See how much you can save with the 2025 enhanced GST rebate — up to $50,000 for first-time buyers of new homes in BC.
As a first-time buyer of a new home in BC, you may qualify for the enhanced GST rebate introduced in the March 2025 federal budget — up to $50,000 on homes priced under $1,500,000. Your savings also stack with the BC PTT First-Time Buyer Exemption. Enter your purchase price below to see both.
When you purchase a brand-new home in BC, you pay 5% Goods and Services Tax (GST) on the purchase price. There are two GST rebate programs available for new home buyers:
For first-time buyers purchasing new construction in BC — which is the majority of the market in communities like Port Moody, Coquitlam, and Port Coquitlam — the 2025 enhanced rebate is transformative. A buyer purchasing a $750,000 new townhome would receive a $37,500 GST rebate under the new program, compared to $0 under the standard rebate at that price.
The enhanced FTB GST rebate was announced in the March 20, 2025 federal budget and applies to purchase agreements signed on or after March 20, 2025. If your purchase agreement was signed before that date, the standard GST New Housing Rebate (max $6,300) applies instead.
Here is how the two programs compare across price points:
For homes between $1,000,000 and $1,500,000, the enhanced FTB rebate phases out linearly:
FTB Rebate = $50,000 × ($1,500,000 − Purchase Price) ÷ $500,000
To receive the enhanced FTB GST rebate, all of the following must apply to you (and your spouse or common-law partner, if applicable):
Unlike the standard rebate, the enhanced FTB rebate has no price cap below $1,000,000 — the full 100% GST rebate applies to any qualifying new home priced up to $1M. Above $1M, a partial rebate applies up to $1.5M.
Important: if you are purchasing with a co-buyer, all purchasers and their spouses or common-law partners must independently meet the first-time buyer criteria. If one co-purchaser has previously owned a home, the FTB enhanced rebate is unavailable — though the standard rebate may still apply if the price is under $450,000.
Let's walk through a typical first-time buyer purchasing a new townhouse in Port Coquitlam for $699,000:
A non-first-time buyer purchasing the same property would owe $34,950 in GST and $11,980 in PTT — a combined $46,930. As a first-time buyer, you pay $0 GST and $3,980 PTT — saving $42,950 at closing.
First-time buyers in BC benefit from two overlapping programs at closing:
The PTT exemption works as follows: full PTT waived for homes priced at or below $500,000; a flat $8,000 exemption for homes $500,001 to $835,000; a partial exemption phasing out to $860,000; and no exemption above $860,000.
Our calculator above shows both savings combined. For a $700,000 new townhome, the total government assistance at closing can exceed $40,000 — a meaningful reduction that makes new construction far more accessible for qualifying buyers.
Want to explore the PTT side in more detail? Use our BC Property Transfer Tax Calculator to see the full PTT breakdown for any purchase price.
In most BC new construction transactions, the builder credits the rebate directly at closing — you do not need to file separately with the CRA. Here is what typically happens:
If your builder does not apply the rebate at closing (unusual, but possible for smaller developers), you can file Form GST191 directly with the CRA within two years of closing. You will need your purchase contract, statement of adjustments, and proof of primary residence occupancy.
For the PTT First-Time Buyer Exemption, your notary or lawyer applies the exemption automatically at land title registration — no separate filing is required on your end.
No. GST does not apply to resale homes sold by private owners, so neither the standard nor the enhanced GST rebate applies to resale purchases. The enhanced FTB rebate is specifically for new construction purchased directly from a builder or developer. If you are buying a resale home, you still benefit from the BC PTT First-Time Buyer Exemption (up to $8,000), but the GST rebate is not available.
No. For the FTB enhanced GST rebate, both you and your spouse or common-law partner must independently meet the first-time buyer criteria. If your partner has previously owned a qualifying home that was used as their principal residence, the FTB enhanced rebate is not available to either of you. The standard new housing rebate (max $6,300 for homes under $450,000) may still apply depending on the purchase price.
The partial FTB rebate for homes priced between $1,000,000 and $1,499,999 is calculated as: $50,000 × ($1,500,000 − Purchase Price) ÷ $500,000. For example, a $1,200,000 new home yields $50,000 × ($1,500,000 − $1,200,000) ÷ $500,000 = $30,000. Use the calculator above to get the exact figure for any price in this range.
Yes, in many cases. The federal FTB GST rebate and the provincial PTT exemptions are separate programs. If you qualify for both, you apply both at closing. However, eligibility criteria differ: the PTT First-Time Buyer Exemption has different thresholds ($500K full / $835K phase-out) than the GST rebate ($1M full / $1.5M phase-out), so at higher price points you may lose the PTT exemption while still keeping the GST rebate. Always review both programs with your notary or real estate agent.
The enhanced FTB GST rebate applies only to purchase agreements signed on or after March 20, 2025. If your agreement is dated before that, the older standard new housing rebate (36% of GST, maximum $6,300, for homes priced under $450,000) applies instead. See our Standard GST Rebate Calculator to estimate your rebate under the older program.
In practice, no. The vast majority of BC builders apply the rebate directly at closing by crediting it toward your purchase price. This means you never write a cheque for the full GST amount — the builder reduces the closing balance by the rebate amount and then files the rebate claim with the CRA on your behalf. Your statement of adjustments will show the rebate as a credit.
Navigating the GST rebate, PTT exemption, and other first-time buyer programs can be complex — especially in a fast-moving market like Port Moody, Coquitlam, and Port Coquitlam. As a local REALTOR® who works primarily with buyers in the Tri-Cities, I can walk you through your exact savings before you sign anything.
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