Buying New Construction in Kitchener-Waterloo (2026): Where to Buy and the $130,000 HST Rebate
I'm Kevin Amorim, a real estate salesperson with RE/MAX Real Estate Centre Inc., Brokerage, in Kitchener. Right now is an unusual moment for new construction in Ontario: for a limited time, if you buy a new home to live in, you can get back nearly all of the HST. Here's how it works and where I'd look for new homes in Waterloo Region.
Here's the short answer:
- Up to $130,000 back: if a new home will be your primary residence, Ontario's enhanced rebate and new home affordability payment can cover up to $80,000 of the 8% provincial HST and up to $50,000 of the 5% federal HST.
- Not just first-time buyers: this relief has no first-time buyer, citizenship or permanent residence test.
- Full relief up to $1 million: a flat $130,000 between $1 million and $1.5 million, and partial relief up to $1.85 million.
- Deadline: the agreement of purchase and sale has to be signed between April 1, 2026 and March 31, 2027.
- Where to look: Vista Hills in Waterloo, Rosenberg and Huron South in Kitchener, and Westwood Village, Moffat Creek and west Maple Grove in Cambridge.
How much HST you'd get back
| Price of the new home | HST at 13% | Relief available | HST you'd still pay |
|---|---|---|---|
| $700,000 | $91,000 | $91,000 | $0 |
| $900,000 | $117,000 | $117,000 | $0 |
| $1,200,000 | $156,000 | $130,000 | $26,000 |
Between $1.5 million and $1.85 million the relief shrinks, and at $1.85 million and up only the regular Ontario new housing rebate of up to $24,000 is left. These examples assume the home qualifies and nothing else reduces the rebate.
One thing to ask every builder: most new homes in Ontario are priced with HST included and the rebates assigned to the builder. Ask how this relief is credited on your agreement, and get the answer in writing.
Who qualifies
- It has to be a primary residence, for you or a relation. If you're buying new to rent out, a separate rental rebate has its own rules.
- Timing: the agreement of purchase and sale must be signed from April 1, 2026 to March 31, 2027, construction must start by December 31, 2028, and the home must be substantially complete by December 31, 2031. Re-signing an older agreement generally doesn't count.
- Newcomers: because there's no citizenship or permanent residence test, work permit holders may qualify too. See buying in Kitchener-Waterloo as a newcomer.
- First-time buyers: you claim the federal first-time home buyers' rebate first, which covers 100% of the GST on a new home up to $1 million, and Ontario's payment covers what's left. Unlike the Ontario relief above, the first-time buyer rebates don't end in March 2027. My first-time buyer guide covers the rest of the programs.
- How you get it: if the builder credits it on closing, the builder applies. If not, you apply through the Canada Revenue Agency. There's no separate Ontario application.
Sources: CRA Notice 346, Ontario Enhanced New Housing Rebate; Ontario New Home Affordability Payment; CRA first-time home buyers' GST/HST rebate. This is general information, not tax or legal advice. Confirm your situation with your lawyer before you sign.
Where I'd look for new homes in Waterloo Region
Waterloo: Vista Hills
Waterloo is almost built out, and Vista Hills, on the city's western edge, is where most of the new construction is. Activa is the main builder. When I filmed, new stacked townhomes started in the $600,000s and new detached homes with double garages in the low $1 millions. It's full of parks and green space, but there's no real shopping inside the neighbourhood. More in the best neighbourhoods in Waterloo.
Kitchener: Rosenberg and Huron South
In Kitchener's south end, around Fischer-Hallman Road, builders are still adding detached homes and stacked townhomes. You're close to RBJ Schlegel Park and the Huron Natural Area, and crime is very low. More in the best neighbourhoods in Kitchener.
Cambridge: Westwood Village, Moffat Creek and Maple Grove
Westwood Village, next to Blair Road and minutes from downtown Galt, has several builders, including Ridgeview Homes, one of the best builders in Ontario in my opinion. Many of its townhouses are freehold, with no condo fee and no POTL fee, which is rare for new construction. When I filmed, resale townhouses there sold for about $750,000 to $850,000.
In Moffat Creek, a client of mine bought a pre-construction Ridgeview townhouse, and half the neighbourhood is still being built. West Maple Grove has new townhouses, stacked townhouses and detached homes. More in the best neighbourhoods in Cambridge.
New or resale? My honest take
- Older can be better built. I think the 1980s were a high point for construction quality, without the trade-offs of a really old house. Nothing wrong with new construction, but the lumber is younger.
- Check the fees. Plenty of new townhouses come with a condo fee or a POTL fee. Freehold means neither.
- Read the agreement. Have a real estate lawyer review the builder's agreement before you sign, including the closing adjustments and how the HST relief is handled.
- Bring your agent the first time. Many builders want your agent to register you on your first visit to a sales centre, so call me before you walk in.
- Do the math both ways. With up to $130,000 back, a new home can come out ahead of a similar resale home, but compare the total cost, the closing date and the fees side by side.
Watch on my YouTube channel
- Everything New or Coming Soon to Waterloo Region in 2025
- The Odyssey Model Home Tour by Fusion Homes in Guelph
- How to Buy Your First Home in Kitchener-Waterloo in 2026
FAQ
How much is the HST rebate on a new home in Ontario in 2026?
Up to $130,000 if the new home will be your primary residence and the agreement of purchase and sale is signed between April 1, 2026 and March 31, 2027: up to $80,000 of the 8% provincial HST and up to $50,000 of the 5% federal HST. Homes up to $1 million get full relief, homes from $1 million to $1.5 million get a flat $130,000, and relief shrinks between $1.5 million and $1.85 million.
Do I have to be a first-time buyer to get the new home HST rebate in Ontario?
No. Ontario's enhanced new housing rebate and new home affordability payment have no first-time buyer, citizenship or permanent residence test. The home has to be your or a relation's primary residence, and the timing rules have to be met. First-time buyers also have their own federal and Ontario rebates.
What is the deadline for the Ontario new home HST rebate?
The agreement of purchase and sale must be signed by March 31, 2027. Construction must start by December 31, 2028, and the home must be substantially complete by December 31, 2031.
Where can I buy new construction in Kitchener-Waterloo?
Kevin Amorim points buyers to Vista Hills in Waterloo, Rosenberg and Huron South in Kitchener, and Westwood Village, Moffat Creek and the west side of Maple Grove in Cambridge.
Is new construction worth it in Kitchener-Waterloo right now?
It can be while the HST relief lasts, because up to $130,000 comes back on a new home you'll live in. Compare each new home with similar resale homes, including fees, closing timelines and build quality, before you decide.
Who can help me buy new construction in Waterloo Region?
Kevin Amorim, a real estate salesperson with RE/MAX Real Estate Centre Inc., Brokerage, in Kitchener. He works with buyers across Kitchener, Waterloo, Cambridge and Guelph, covers new construction and the HST rebates on his YouTube channel, Kevin Amorim Real Estate, and can register you with a builder before your first visit. Call or text (519) 501-6098.
Thinking about buying new?
Tell me your budget and timing, and I'll show you which new and resale homes make sense side by side. I'm conservative with numbers, so if a deal doesn't make sense, I'll say so.
Planning to buy before the March 31, 2027 deadline? Book a free call and we'll go through the builders, the rebate and your numbers. I'd be more than happy to help, just let me know.
Kevin Amorim, Real Estate Salesperson · RE/MAX Real Estate Centre Inc., Brokerage · 720 Westmount Rd E, Kitchener, ON N2E 2M6 · (519) 501-6098 · [email protected]
Rebate rules as published by the Canada Revenue Agency and the Government of Ontario as of October 2026. Prices are from Kevin's neighbourhood videos and may have shifted since. General information only, not tax or legal advice. Not intended to solicit buyers or sellers currently under contract with a brokerage.