HST included in your builder contract: who gets the rebate?

Almost every new home contract in Ontario quotes a price "inclusive of HST, net of rebates." That one line decides who benefits when rebates change, so it deserves a careful read.

What "net of rebates" means

The builder calculates its price assuming it will receive your HST rebates. You sign a form assigning the rebate to the builder, and the builder credits it into your price. If you don't qualify at closing, for example because you won't live in the home, the builder usually adds the rebate amount back onto your closing costs.

Why this matters in 2026

Ontario's expanded HST rebate can be worth up to $130,000. If your contract says the price includes HST net of rebates, you need to know whether the larger rebate lowers your price, or whether the builder keeps the difference. Contracts signed for the expanded program should spell this out.

What to ask before signing

• "Is the enhanced 2026 HST rebate reflected in this price, and how is it shown?"
• "If I qualify for a larger rebate than the price assumes, does the difference come to me?"
• "If the rebate rules change before closing, who bears that change?"
• "What happens to the rebate if I assign this contract before closing?"

Get the answer in writing

Verbal assurances at a sales centre don't override the agreement. Ask your real estate lawyer to review the HST clause and any rebate schedule. For condos, do it inside the 10-day cooling-off period.

More buyer guides

• Ontario HST rebate on new homes: up to $130,000 (2026 guide)
• First-time buyer GST/HST rebate on new homes in Ontario
• New home closing costs in Ontario: what to budget
• Tarion deposit protection: how much of your deposit is covered?
• Delayed closing in Ontario: what your builder owes you