the full amount — and you'll need additional cash to bridge the gap. Having cash reserves beyond your planned down payment is critical.

York Region and Simcoe County have seen sustained demand driven by GO Transit expansion, Highway 400 corridor growth, and significant northward migration from the GTA. That said, no market is without risk — pre-construction is a leveraged bet on future value, not a guarantee. Matthew will help you assess whether a specific project makes sense for your goals, timeline, and budget.

Typically yes, after possession. But read the APS — some buildings prohibit short-term rentals. More importantly: buying as an investor changes the HST. You generally won't qualify for the owner-occupant rebate built into the price, so you may need to fund that HST at closing. Qualifying long-term rentals may be eligible for separate federal and Ontario New Residential Rental Property rebates — including Ontario's 2026 enhanced version — but the rules and timing differ. Have your lawyer and accountant confirm the treatment before you sign.

The developer's projected timeline is typically optimistic. Delays are common — sometimes many months or more — due to permitting, financing, supply chain, and labour issues. Most APSs allow the developer to extend closing dates multiple times. Matthew will help you understand the delay provisions in your specific agreement.

You don't have to — but you should. Going directly to the developer's sales office means nobody is protecting your interests. A buyer's agent helps you understand the APS, negotiates where possible, tracks deadlines, attends your PDI, and advocates for you throughout. In most pre-construction transactions, the builder pays the cooperating broker commission — so you're not paying commission out of pocket.

◆ Buying as an Investor?

Pre-Construction Investor Track

If you're evaluating pre-construction as an investment — not just a home — you need a different conversation. Matthew runs investor-grade analysis on every project he recommends.

What Matthew Models for Investors:

◆ Cash-on-cash return projections
◆ Rent forecast based on comparable buildings
◆ HST exposure and rebate eligibility
◆ Assignment viability analysis
◆ Exit strategy review (hold, assign, or sell post-close)
◆ Occupancy cost modelling during interim period
◆ Total cost of entry vs. comparable resale