Poilievre's Conservatives to axe GST on new homes up to $1.3M | Daily Hive

Poilievre's Conservatives promise to axe GST on all new home sales up to $1.3 million

Conservative Party of Canada leader Pierre Poilievre. (CPAC)

On the federal election campaign trail today, Conservative Party of Canada leader Pierre Poilievre announced that, if elected, he would remove the five per cent federal Goods and Sales Tax (GST) on all newly built home purchases under $1.3 million.

This builds on Poilievre’s initial proposal in October 2024 of removing the GST applied on home sales up to $1 million for newly built homes.

The Conservative leader’s revised proposal appears to be a direct response to a similar proposal by Liberal Party of Canada leader Mark Carney, announced last Thursday, to cancel the GST on newly built or substantially renovated homes up to $1 million. Additionally, the Liberals’ policy would only apply to first-time homebuyers.

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Carney’s proposal would save first-time homebuyers up to $50,000, while Poilievre’s revised proposal would save all homebuyers up to $65,000.

However, Poilievre says an increased ceiling of a $1.3 million home price is necessary, given that the benchmark housing prices in Metro Vancouver and Greater Toronto have escalated to over $1 million in recent years.

For example, according to Greater Vancouver Realtors, in February 2025, the benchmark price for a single-family house was $1.86 million in Vancouver East and $3.46 million in Vancouver West. Townhouse benchmark prices were $1.16 million in Vancouver East and $1.49 million in Vancouver West, while condominium benchmark prices were $691,000 in Vancouver East and $840,000 in Vancouver West.

In contrast, according to the Calgary Real Estate Board, the February 2025 benchmark prices in Calgary were $761,000 for a single-family detached house, $684,000 for a semi-detached house, $447,000 for a rowhouse/townhouse, and $334,000 for a condominium.

“The choice facing Canadians: do the Carney Liberals deserve a fourth term after they doubled housing costs and made Canada poorer and weaker, or is it time to elect a new Conservative government that will build homes and put Canada First – for a change,” said Poilievre today.

“Under my plan, it will be easier for a young couple in Surrey, a single mom in Oshawa, and a tradesman in Regina to get on the housing ladder, just like their parents did.”

According to Poilievre, his version of the GST cuts on new home sales would save homebuyers up to approximately $3,000 in annual mortgage payments and catalyze the construction of 36,000 additional new homes annually due to increased demand.

The new construction will raise an additional $2.5 billion in income tax revenue for construction workers and builders. The tax cut would be funded by eliminating $8 billion of existing “bureaucratic housing schemes” by the Liberals, and incentivize municipal governments to free up land, speed up permits, and cut development charges to build 15 per cent more homes each year.

The federal election is scheduled for Monday, April 28, 2025.

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