Does owning a cottage or recreational property disqualify me from the Ontario first-time buyer LTT rebate?

Yes, owning a cottage or other recreational property can disqualify you from the Ontario first-time home buyer land transfer tax rebate, depending on the nature of the property and how ownership was structured.

The eligibility condition requires that you have never owned a "home" — defined under the Land Transfer Tax Act as a property that includes a building or portion of a building used for residential purposes. A cottage that is used as a seasonal or permanent residence generally qualifies as a "home" for this purpose, even if it is not your primary year-round residence.

Vacant recreational land (no residential building on it) is treated differently and would generally not constitute a prior "home." But if there is any structure that could be used for residential purposes — a cabin, bunkhouse, or cottage — there is a real risk that prior ownership disqualifies you. This is a nuanced area; if you have previously owned recreational property with any residential structure, get a legal opinion before relying on a rebate at closing.