If you’ve been dreaming of homeownership but feel sidelined by rising costs, the Quebec government has just delivered some much-needed relief. Starting January 1, 2026, first-time homebuyers can receive a refundable tax credit of up to $5,875 to help offset the cost of the "welcome tax" (land transfer duties).

At Team Broady, we know that saving for a down payment is only half the battle. Closing costs, especially the welcome tax, can be a significant hurdle. This new initiative is designed to put money back in your pocket when you need it most.The program is structured to provide the most benefit to those buying entry-level or mid-range homes. The credit is calculated based on the transfer duties you pay to your municipality:

100% Refund: Full refund on the first $5,000 of transfer duties paid.

Bonus Credit: Claim 25% of any remaining duties, up to an additional $875.

The Cap: This brings the maximum total refund to $5,875 per household.

To qualify for this rebate, you must meet a few specific criteria:

First-Time Status: You (and your spouse, if applicable) must not have owned a principal residence in the current year or the four preceding calendar years

.Property Value: The full credit applies to homes under $750,000. For properties priced between $750,000 and $1,000,000, the credit is gradually reduced. Homes valued at $1 million or more are not eligible.

Timing: The purchase must be made on or after January 1, 2026

.It is important to remember that you still need to pay the welcome tax upfront to your municipality when you buy your home. The refund is delivered as a refundable tax credit claimed on your Quebec income tax return.

This refund is a powerful tool to use alongside other existing programs, such as the federal Home Buyers’ Plan (HBP) and the Tax-Free First-Home Savings Account (FHSA).

Navigating the Montreal real estate market requires more than just a search filter; it requires a strategy. Whether you are wondering if a specific property qualifies for the refund or you need help finding the right home, we are here to help.

Ready to make your move in 2026? Contact Team Broady today at 514-613-2988 or email us at info@teambroady.ca.