How the New GST Rebate for First-Time Buyers Works - and why you might want to consider a New-Build Home!

• 
  
  Embarking on the journey of homeownership is an exciting milestone, and for first-time buyers in Canada, the new GST rebate for new homes offers a significant advantage. 
• 
  
• This valuable program provides substantial financial relief by allowing eligible individuals to recover a portion of the Goods and Services Tax (GST) paid on the purchase of a newly constructed home. This means more money stays in your pocket, directly reducing the upfront costs of buying, which can be a game-changer in today's housing market. 
• By offsetting a considerable amount of the sales tax, the GST rebate makes new homeownership more accessible and affordable, empowering you to step onto the property ladder with greater confidence.
• 
  
• Key Points
• Eligibility:

Must be a first-time home buyer (not owned a home in the current or previous four years).

Must be at least 18 years old and a Canadian citizen or permanent resident.

Applies to purchases of new homes from a builder, new homes built on owned/leased land, or shares in a co-op housing corporation.

The agreement of purchase and sale must be entered into after May 26, 2025, and before 2031.

Rebate Structure:

100% GST rebate for new homes priced up to $1 million (maximum rebate of $50,000).

Partial rebate for homes priced between $1 million and $1.5 million (rebate phases out linearly).

No rebate for homes priced at $1.5 million or more.

How It’s Applied:

The rebate can be claimed directly or assigned to the builder, who may reduce the purchase price by the rebate amount.

The home must be intended as your primary residence and you must be the first occupant.

Example 1:

You buy a new home for $800,000.

GST would normally be $40,000.

As a first-time buyer, you get a 100% rebate: you pay $0 GST.

Example 2:

You buy a new home for $1,250,000.

GST would normally be $62,500.

The rebate is 50% (midway between $1M and $1.5M): you get $31,250 back, so you pay $31,250 GST.

Example 3:

You buy a new home for $1,500,000.

GST would normally be $75,000.

No rebate applies: you pay the full $75,000 GST.

Additional Notes

The rebate is only for the federal GST portion, not for provincial sales tax.

The program is set to run for agreements entered into between May 27, 2025, and before 2031, with construction to begin before 2031.

The rebate is not available if you or your spouse/common-law partner owned and lived in a home in the last four calendar years.

If the thought of a substantial rebate helping affordability is making you consider a new build, reach out to me today!  I've spent years working in New Construction. 😄

Top 5 Home Improvement Projects for Your Money

Some home improvements cost more than they're worth. Before you get started on that home improvement project, take a moment to consider its potential return. To help you understand which projects offer the highest returns, we used the recent Remodeling Cost vs. Value Report to compile a list of the 5 top home improvement projects for your money.

Each year, Remodeling magazine's Cost vs. Value Report provides a fascinating look at the percentage of a home improvement project's costs that are likely to be recouped at resale. The report finds that not all home remodeling jobs are created equal—you'll probably get a better return on your investment back after building a wooden deck, for example, than adding a sunroom.

1. Entry door replacement. Homeowners who install a steel front door recoup nearly 129% of the project's cost when they sell their home, according to the report. The reason is that a steel door is less expensive than the alternatives. A fiberglass front door replacement project, for example, costs about three times more than a steel door replacement. But a steel door can still be attractive enough to boost your home's curb appeal and make a big first impression on somebody who is looking at the house.

2. Minor kitchen remodel.  Most people consider the kitchen to be the heart of the home, and because of this, updates in this room pay off. According to the report, you can expect to recoup between 60%-120% of your investment on a kitchen remodel, as long as you don’t go overboard. You should never make your kitchen fancier than the rest of the house or the neighbourhood.

3. Attic bedroom. Converting that dusty old attic into a functional bedroom recoups on average about 83% of the project's cost when you sell your home, according to the report. At around $49,000, the bedroom addition is certainly more expensive than replacing your front door. But when it comes to adding new livable space to your home, building an attic bedroom is often easier on your budget than a family room addition, for example, which can run around $85,000.
 
4. Wood deck addition. The addition of a wooden deck to your property accounts for nearly 81% of the project's cost when you sell your home. The wooden deck's appeal is linked to today's more thrift-conscious consumers, who are looking to save money by spending more time at home. Since they are staying home, they want to enjoy their exterior space, so adding a deck is one of those areas that can add value. Like a steel door, the popularity of wooden decks is also associated with costs. A similar project built from composite materials can run you about 50% more.

5. Old windows replacement recoup on average about 77% of the project's cost. This makes your home more attractive while increasing its energy efficiency. Also, certain window replacements can qualify for federal tax credits. Start by replacing windows that are beaten up or broken, and consider the project's energy efficiency benefits as the icing on the cake.

Why You Should Get a Mold Inspection Before Buying a House

Buying a home is likely to be one of the most important purchases you will make in your entire life, so it only makes sense to take every possible step to limit the amount of risk you are exposing yourself to. For an increasing number of home buyers, calling for a professional mold inspection is a prudent way to verify a prospective home's quality before making a buying commitment.

Why is mold a threat
A serious mold infestation in a house has a negative impact on the home's indoor air quality. Although there are mold spores present to some extent in almost all of the air humans breathe, even a relatively minor increase in the density of airborne mold can cause health issues. Mold can cause a host of different respiratory problems, particularly for very young and very old residents, and more serious and even fatal consequences are possible.

Mold has become increasingly important to Canadian homeowners in the last few decades because of the growing interest in energy efficiency in the home. More energy-efficient homes are generally more tightly sealed, leading to less air circulation. When combined with other factors that encourage residential mold growth, this low-circulation environment can become ideal for mold.

Beyond its health issues, mold is also a serious strike against a home's value. Buying a home with a pre-existing mold condition can lead you to significantly overpaying for the property. The remediation process required to get rid of the mold can be extremely expensive, and even after cleaning the home thoroughly, it may still be difficult to sell.

How professional mold testers work
It is important to understand that there is a distinct difference between a mold inspector and an ordinary home inspector. Although a good inspector who tries to deliver a comprehensive report on the condition of a home before you buy it can spot the most obvious signs of a major mold infestation, rooting out hidden problems and diagnosing the exact nature of your mold issues calls for specialized expertise.

Residential mold testing typically starts with airborne sampling throughout the home, concentrating especially on areas with high humidity like basements. Elevated mold levels in the air may indicate the presence of a hidden infestation that can't be seen. In cases like this, mold inspectors will perform an "invasive" inspection by opening wall cavities and other normally inaccessible spaces.

When mold testing is vital
Mold testing can be extensive, especially if it involves demolition work and repairs. Many home buyers are hesitant to invest in comprehensive testing, but going without it can be a serious risk. A serious mold infestatio,n as confirmed by a qualified inspector, can significantly impact the value of the home due to the health risks it poses. It can even be difficult to secure the financing you need to buy a home that has a confirmed mold problem.

It is always smart to invest in a professional mold inspection if you have any reason whatsoever to suspect a mold problem. Homes that have gone through significant water damage are prime candidates for inspection.

Fortunately, buyers and sellers can often work together to deal with mold issues in a manner that is safe and satisfactory for all concerned. Motivated sellers sometimes offer to cover the costs of testing and any required remediation work, while in other cases, the costs can be divided between sellers and buyers in an equitable fashion.

While threatening levels of mold are still relatively rare in Canadian homes, you don't want to invest in a piece of property and then discover that it poses a health risk to your family. A mold inspection can be vital in giving a home a clean bill of health before you buy. This issue is too important to leave up to guesswork. Entrust the matter to a professional mold testing firm and know for certain what is lurking in a house you are thinking of purchasing.

Condominium or House: Which is Right for You?

For some people, a condominium lifestyle is the only way to live—no lawn maintenance, access to a pool and tennis court, and extra security features you might not have in a single-family home. Other people simply can’t breathe in a condo because their neighbours are too close for comfort. Consider the pros and cons and your specific needs and desires before deciding on whether to buy a condo or a house.

Because of all of the advantages of home ownership in comparison to renting, many of you will soon be reaching a point where you want to buy a home. However, you may not be sure whether you should actually buy a house or if you should look into buying a condo instead. This is especially true for younger home buyers who might want the benefits of living in a more communal situation that a condo environment provides.

Should you join the condo club or go for a more traditional home ownership?

A condo is probably the right choice for you if:

• You don’t have a lot of money to spend, but still want to invest in home ownership.
• You are interested in being part of a small community living in the same complex.
• You are comfortable living close to your neighbours.
• You are a single individual or a couple that is looking for a small home rather than a large property.
• You don’t mind having certain aspects of your home ownership regulated by a committee (a homeowner’s association made up of some of the tenants who own in the condos).
• You live in an urban area where condos are common (such as Toronto or Vancouver).
• You run a busy lifestyle and prefer to enjoy amenities like a pool or a shaded grounds area, but aren’t able to maintain such amenities yourself either because of the time that it takes or the cost.

A house is more likely to be a better choice for you if:

• You have (or plan to have) a large family.
• You are a very private person who does not like living close to your neighbours or having your home choices regulated by an association.
• You are investing in home ownership primarily for the purpose of resale of the home in the future (since property values are usually higher than condo values).
• You are seeking to purchase a large home, and/or you need outdoor areas for things like large pets.
• You enjoy maintaining your own yard or garden.
• You live in a rural area or in a location where there are not many condos on the market.

Although there are always exceptions, condo purchases are usually best for single individuals who have neither the money to invest in a house nor the time to maintain the upkeep of a house. These tend to be young people who don’t mind apartment-style living in close quarters with their neighbours, who are comfortable having some regulation by the homeowner’s association and who enjoy sharing common areas with others. Often, condo buyers are first-time home buyers. If, in contrast, you are an older adult who has (or may soon have) a family and would like the freedom and privacy of a home with its own property, then a house is probably the right choice for you.

Regardless of whether you buy a house or a condo, it's important to do your homework and consider the future of the neighbourhood you're buying into. The old saying of "location, location, location" remains true for both. Each is a significant investment, and you need to find a safe and vibrant neighbourhood capable of nurturing your investment into the future.

June Housing Stats Point to More Balanced Market in Waterloo Region

WATERLOO REGION, ON (July 4, 2025) —In June, a total of 676 homes were sold in the Waterloo Region via the Multiple Listing Service® (MLS®) System of the Cornerstone Association of REALTORS® (Cornerstone). This represents a 0.3 per cent increase compared to the same period last year and a decline of 21.7 per cent compared to the average number of homes sold in the previous ten years for the same month. 

“While home sales in June were relatively stable year-over-year, we’re seeing a more balanced market emerge in Waterloo Region. What’s particularly notable is the increase in condominium sales – up over 34% – suggesting a cohort of buyers looking for more affordable housing options,” says Christal Moura, spokesperson for the Waterloo Region market. “While more listings are coming to market, properties are taking a little longer to sell, giving buyers more time to make informed decisions during their home search. 

Total residential sales in June included 442 detached homes (up 5.6 per cent from June 2024), and 113 townhouses (down 17.4 per cent). Sales also included 86 condominium units (up 34.4 per cent) and 35 semi-detached homes (down 25.4 per cent).  

In June, the average sale price for all residential properties in Waterloo Region was $780,293. This represents a 1.1 per cent decrease compared to June 2024 and a 1.2 per cent decrease compared to May 2025.  

• The average price of a detached home was $896,770. This represents a 0.2 per cent decrease from June 2024 and a decrease of 1.4 per cent compared to May 2025.  

• The average sale price for a townhouse was $624,754. This represents a 6.0 percent decrease from June 2024 and a 1.6 percent decrease compared to May 2025.  

• The average sale price for an apartment-style condominium was $435,435. This represents a 5.7 per cent decrease from June 2024 and an increase of 0.7 per cent compared to May 2025.  

• The average sale price for a semi was $649,039, on par with June 2024 and a 0.5 per cent decrease compared to May 2025. 

CORNERSTONE cautions that average sale price information can help establish long-term trends but does not indicate specific properties have increased or decreased in value. The MLS® Home Price Index (HPI) provides the best way to gauge price trends because averages are strongly distorted by changes in the mix of sales activity from one month to the next.

“Looking at the HPI benchmark prices, we’re seeing a market that’s adjusting to changing economic conditions. While we’re experiencing some year-over-year price decreases, Waterloo Region’s market fundamentals remain strong, supported by a diversified economy and the region’s appeal as a place of residence for both families and businesses,” says Moura.  “These market shifts underscore the importance of working with a professional REALTOR® who can provide crucial guidance on pricing strategies, market timing, and negotiation. Their expertise helps both buyers and sellers adjust their expectations and make informed decisions in this evolving market environment.”    

View our HPI tool here to learn more: https://www.cornerstone.inc/stats/

There were 1,514 new listings added to the MLS® System in Waterloo Region last month, an increase 5.3 per cent compared to June last year and a 15.1 per cent increase compared to the previous ten-year average for June.  

The average time to sell a home in June was 27 days, compared to 24 days in the previous month. In June 2024, it took 18 days for a home to sell, and the five-year average was 15 days.

6 Pricing Tricks to Help Sell Your Home Faster!

 

When you decide to sell your home, setting your asking price is one of the most important decisions you will ever make. Depending on how a buyer is made aware of your home, price is often the first thing they will look at. Many homes are discarded by prospective buyers as not being in the appropriate price range before they even have a chance of a showing.

Your asking price is often your home's "first impression", and if you want to receive the most money you can for your home, it's imperative that you make a good first impression.

Setting the asking price of your property is as much about knowing how buyers think as it is about how much the property is worth.

1. Price it right
In order to set the right price, check out your competition first. A little real estate research can be handy. Take a look at homes sold in your neighbourhood. Ask yourself: what are they selling for? How long have they been on the market? Study the supply and demand within your neighbourhood to consider whether to price your home above or below the market value.

Pricing your home lower than your competitors can essentially generate more offers, thereby driving the price higher. On the other hand, price it too high and you risk buyers going into “sticker shock”.

2. The missing penny trick
To grab the attention of potential buyers, take a pricing tip from discount retailers like Walmart. Take, for example, $19.99 vs. $20.00. While it is only a penny difference between the two, the $19.99 price seems like a better deal! Why? Because when people see a price, they make judgments in a fraction of a second whether it is a good or bad deal. And, since we read from left to right, the first number receives the most focus. Therefore, a home listing for $199,999 will generate more attention than $200,000 because people will perceive $199,999 to be a better deal. Retailers have been using this proven strategy for a long time; make it work for you.

3. Raise the reference point
You can raise people’s reference point by asking for a higher price. People use that information in setting their reference price. In addition, you can affect the reference price of buyers by telling them the price of competing properties in the neighbourhood. However, pass along this information only if the comparisons are in your favour.

On the other hand, if you set a price that is implausibly higher, the impact will be less than if you set a price that's more reasonable.

4. Send the right message
People associate precise numbers with bargains. If a house should sell for around $300,000, then offering a round number like $295,000 will convey quality and willingness to negotiate, and choosing a higher but precise number like $295,485 would indicate a bargain.

A precise number may also signal that you have given careful consideration to the price, and you aren't inclined to negotiate; however, you may want to use this trick with caution.

5. Setting the asking price.
If your home is in a new development and you want to give the impression of prestige, go for a nicely rounded (up) price. But if you're going for a quick sale and you want to give the impression of a bargain, go for a precise number.

6. Make the price cuts easy to understand
We perceive easily computable discounts as better than larger discounts. A discount from $395,485 to $385,485 might seem better than from $395,485 to $378,495.

When a home has been on the market too long and very few offers have been made, the logical option is to reduce the asking price. But by how much? The trick here is to reduce the price by a nice, easy-to-calculate number so buyers can easily calculate their savings.

The longer your house sits on the market, the less cash it commands. Use these expert tricks to sell your house fast and maximize your profit.