First-Time Home Buyer Rebate in Newfoundland and Labrador

Many first-time buyers hope for a single provincial rebate that cuts the cost of buying. In Newfoundland and Labrador, most of the help that is clearly documented comes from the federal government.

This article lays out the main federal credits, rebates and savings plans, who can claim them, and the limits that catch people out. Rules change, so confirm the current details before you rely on any of them.

This article covers the law of Newfoundland and Labrador.

What about a provincial rebate?

There is no land transfer tax in Newfoundland and Labrador to rebate, since the province charges registration fees instead. The federal GST/HST rebate covers only the federal part of the HST, and the only provincial-part rebate the CRA page describes is Ontario's.

The registration charge for a deed is $100 where the value of the land does not exceed $500. Above that, it is $100 plus $0.40 for each additional $100 or part of $100. On a $300,000 purchase, that works out to $1,298. The charge has no stated maximum, so it keeps rising with the value of the land.

A notice of mortgage is charged the same way, based on the debt secured, but that charge is capped at $5,000. No fee is payable on registration of a deed or other instrument by or on behalf of the Crown. The Registry of Deeds provides an online fee calculator for a conveyance or notice of mortgage.

Provincial programs, where they exist, depend on funding and can close without notice. Check the provincial government's current listings before you make plans around one.

The federal Home Buyers' Amount

This is a non-refundable credit based on up to $10,000 for a qualifying home, claimed on line 31270 of your tax return. It cannot produce a refund if no tax is payable.

To qualify, you or your spouse or common-law partner must have acquired a qualifying home registered in your name. You must not have lived in another home that you or your spouse or partner owned in the year of acquisition or the four preceding years, and you must intend to occupy the home as a principal residence within one year.

There is an exception. The first-time buyer test does not apply to a person eligible for the disability tax credit, or to a home bought for an eligible related person, if the purchase makes the home more accessible or better suited to that person's needs. The credit can be split between eligible spouses, partners or others who jointly acquired the home, but the total cannot exceed the maximum.

The first-time buyer GST/HST rebate

This rebate covers 100% of the GST, or the federal part of the HST, on a new or substantially renovated home valued up to $1 million. It phases out between $1 million and $1.5 million and is unavailable at $1.5 million or more. The maximum is $50,000.

• You must be 18 or older and a Canadian citizen or permanent resident.
• You and your spouse or partner must not have occupied, as a primary residence, a home you owned in the current calendar year or the four preceding years.
• If you buy from a builder, the purchase agreement must be signed after March 19, 2025 and before 2031, with ownership transferring before 2036. How the timing applies to an owner-built home depends on your situation, so it is worth confirming with the CRA or an accountant.
• You claim it on Form GST190 for a builder purchase or GST191 for an owner-built home, generally within two years of the ownership transfer.

It does not apply to resale homes. For building on leased land and co-op share purchases, Newfoundland and Labrador is grouped with New Brunswick and PEI, and the rebate is the lesser of $50,000 and 4.35% of total consideration, minus any new housing rebate, phasing out for fair market value between $1,150,000 and $1,725,000.

Using your savings: the Home Buyers' Plan

You may withdraw up to $60,000 from RRSPs toward a qualifying home. You can combine this with a qualifying First Home Savings Account withdrawal for the same home. FHSA contributions are capped at $8,000 a year and $40,000 lifetime. Amounts above $60,000 withdrawn under the HBP are reported as income.

What to do next

• Write down whether you or your spouse or partner owned and lived in a home in the past four years.
• Ask your builder whether the purchase agreement dates fit the rebate window.
• Talk to your RRSP or FHSA provider early about withdrawal timing.
• Use the Registry of Deeds online fee calculator to estimate your registration charges.
• Keep your closing documents for your tax return.
• Confirm current rules with the CRA, an accountant or your lawyer before closing.

Frequently asked questions