Parliamentarians set to end the year by giving more bad news to prospective homebuyers as GST rebate still not passed
DECEMBER 11, 2025 – OTTAWA, ON – Homebuyers wishing to get GST relief to move forward and buy a new home in the new year will instead be let down by a government professing to be concerned with affordability. Parliament is set to rise for winter break, once again having missed many opportunities to prioritize passing Bill C-4, which contains the long-promised GST rebate for new homes. The lack of action is keeping would-be buyers on the sidelines, amplifying Canada’s housing supply crisis, and further hurting a struggling home building industry.
“Parliamentarians claim to be concerned about housing affordability, yet when given the opportunity to make the passage of Bill C-4 a priority, they have chosen to get sidestepped with procedural delays for months,” said CHBA CEO Kevin Lee. “Announcing this policy in March, and still not having it in place ten months later, has been a disaster for Canadians hoping to buy a home, and for the industry, which has seen sales all but dry up in many parts of the country. This legislation needs to be passed immediately, and all parliamentarians should be making this a priority before the House rises for the year-end break.”
The slow implementation of the GST rebate is keeping both prospective buyers and those looking to renovate to create additional housing units on the sidelines. Although it was supposed to be effective as of May 27, 2025, because Bill C-4 still has not passed, Canadians cannot access the rebate. This has kept buyers out of the market as they await certainty that they can benefit. Further, if the House rises for the year before Bill C-4 is passed, implementation will be delayed until at least February—a delay Canadians and the industry can ill afford. The consequence of this parliamentary delay has been less housing being built, which is further increasing the housing supply gap and adding more housing challenges in many regions that are already suffering tremendously, especially in Ontario and B.C. Layoffs have now been occurring for months: CHBA’s Housing Market Index shows that nationally, 41 percent of industry members have laid off workers, and that layoff number jumps to 64% in Ontario, where the market is the worst.
Given the housing supply shortage, this measure should also be extended to all buyers of new homes, and to renovations that create added housing units, such as additional dwelling units (ADUs) or secondary suites. Extending the GST relief would help create the variety of housing types that Canada needs, including for seniors who want to downsize, which frees up family-oriented housing, and for Canadians with growing families who want to move to their next home, which frees up entry-level homes for first-time buyers.
“All Parliamentarians must step up, put politics aside, and get this legislation passed immediately. Canadians cannot afford further delays – addressing Canada’s housing affordability and supply challenges is too important to not make this legislation a top priority,” concluded Lee.
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MEDIA INQUIRIES
Journalists wishing to interview Kevin Lee, Chief Executive Officer of the Canadian Home Builders’ Association are encouraged to submit their request by email to media@chba.ca.
About the Canadian Home Builders’ Association
The Canadian Home Builders’ Association (CHBA) is the voice of the residential construction industry in Canada, representing some 8,500 member firms across the country. Our membership spans new home builders, renovators, developers, trade contractors, building material manufacturers and suppliers, lenders, and other professionals in the housing sector.