If you are contemplating the purchase of a newly built home, you may want to make your decision soon. Otherwise the purchase could cost you about $7,000 more.
As of Dec. 7, the provincial government’s website indicated that 1,309 applicants were eligible for the New Home Construction Rebate.
This one-time rebate, equivalent to 50 per cent of the provincial portion of the HST, is available to a maximum of 1,500 people who construct their own homes or purchase a newly built home. The rebate is capped at $7,000 and the program ends on March 31, 2010.
To qualify for the rebate, which is only available for homes where the owners live on a permanent basis, the municipal building must be dated on or after Jan. 1, 2009 and construction must be completed, or the purchase transaction closed, by March 31, 2010. According to several builders, it is still possible to commence a house and have it completed by the program deadline. This potential is limited to certain home styles and sizes and requires a building lot that is ready for construction. However, the timelines are short and are now vulnerable to weather delays.
Considering the time constraints associated with the applications, homes that are close to completion or ready for occupancy have become an extremely attractive options for buyers.
A search of mls.ca revealed dozens of new construction homes for sale in HRM. With many of these homes being under $250,000, historically low interest rates, and an extra $1500.00 rebate for first-time buyers, it is a great opportunity to purchase a home. It is not typical for homeownership to be more affordable than renting.
With less than 200 applications available for the New Home Construction Rebate, this prime opportunity to buy will not last long.
– Elias Metlej is a real estate lawyer with the Halifax firm Blois Nickerson & Bryson. You can write to Elias at askelias@yahoo.com
