These new policies are redefining the rules of the game for developers and buyers alike, creating unprecedented opportunities in a rapidly changing market.
The Canada Houses initiative: a good catalyst
The launch of the initiative in September 2025 Canada Homes by Prime Minister Carney is the largest government commitment to residential construction in decades. With initial funding of $13 billion, this program specifically targets Quebec among the six priority cities, including Montreal and Quebec as strategic markets.
The program calls for the construction of 4,000 prefabricated homes in these target markets, with the potential to expand to 45,000 units using available federal land. For Quebec developers, this initiative represents a unique opportunity to access public land under privileged conditions, while benefiting from substantial financial support for their projects.
The elimination of the GST: a big boost
One of metrics The most impacting on the Quebec market is the elimination of the GST for first-time buyers of new properties. This policy removes up to $50,000 in taxes for eligible purchases, fundamentally transforming the accessibility equation for young Quebec buyers.
According to the data from PwC Canada, this measure applies to the vast majority of new residential projects in Quebec, where prices generally remain under the $1.5 million threshold. The impact is particularly significant in Montreal, where the reference price of $572,500 in August 2025 allows first-time buyers to save substantially on their acquisition.
The Fund to Accelerate Housing Construction: a ferocious stimulus
The Fund to accelerate housing construction signed 179 agreements worth $4.4 billion across Canada, facilitating the construction of more than 750,000 homes over the next decade. In Quebec, several municipalities have received targeted funding.
These structural changes confirm that 2025 marks a decisive turning point for new residential real estate in Quebec, offering exceptional opportunities to players well positioned to capitalize on these new government efforts.
