The Honorable Tom Osborne, Minister of Finance and President of Treasury Board, announced a new Residential Construction Rebate Program that will allow homeowners to save money on construction and renovations, while also helping to stimulate the economy and employment in the province’s construction industry. Minister Osborne was joined by CHBA-NL interim CEO, Curtis Mercer.
Homeowners can qualify for the Residential Construction Rebate in one of two ways:
A 25 per cent rebate is available for renovation projects for principal residences, up to a maximum rebate of $10,000 (based on a $40,000 project).
New Home Construction
A rebate of $10,000 is available for new home construction on homes valued up to $350,000 before HST.
The rebate will apply to work on a primary residence contracted within a 60-day period from the start of COVID-19 Alert Level 3, and the project must be substantially complete by March 31, 2021. To qualify, homeowners must use an eligible contractor, which includes those who have general liability insurance and are registered (i.e., HST registered, valid Business Number or Workers Compensation registered).
This $30 million program funding will come from the COVID-19 contingency fund approved through the House of Assembly on March 26, 2020. It is estimated that this program will contribute to economic growth, incomes and employment.
The Department of Finance, via the Canadian Home Builders Association, will begin accepting applications for the Residential Construction Rebate Program beginning on June 8, 2020.
Please see full press release here.