The federal government has introduced a major new GST tax incentive for first-time home buyers in Canada that could return up to $50,000 when purchasing a newly built home.

For buyers in growing markets like Squamish, this rebate could meaningfully reduce the cost of entering the housing market—especially as new construction becomes a larger part of the local housing supply.

Here’s what buyers need to know.

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What Is the First-Time Home Buyers GST Rebate?

When you purchase a newly built home, the price typically includes GST (5%). The federal government’s new program allows eligible first-time buyers to recover some or all of that tax, depending on the price of the home.

The rebate can cover up to 100% of the GST paid, with a maximum rebate of $50,000.

This applies to:
    •    Newly built homes purchased from a builder
    •    Owner-built homes
    •    Substantially renovated homes

The property must be used as the buyer’s primary residence.

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How Much Could You Receive?

The rebate depends on the purchase price.

Homes priced up to $1,000,000
    •    Eligible buyers can receive 100% of the GST back, up to $50,000.

Homes between $1,000,000 and $1,500,000
    •    The rebate is gradually reduced.

Homes above $1,500,000
    •    No rebate is available.

Example

A buyer purchasing a $1.25 million new home could receive roughly half of the maximum rebate, or about $25,000 back.

That’s a meaningful reduction in the real cost of buying new construction.

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Why This Matters in Squamish

In markets like Squamish, most detached homes exceed $1.5 million, which means the rebate will not apply to many single-family properties.

However, it could significantly benefit buyers purchasing:
    •    New townhomes
    •    New condos
    •    Pre-construction units
    •    Smaller detached homes in new developments

These types of properties are increasingly common in Squamish as the community grows and densifies.

For buyers looking at new developments around areas like Downtown, Valleycliffe, or Garibaldi Estates, University Highlands, Skyridge (Terrain by Polygon) this rebate could offset a substantial portion of the GST typically built into the price.

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Who Qualifies?

To qualify for the rebate:
    •    You must be a first-time home buyer (generally meaning you have not owned and lived in a home within the last five years).
    •    You must be 18 or older.
    •    You must be a Canadian citizen or permanent resident.
    •    The home must be your primary residence.
    •    You must be the first person to live in the home.

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When Does the Program Apply?

The rebate applies to homes where:
    •    The purchase agreement is signed on or after March 20, 2025
    •    The agreement is signed before 2031
    •    Construction is completed before 2036

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How the Rebate Is Applied

In many cases, the builder applies the rebate directly at closing, reducing the amount of tax the buyer pays.

If the builder does not apply it, the buyer can apply to the Canada Revenue Agency directly after the purchase.

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The Bottom Line

For first-time buyers considering new construction, this rebate could reduce the real cost of purchasing a home by tens of thousands of dollars.

While it won’t affect resale homes, it may make new condos and townhomes in Squamish more financially accessible, particularly for buyers entering the market for the first time.

As new developments continue to expand in the Sea-to-Sky corridor, this program could become an important tool for first-time buyers planning their purchase strategy.

For futher details click here for the Governments website.

As always if you have any questions reach out to Mike Jones PREC* of Macdonald Realty in Squamish BC at (604) 815-2143 or mike@mikejonesrealty.com

Link to full newsletter is here

What happened in 2025?

Nationally, real estate had a slow year. Squamish, however, did not. In fact, it experienced a very busy year and was one of the most active real estate markets in Canada. We saw strong upward pressure on entry-level detached homes, as well as homes with suites or suite potential. The townhome segment was healthy, with stable prices, while the condo market—like much of Canada—was slower. That said, unique and sharply priced condos were still selling. Many buyers came from the local market, either moving up or downsizing. We also saw migration from Whistler to Squamish, along with buyers relocating from across Canada and around the world to base themselves in this mountain playground.

The Market Now

I am seeing interest from buyers right now. Last year, I felt there were a lot of listings, and this year I feel like I am seeing buyers return. Buyers, however, are well educated and are either looking for unique, unicorn-style properties or sharp pricing. Squamish remains a place that people want to call home, no matter what the greater market is doing.

What are my predictions for 2026?

I believe that 2026 will be a year much like 2025—the Squamish market will remain active and busy. Sellers who are testing the market with pricing will likely not be successful unless the market experiences a rally due to unforeseen external factors.

Sellers who price their property in line with market norms and carefully prepare their homes to stand out will undoubtedly have success.

For buyers, there will continue to be many options. We will see opportunities and deals in the condo market, so buyers should be prepared to act when these arise. I expect that the townhome market will remain balanced.

Detached homes under $2M will likely continue as a hot segment, especially for beautifully presented homes that are priced correctly. I expect we will continue to see multiple-offer situations in this segment, meaning buyers will need to be organized.

In the over $2M segment, I expect the market to remain balanced. I was involved in almost 10% of all sales in this segment in 2025 (based on MLS data and known off market sales). In every case, these homes were beautiful and represented strong value compared to other segments in Squamish. This segment presents many opportunities right now.

A Thank You...

Thank you to everyone who put their trust in me in 2025. We navigated a unique market, and all of you experienced great success with your purchases and sales—and we had fun along the way.

Final Thoughts

As always, if you have any questions about the market, reach out. It is an interesting time—the world and the market are very dynamic right now. I’m always happy to share insights and to hear your thoughts.

Thank you again to those of you who have recently referred me to your friends and family. It is very much appreciated, and I truly enjoy the opportunity to work with people that I have a connection to. I take these referrals seriously. Please think of me if you know anyone who will be active in the market this year.

Wishing you the best in 2026.

Mike

Is Squamish Real Estate following national trends and entering a buyer’s market? What You Need to Know - Summer 2025.

The Squamish real estate market is showing signs of shifting, and if you’re thinking about buying or selling this summer, you need to understand what could be happening beneath the surface.

From typical seasonal slowdowns and wildfire fears to rising global uncertainty, all signs point to an emerging buyer’s market in Squamish making strategic decisions and bold moves more important than ever.

Seasonal Slowdown… or Something Bigger?

Every summer, the Squamish market typically sees a modest dip in activity as families shift focus to vacations and outdoor living. But this year, the slowdown could be different:

As the summer winds up showings are down across all price bands and modest price reductions are more common, even in hot complexes like Seven Peaks, Eaglewind, Skyridge and Sea and Sky. Inventory is building, especially in the $1M–$1.7M range which has been the most competitive price bracket with the highest demand.

What we’re seeing may not just be summer it could be part of a larger cooling trend driven by buyer fatigue, lingering higher interest rates, broader market forces, global uncertainly and now a recent wildfire.

Global Uncertainty & Local Wildfires: A Double Whammy

The recent wildfire in Squamish, while not ultimately destructive, generated global headlines and raised concerns about long-term climate risk. It's worth noting that the fire was handled well and no damage was done as coastal fires tend to move slower than interior fires do. Remember Mike used to be a professional fire fighter so converstations around fire risk with specific properties is a welcomed discussion.

Geopolitical instability from inflation to conflict is also spooking buyers across BC and beyond.

Together, these factors have created a cautious, even hesitant buyer pool. But that also creates opportunity for those bold enough to act wisely.

Market Snapshot – Mid 2025

According to current data from the Greater Vancouver Realtors (GVR):

Average home price in Squamish: $1,142,000
Days on market: dropping slightly and typically around 10 days for well priced listings
Active listings: 248 (May 2025). Up from 170 in Jan 2025.
Townhomes: High inventory and greater price sensitivity. Average Price = $1,037,500
Detached homes: Stable pricing, but rising inventory. Average Price = $1,678,300        Condos/Appartments: Falling prices, falling demand, rising inventory. Average Price = $632,400

More Market Statistics Here

Translation? Buyers now have time to think, negotiate, and act deliberately - buyers have a slight edge and sellers should prepare for this.

How Mike Jones Gets Listings Sold Anyway.

In a shifting real estate market, your choice of agent matters. In Squamish Mike Jones of Macdonald Realty uses the following strategies:

Here’s why his listings perform even in slower conditions:

📸 -Top-tier marketing: Professional video, drone footage, and striking photography
🛋️ -Staging & prep: Mike understands that first impressions drive offers
📊 -Data-driven pricing: No fluff — just real-time comps and market intel
🤝 -Trust in the community: Mike is known for being hands on, responsive, and easy to work with.

📣 Advice for Sellers

-You must prepare: Declutter, clean, stage, and have great media.
-Price smart: Don't chase the old market. Lean into accurate comparables.
-Act early: If you're going to sell, start preparing now so maximise your results.

Understanding the BC Home Flipping Tax (*Source - BC Real Estate Association BCREA)

As of January 1, 2025, British Columbia has introduced a BC Home Flipping Tax, a measure distinct from the existing federal property flipping tax. This new provincial tax specifically targets short-term property sales and has significant implications for property sellers across the province.

What Is the BC Home Flipping Tax?

The BC Home Flipping Tax applies to income from the sale of residential properties, presale contracts, or assignments that are owned for less than 730 days (two years). The tax aims to deter short-term speculative sales that contribute to housing market volatility.

Key highlights include:

• Applicability:

  • Properties sold on or after January 1, 2025, with less than two years of ownership, are subject to the tax—even if purchased before this date.

  • The tax applies to all individuals, corporations, partnerships, and trusts selling property in BC, regardless of residency.

• Tax Rates:

  • A 20% tax applies to sales within the first 365 days of ownership.

  • The tax gradually decreases over the two-year period and is eliminated after 730 days.

• Exemptions:

  • Certain primary residences may qualify for exemptions, though these are subject to specific conditions and filing requirements.

Why is this tax significant?

Misunderstanding or overlooking the tax could lead to unexpected financial consequences for sellers. Additionally, understanding how the BC tax interacts with the federal flipping tax is crucial for accurate advice.

Resources to Learn More

• BC Government Announcement Video
  Watch this informative video from the BC Government explaining the new tax:

• BC Government Details:
  Visit the BC Government website for a comprehensive breakdown of the new tax, including rates, exemptions, and filing requirements.

• BC Real Estate Association (BCREA):
  For those seeking a deeper dive into the tax and its interaction with the federal property flipping tax, check out the BCREA’s detailed comparison and analysis.

Final Thoughts

The BC Home Flipping Tax marks a significant shift in how short-term property sales are taxed in the province. Staying informed on this new tax is essential when evaluating a potential real estate purchase.