GST on a New Multiplex in BC: Rebates Explained

If you have only ever bought or rented a resale home, GST probably never came up. You paid the price, paid your property transfer tax, and got the keys. A brand-new multiplex home is different. When you buy a new duplex, triplex, or fourplex unit from the team that built it, the federal government charges GST on top of the price. On a Vancouver home, that can be a real number, and it catches a lot of first-time new-home buyers off guard.

The good news: there are rebates that can hand a big part of that GST back to you, and a new one, introduced in 2025, can wipe it out entirely for many first-time buyers. This guide walks through how GST works on a brand-new multiplex home you plan to live in, how the two rebates are calculated, and how the whole thing is usually handled inside a pre-sale contract. We buy and sell these homes every week, so we will keep it plain and practical.

Quick note before we start: this is general information, not tax advice. Every purchase is a little different, and the rebate rules have real fine print. Confirm your own numbers with your lawyer or notary and an accountant before you sign anything.

Why a brand-new home has GST and a resale home usually doesn't

GST stands for the Goods and Services Tax. It is the 5% federal tax you already pay on most things you buy in Canada. A brand-new home counts as one of those things. The first time a home is sold by the team that built it, that sale is treated like any other new product, so the 5% applies to the price.

A resale home is different. Once someone has already owned and lived in a home, selling it again is not a new sale in the tax system's eyes. So when you buy a used townhouse or an older duplex from a private owner who lived there, there is normally no GST at all. According to Rain City Properties' 2026 BC GST guide, GST does not apply to a resale home no matter how old the building is, as long as you are buying from an individual owner who used it as a home rather than from a builder.

This is one of the real trade-offs between buying brand new and buying used. A brand-new multiplex gives you a fresh home nobody has lived in, a warranty, and modern finishes. A resale home skips the GST. Neither is simply better. It depends on what you want and what the rebates do to the new-home price, which is exactly what we will get into.

In BC, it's GST only — no HST

Some provinces combine the federal tax with their own to make one Harmonized Sales Tax, or HST. British Columbia does not. BC left the HST back in 2013 and never went back. So on a new home here, the only sales tax that applies to the purchase price is the 5% federal GST. There is no separate provincial sales tax stacked on top of a new-home purchase in BC, per the Rain City Properties BC first-time buyer GST guide. That keeps the math simpler here than in a province like Ontario, where buyers deal with a bigger combined tax and a separate provincial rebate.

One thing to keep separate in your head: GST is not the same as the BC Property Transfer Tax. Those are two different taxes charged by two different governments, and a new-home buyer can face both. This guide is only about GST. Your property transfer tax, and the first-time buyer exemption that can reduce it, is a separate topic.

The GST New Housing Rebate: the older, smaller one

The GST New Housing Rebate has been around for decades. It is meant to give back part of the GST when you buy a brand-new home to live in as your main residence. Here is how it works, and why it does not help most Vancouver buyers much anymore.

The rebate gives you back 36% of the 5% GST you paid, up to a maximum of $6,300. You get the full rebate if the home's price is $350,000 or less. Between $350,000 and $450,000, the rebate shrinks on a straight line the higher the price goes. Once the price hits $450,000, this rebate disappears completely. Those figures come from the Canada Revenue Agency's GST/HST New Housing Rebate guide (RC4028).

You can probably see the problem. A brand-new multiplex home in Vancouver almost never costs less than $450,000. The $350,000 and $450,000 lines were set a long time ago and were never raised to keep up with today's prices, as the Rain City guide points out. So for a typical Vancouver buyer, this older rebate is often worth nothing. It is still worth knowing it exists, because it is the base rule the newer rebate was built on top of.

The new First-Time Home Buyers' GST Rebate: the one that actually helps

This is the big change, and it is why we wrote this guide now. In 2025 the federal government created a brand-new rebate aimed straight at first-time buyers of new homes. It can erase the entire GST on many Vancouver-priced homes. It became law in early 2026, so it is real and in effect, not just a promise.

Here is the shape of it, from the Government of Canada announcement and the PwC tax summary:

• If the new home costs $1 million or less, you get back 100% of the GST — the whole 5%. The GST cost drops to zero.
• The most you can get back is $50,000, which is the full 5% GST on a $1 million home.
• Between $1 million and $1.5 million, the rebate shrinks on a straight line. A home right in the middle at $1.25 million gets 50% of the rebate, which works out to $25,000.
• At $1.5 million or more, this rebate gives you nothing.

Put those two numbers together and the picture is very different from the old rebate. A first-time buyer picking up a brand-new fourplex unit at $950,000 could save the full 5% GST — around $47,500 — instead of the old $6,300 cap that they would not even qualify for. That is not a rounding error. That is a real chunk of a down payment.

Who counts as a first-time buyer here

The word "first-time" is doing a lot of work, and the rules are stricter than people expect. This matters a lot for the family-pooling buyers we work with, where more than one person is on the purchase. Here is what the CRA requires, drawn from its who-can-apply page and the Kelly Santini LLP summary:

• At least one buyer on the deal must be a genuine first-time buyer who will use the home as their main residence, and be the first person to live in it.
• That person must be at least 18 and a Canadian citizen or permanent resident.
• They cannot have lived in a home that they, or their spouse or common-law partner, owned as a main residence in the year of the purchase or in the four years before it — anywhere in the world.
• Your partner's ownership history counts too. If your spouse owned and lived in a home in that window, it can knock out your claim even if you personally never owned one.
• You can only use this rebate once in your lifetime, and not if your spouse or partner has already used it.

That four-year, includes-your-partner rule is the one that trips up pooled family purchases. Say two generations buy a brand-new fourplex unit together and the parents owned their old house until last year. The parents would not qualify as first-time buyers. But if an adult child on the same purchase is a true first-time buyer moving in as their home, the deal may still qualify through that person. This is exactly the kind of detail worth checking with your accountant before you count on the money.

The dates that decide whether you qualify

Because this rebate is new, timing matters. It is tied to when you sign your purchase agreement, not when you move in. According to the Government of Canada and MNP's Royal Assent note, the rebate generally applies when:

• Your agreement of purchase and sale with the builder is signed on or after March 20, 2025, and before 2031.
• Construction of the home begins before 2031 and the home is substantially finished before 2036.

The law received Royal Assent — the final step that makes it official — on March 12, 2026, so the CRA can now process claims. If you signed a pre-sale contract in spring 2025 or later, you may well be inside the window. If you have an older contract, or you are thinking of tearing one up and re-signing just to grab the rebate, stop and talk to a professional first — there are anti-avoidance rules that block exactly that move.

How GST actually shows up in a pre-sale purchase

Most brand-new multiplex homes in Greater Vancouver are sold pre-sale — you sign and pay a deposit before the home is finished, then complete once it is ready. GST behaves in a specific way inside these deals, and knowing it saves you from a nasty surprise at the finish line.

"Plus GST" versus GST-included pricing

The single most important thing to check in a pre-sale contract is whether the price includes GST or not. There is no fixed rule, and it varies by builder. The Rain City pre-sales guide notes that Vancouver builders often fold GST into the stated price, but not always. A home advertised at $899,000 "plus GST" is really about $944,000 before any rebate. The same home advertised at $899,000 GST-included already has the tax baked in. Same headline, very different cheque. Read the contract, and ask your lawyer or notary to confirm which one you are looking at.

When you pay it

For a pre-sale, GST is normally due at completion — the day you take possession and the title moves into your name — not on the day you sign. So your deposits go toward the price along the way, and the GST is settled at the very end, as part of your closing costs.

The rebate is often handled by the builder

Here is the part that surprises people in the best way. You usually do not have to pay the full GST up front and then wait months for the government to mail you a refund. In many pre-sale deals, if you qualify, the rebate is assigned to the builder. The builder claims it and credits it against your price on the statement of adjustments — the final tally your lawyer or notary prepares at closing. You end up paying a lower, net amount. The Rain City BC guide describes builders crediting the rebate directly so buyers do not have to front the tax and wait.

That assignment only works if you actually qualify. If it turns out later that you were not eligible — say the first-time rule did not apply — the CRA can come back for the rebate amount. This is why builders ask you to sign paperwork confirming you meet the rules, and why it is worth being honest and sure about your eligibility before you sign.

Three quick examples

Numbers make this real, so here are three simple cases for a brand-new multiplex unit you plan to live in. These are illustrations to show the shape of the math, not a quote for your specific home.

• A first-time buyer buys a new triplex unit at $850,000 plus GST. The 5% GST is $42,500. Because the price is under $1 million and they qualify as a first-time buyer, the new rebate returns the full $42,500. Net GST cost: zero.
• A first-time buyer buys a new fourplex unit at $1.25 million plus GST. The 5% GST is $62,500. At $1.25 million the rebate is 50% of the $50,000 maximum, so $25,000 comes back. They still pay $37,500 in GST after the rebate.
• Two parents who owned a home until last year buy a new duplex unit at $1.1 million with no first-time buyer among them. They do not qualify for the new rebate, and the price is far above the old rebate's $450,000 cut-off, so the full 5% GST — $55,000 — applies.

The gap between the first case and the third is the whole reason this topic matters. Who is on your purchase, and whether they are truly a first-time buyer, can be worth tens of thousands of dollars.

What this comes down to

• A brand-new multiplex home has 5% GST on the price. A resale home from a private owner normally has none.
• BC is GST-only. There is no HST and no separate provincial sales tax on the purchase, so 5% is the number.
• The old GST New Housing Rebate caps out at $6,300 and vanishes above a $450,000 price, so it rarely helps a Vancouver buyer.
• The new First-Time Home Buyers' GST Rebate can return up to $50,000 — the full GST on a home up to $1 million — for buyers who qualify, then fades out by $1.5 million.
• "First-time" is strict: it looks back four years, counts your spouse's ownership, and is once per lifetime.
• In a pre-sale, check whether the price is "plus GST" or GST-included, expect to settle GST at completion, and know the rebate is often credited by the builder so you pay a net amount.

GST is one of those costs that feels scary until you see how the rebates change the picture — and for a first-time buyer of a home under $1 million, they can change it a lot. If you want help figuring out which rebate applies to your situation and what a new multiplex home would really cost you after tax, get in touch with our team or browse the brand-new multiplex homes we have for sale. We will walk you through the real numbers before you sign anything.

Frequently asked questions

Do I pay GST on a brand-new fourplex unit?

Yes. A brand-new multiplex unit sold by the team that built it is a new home, so the 5% federal GST applies to the price. Depending on the home's price and whether you are a first-time buyer, a rebate may give some or all of it back.

Do I get GST back on a resale multiplex?

There is normally no GST to get back, because a resale home bought from a private owner who lived in it has no GST in the first place. GST mainly applies to the first sale of a brand-new home from its builder, not to used homes.

What is the GST rate on a new home in BC?

It is 5%, the federal Goods and Services Tax. BC does not use the HST, so there is no combined tax and no separate provincial sales tax on the purchase price. Five percent is the whole story on the tax that applies to the price.

What's the rebate on an $800,000 unit?

If you qualify as a first-time buyer, the price is under $1 million, so the new rebate returns 100% of the GST. The GST on $800,000 is $40,000, and the rebate hands all of it back, dropping your GST cost to zero.

How much is the First-Time Home Buyers' GST Rebate?

Up to $50,000. You get 100% of the GST back on a new home priced at $1 million or less. Between $1 million and $1.5 million the rebate shrinks steadily, and at $1.5 million or more it is gone. The figures come from the Government of Canada.

Is GST included in the pre-sale price?

Sometimes yes, sometimes no. Vancouver builders often include GST in the advertised price, but not always. This is the first thing to confirm in your contract. A price "plus GST" is about 5% higher than it looks, so have your lawyer or notary confirm which it is.

What's the rebate on an $800k unit versus a $1.3 million unit?

At $800,000, a qualifying first-time buyer gets the full GST back — the whole $40,000. At $1.3 million, the rebate is partly phased out, so only a slice of the $50,000 maximum comes back and you still owe a meaningful amount of GST.

Who qualifies as a first-time home buyer?

Someone at least 18, a Canadian citizen or permanent resident, who has not owned and lived in a home as their main residence — and whose spouse has not either — in the purchase year or the four years before. It is a once-in-a-lifetime rebate.

Does my spouse's past home ownership affect my rebate?

Yes. The rule looks at your spouse or common-law partner too. If they owned and lived in a home as a main residence in the purchase year or the previous four years, that can block your first-time buyer rebate even if you personally never owned a home.

When do I actually pay the GST on a pre-sale?

Normally at completion — the day you take possession and the title transfers to you — not when you sign the contract. Your deposits go toward the purchase price along the way, and the GST is settled at the end as part of your closing costs.

Is the rebate assigned to the builder?

Often, yes. In many pre-sale deals a qualifying buyer assigns the rebate to the builder, who credits it against your price at closing. That way you pay a lower net amount instead of fronting the full GST and waiting months for the government to refund it.

Does the old GST New Housing Rebate help me in Vancouver?

Usually not. It caps at $6,300 and disappears once a home costs more than $450,000. Brand-new multiplex homes in Vancouver almost always cost far more than that, so this older rebate rarely returns anything to a local buyer.

When did the new first-time buyer rebate start?

It generally applies to purchase agreements signed on or after March 20, 2025 and before 2031, with construction starting before 2031. The law received Royal Assent on March 12, 2026, so the CRA can now process claims for buyers who qualify.

Can two families pooling money still get the rebate?

Possibly, if at least one buyer on the deal is a genuine first-time buyer moving in as their main residence and being the first to live there. A buyer who owned a home recently would not qualify, but a first-time buyer on the same purchase may carry the claim. Confirm with an accountant.

Is this tax advice I can rely on?

No. This is general information to help you understand how GST and the rebates work. Every purchase has its own details, and the rules have fine print. Confirm your specific numbers and eligibility with your lawyer or notary and an accountant before you sign.