The Ontario government's Harmonized Sales Tax (HST) rebate program, designed to incentivize the purchase of new homes and stimulate the construction sector, is set to expire as planned, according to the province's Finance Minister. The rebate, a key component of the 2026 Ontario budget, provided relief to first-time homebuyers and others purchasing newly constructed properties.

The program, which offered a rebate of up to $25,000 on the HST paid when buying a newly built home or pre-construction condo, aimed to ease the financial burden on buyers and support the province's housing goals. While the program provided a significant benefit to eligible buyers, its temporary nature has been a point of discussion, particularly as the housing market continues to face affordability challenges.

The Finance Minister stated unequivocally that the rebate is a "one-year sale," signaling the government's intention to allow the program to expire as originally planned. The decision not to extend the rebate suggests a shift in focus towards other strategies for supporting the housing market, including measures aimed at addressing housing supply and affordability in the 2026 budget.