How do I qualify for the first-time homebuyer land transfer tax rebate?

There are four prerequisites for receiving the first-time homebuyer land transfer tax rebate in Ontario:

1. The purchaser must be at least 18 years old.

2. The purchaser must occupy the home as their principal residence within nine months of the date of transfer.

3. The purchaser cannot have ever owned an eligible home, or an interest in an eligible home, anywhere in the world, at any time.

4. The purchaser must be a Canadian citizen or permanent resident.

5. If the purchaser has a spouse, the spouse cannot have owned an eligible home, or had any ownership interest in an eligible home, anywhere in the world, while he or she was the purchaser's spouse. If this is the case, no refund is available to either spouse.

If any of the above do not apply to a purchaser, they are not eligible for the land transfer tax rebate.

The maximum available rebate is $4,000. If the purchaser is purchasing the property with another party who does not qualify for the rebate, the amount of the rebate is reduced by the percentage of ownership the qualifying purchaser will not own. For example, if a qualifying purchaser buys property with a parent, and the ownership split is 99% to the qualifying child and 1% to the non-qualifying parent, the child would only receive a rebate of $3,960, being 99% of $4,000.