The short version
Last updated: November 7, 2026. A budget is a set of proposals — most measures still need legislation, and details can change before anything becomes law.
- Buying: the insured-mortgage price cap rises from $1 million to $1.5 million, with 30-year amortizations for first-time buyers and newly built homes. Mortgage insurance is extended to 3- and 4-unit homes from February 1, 2027.
- New homes in Ontario: up to $130,000 in HST relief for eligible new homes up to $1 million — but the old $24,000 rebate ends for agreements signed on or after April 1, 2027.
- Retirement: Ottawa proposes an “RRSP for life” — no forced RRSP-to-RRIF conversion at 71. It is a consultation only, with comments due January 8, 2027, and no start date set.
- What did not change: no TFSA or RRSP contribution-limit changes were announced, and no changes to Old Age Security or the Guaranteed Income Supplement were announced in the federal budget.
Federal Budget 2026 — November 5, 2026
Tabled by Finance Minister François-Philippe Champagne, titled “Masters of our destiny.” The budget proposes about $142.1 billion in new measures over five years, with a projected 2026–27 deficit of $62.3 billion, falling to $52.9 billion by 2030–31.
For home buyers
- Insured mortgage cap $1M → $1.5M: optional mortgage insurance is available on homes up to $1.5 million, once regulations are in place.
- 30-year amortization: on insured mortgages where at least one borrower is a first-time buyer or the home is newly built.
- 3- and 4-unit homes: mortgage insurance extended to these “missing middle” homes from February 1, 2027.
- Rate transparency: new rules so the Bank of Canada publishes more information on insured mortgage rates, to make comparing offers easier. The CRA could also confirm a borrower’s income directly with lenders.
- Foreign buyers: the ban on foreign purchases of existing residential property is extended to January 1, 2029. New homes remain exempt.
For retirees & savers
- RRSP for life (proposal): merge the main features of RRSPs and RRIFs into one account, so there is no forced conversion at 71. People over 71 would still take minimum withdrawals each year, at unchanged minimums.
- Consultation only: the government is asking for written comments until January 8, 2027. No implementation date has been announced.
- Canada Strong Notes: a new principal-protected investment planned for early 2027, linked to the $25 billion Canada Strong Fund.
- No limit changes: nothing announced on TFSA or RRSP contribution limits.
For housing supply, Build Canada Homes receives an additional $13 billion, bringing its total to $45 billion with a goal of 200,000 homes. Ottawa also plans to renew the Canada Housing Benefit for another decade ($5.6 billion in monthly rental assistance for eligible low-income households) and $6.5 billion over 10 years for Reaching Home and the Veterans Homelessness Program.
Ontario Fall Economic Statement — October 29, 2026
Delivered by Finance Minister Peter Bethlenfalvy, titled “2026 Ontario Economic Outlook and Fiscal Review: A Plan to Protect Ontario.” The province estimates a $16.9 billion deficit for 2026–27. It does not introduce major changes to personal tax measures — the housing items below are the ones that matter for buyers and builders.
HST relief on new homes — up to $130,000
- Temporary relief equal to the full 13% HST on eligible new homes valued up to $1 million, for builder agreements entered into between April 1, 2026 and March 31, 2027.
- Up to $80,000 on the 8% provincial portion (enhanced new housing rebate / enhanced new residential rental property rebate) plus up to $50,000 top-up on the 5% federal portion (Ontario New Home Affordability Payment, expected to begin in early 2027).
- Combined relief is capped at $130,000, with that maximum maintained for eligible homes valued above $1 million and up to $1.5 million.
The $24,000 rebate is ending — watch the date
- Ontario is eliminating the New Housing Rebate and New Residential Rental Property Rebate — currently up to $24,000 (75% of the provincial HST on the first $400,000) — for new purchases and transactions beginning on or after April 1, 2027.
- You keep it if: your agreement of purchase and sale is entered into on or before March 31, 2027, or construction / substantial renovation begins on or before March 31, 2027, and tax becomes payable no later than December 31, 2035.
- Eligible first-time buyers can still receive full HST relief on qualifying new homes valued up to $1 million through the separate federal and Ontario first-time homebuyer programs.
Also in the Fall Statement: Ontario will parallel the federal Productivity Mega Deduction — a 100% immediate write-off for most depreciable property purchased on or after September 15, 2026 — and the Ontario Electricity Rebate will be capped at 1,200 kWh per month for residential customers, effective May 1, 2027. The province-wide property reassessment continues to be deferred, with no date given.
What it means in Stouffville
- First-time buyers: a $1.5M insured cap and 30-year amortization widen the homes you can buy with less than 20% down — but check the March 31, 2027 HST dates if you are buying new.
- New-build buyers: the $130,000 HST relief window is time-limited. An agreement signed after March 31, 2027 loses the old $24,000 rebate too.
- Investors / small landlords: 3- and 4-unit homes become insurable from February 1, 2027 — that is the “missing middle” the budget is aiming at.
- Sellers: more buyers qualifying at higher prices helps demand, but only once the rules are actually in force — do not price on a proposal.
What it means for retirees
- RRSP for life is not law yet. If you turn 71 soon, plan on the current rule — convert to a RRIF by year-end — until the consultation finishes and legislation passes.
- Minimum withdrawals after 71 would stay the same under the proposal, so it changes the account, not the income you must take.
- Talk to your accountant before changing a withdrawal plan on the strength of a budget proposal.
Frequently asked questions
Is RRSP-for-life in effect now?
No. It is a consultation, with submissions due January 8, 2027, and no start date announced. The forced RRSP-to-RRIF conversion at 71 still applies until legislation changes it.
Can I buy a $1.4M home with mortgage insurance now?
Not yet — the $1.5M cap needs regulations first. The $1M cap still applies until then, so confirm the current cap with your lender or mortgage broker before you offer.
What is the March 31, 2027 date I keep hearing?
That is the Ontario HST cut-off. Agreements with a builder signed by March 31, 2027 keep the existing $24,000 rebate (and qualify for the enhanced $130,000 relief); agreements signed on or after April 1, 2027 generally lose the $24,000 rebate.
General information only, not financial, tax or legal advice. Budget measures are proposals until legislation passes, and details can change. Talk to a licensed mortgage broker, accountant or lawyer for advice specific to you. Sources: federal Budget 2026 summaries, Ontario 2026 Fall Economic Statement summaries — see links below.
Sources: Budget 2026 Canada: Who Benefits and What Changes · Budget 2026 Proposals and What They Mean For Your Finances · 2026 Ontario Fall Statement — Crowe BGK · Ontario Fall Economic Statement 2026 — Doane Grant Thornton
What does the budget mean for your home?
Send me your property and your plans — buying, selling, or holding — and I will run it through what actually changed, no obligation, no jargon.
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