New home sales across Ontario rise 61% in Q3 as momentum from HST rebate program continues
Toronto, Nov. 03, 2026 (GLOBE NEWSWIRE) -- New home buyers across Ontario are continuing to respond positively to the enhanced HST rebate program as new home sales rise 61 per cent year-over-year in the third quarter of 2026, said the Building Industry and Land Development Association (BILD) and the Ontario Home Builders’ Association (OHBA), in a new report today. The driving force behind this increase has been the announcement of the provincial-federal enhanced HST rebate program, which began on April 1, 2026.
The evidence continues to demonstrate that the HST rebate program is stimulating economic activity, improving affordability across the province, and sustaining tax revenue and well-paying skilled trade jobs.
In the third quarter of 2026, and the second three-month period of the HST rebate program (July-September), there were 7,914 new home sales in Ontario – of which, nearly 3,000 were incremental and attributable to the HST rebate program, according to a report compiled by Peter Norman, Principal at Norman Economic Strategies Inc., and based on sales data collected by BILD, OHBA and Altus Group. This represents a 61 per cent year-over-year increase, as there were 4,915 new home sales across Ontario during the same period in 2025.
“It’s important to recognize the domestic economic multiplier of the residential construction sector as 100 per cent of the labour is domestic, and nearly 90 per cent of the inputs are sourced from Canadian manufacturers and suppliers. These workers and their families then in turn shop in Canadian stores and eat in Canadian restaurants,” said Justin Sherwood, Chief Operating Officer of BILD. “The impacts of the HST rebate program cannot be overstated, it is making the dream of home ownership a reality for nearly 8,000 Ontario families while supporting domestic jobs and industry at a time of significant economic uncertainty.”
The cumulative results, from April to September, show that Ontario recorded approximately 16,490 new home sales – up 93 per cent from the 8,553 new home sales recorded during the same six-month period in 2025. These results represent almost 8,000 additional new home sales compared with the 2025 baseline.
As a result of the additional new home sales, it is estimated that in the first six-month period of the HST rebate program that 27,800 jobs in the construction industry were protected, around $4.4 billion in GDP was preserved and approximately $1 billion in income tax revenue was maintained.
“These results reinforce what OHBA and BILD have been telling governments: lowering the cost of a new home brings buyers back into the market and gets our industry moving again,” said Scott Andison, Chief Executive Officer of the OHBA. “A sale today helps make construction possible tomorrow, but that transition takes time. Industry and government need to continue reviewing the evidence together to understand how HST relief is helping Ontario families achieve home ownership and supporting jobs, investment and economic activity across the province.”
In a report published by Altus Group in February 2026, combined housing policy measures were expected to generate between 18,000 to 23,000 net new home sales per year. This would help to preserve up to 51,000 jobs in the sector, $7.3 billion in GDP and $1.8 billion in income tax revenues. The market response for the first half of the HST rebate program provides confidence that we are well on track to meet the economic and affordability impacts as outlined in February 2026, as the positive momentum of the HST rebate program is anticipated to continue.
For more information about the HST rebate program on eligible new homes, visit here.
About the Ontario Home Builders’ Association
The Ontario Home Builders’ Association is the voice of the building, land development and professional renovation industry in Ontario, representing 4,000 member companies organized into 28 local associations across the province. Since 2007, OHBA members have built more than 700,000 homes in more than 500 Ontario communities. The residential construction industry employs more than 500,000 people across the province and contributes more than $66.6 billion to Ontario’s economy.
About the Building Industry and Land Development Association (BILD)
With more than 1,000 member companies, BILD is the voice of the home building, residential and non-residential land development and professional renovation industries in the Greater Toronto Area. The building and renovation industry provides 256,000 jobs in the region and $39.3 billion in investment value. BILD is affiliated with the Ontario and Canadian Home Builders’ Associations.
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Nadine Habib Building Industry and Land Development Association (BILD) 416-617-7994 nhabib@bildgta.ca Liz Davidson Ontario Home Builders' Association (416-677-1975) ldavidson@ohba.ca
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