The Cost of Renovating a House in Ontario: 2026 Guide
Updated October 23, 2026. M Berman Homes, Hamilton, Ontario.
Direct Answer: The cost of renovating a house runs $125 to $175 per square foot for a whole-home renovation and $150 to $260+ for a full gut, before HST, on 2026 national figures. In Ontario, a renovation replacing 90% of the interior that starts by March 31, 2027 may qualify for up to $130,000 in HST relief.
TL;DR
Published 2026 ranges put a standard whole-home renovation at $125 to $175 per square foot and a full gut at $150 to $260 or more, before HST. No Hamilton figure is published.
A renovation that removes or replaces 90% of the interior counts as a substantial renovation, and HST relief of up to $130,000 depends on work starting between April 1, 2026 and March 31, 2027.
Contingency, engineering, permits and unplanned items such as temporary housing sit outside most per square foot figures.
Knob-and-tube wiring isn't illegal to keep in Ontario, but many insurers won't cover it, and remediation in older houses can add 15% to 25%.
Hamilton charges $4.06 per m² for alterations without system changes, and 1% of the work's value where systems change and no floor area is added.
One liner: Scope the house first, check the 90% line and the start date, then price it on a current written estimate.
Key Numbers
Figure | Value | Source |
|---|---|---|
Whole-home renovation | $125 to $175 per sq ft, before tax | RenoQuotes, May 2026 |
Full gut renovation | $150 to $260+ per sq ft | RenoQuotes, May 2026 |
Whole-house renovation, second source | $100 to $300 per sq ft | HomeStars, August 2026 |
HST relief, maximum | $130,000 | Government of Ontario, September 2026 |
Renovation start window for the relief | April 1, 2026 to March 31, 2027 | Canada Revenue Agency, July 2026 |
Substantial renovation test | 90% or more of the interior removed or replaced | Canada Revenue Agency, Bulletin B-092, 2005 |
Remediation in older houses | 15% to 25% extra | RenoQuotes, May 2026 |
Labour share of renovation cost | About 60% | RenoQuotes, May 2026 |
Hamilton alteration permit fee | $4.06 per m² | City of Hamilton By-law 25-008, January 2025 |
Renovation prices, 15 markets | Up 2.3% year over year | Statistics Canada, via Canadian Mortgage Trends, August 2026 |
Renovator confidence, Ontario | 40.1, lowest region | Canadian Home Builders' Association, Spring 2026 |
What is the cost of renovating a house in Ontario?
In short: Published 2026 national ranges put a whole-home renovation at about $100 to $300 per square foot, depending on scope and source. There's no Hamilton series.
The cost of renovating a house depends first on how deep the work goes. RenoQuotes' 2026 guide runs from about $10 per square foot for paint and floors to $260 or more for a full gut. It puts a standard full-home renovation with a kitchen and bathroom at $125 to $175 per square foot, before tax.
Scope | RenoQuotes, May 2026 | HomeStars, August 2026 |
|---|---|---|
Cosmetic: paint, flooring, lighting | $10 to $45 per sq ft | Not given |
Partial: kitchen, bathroom, non-load-bearing walls | $55 to $140 per sq ft | Not given |
Whole-home renovation | $125 to $175 per sq ft | $100 to $300 per sq ft |
Full gut: structure, insulation, wiring, plumbing | $150 to $260+ per sq ft | $200 to $500 per sq ft |
Both sets of figures are national. Neither publisher gives a separate Ontario or Hamilton number, so treat them as a starting range for a house renovation cost, not a quote.
Quick math: a 2,000 square foot house at $125 to $175 per square foot comes to $250,000 to $350,000 before HST. Where a project lands in that spread depends on scope, finishes and what sits behind the walls. Older houses, permits and tax rules can move it in either direction.
Room by room, the spread is as wide.
Room | HomeStars, August 2026 |
|---|---|
Kitchen | $10,000 to $100,000 |
Bathroom | $10,000 to $30,000 |
Basement | $20,000 to $50,000 |
Our whole-home renovations start with a site visit, so the estimate reflects your house instead of a national average.
HST relief on a whole-home renovation: the 90% rule and the March 31, 2027 start
In short: Replace 90% of the interior, start between April 1, 2026 and March 31, 2027, and the HST on the work may come back, up to $130,000.
Under Canada Revenue Agency rules, a renovation that removes or replaces at least 90% of a house's interior counts as a substantial renovation, and the HST on it can be refunded like the tax on a new home. Under Ontario's 2026 relief, the refund can reach $130,000 when the work starts between April 1, 2026 and March 31, 2027.
Most published budgets add HST as a flat 13% on top of the whole home renovation cost. On a deep enough project, that line can come back.
The agency's 90% test looks at the interior. The foundation, exterior walls, supporting walls, floors, roof and staircases don't have to change. Room by room, the walls come down to the studs, or old plaster is covered with new drywall, and the ceiling or floor is replaced too. The physical work decides it, not the amount spent.
Test | Renovation you hire someone to do |
|---|---|
Work begins | April 1, 2026 to March 31, 2027 |
Substantially completed | By December 31, 2029 |
Fair market value at completion | Under $1,850,000 |
Use | Primary home for you or a relation, first to live in it after the work, not rented |
Source: Canada Revenue Agency.
The relief comes in two parts. The Canada Revenue Agency rebates up to $80,000, the provincial 8% of HST, and Ontario adds a payment for the federal 5%. You apply through the agency, with no separate Ontario form.
Home value | Ontario payment for the federal 5% |
|---|---|
$1 million or less | Full 5% paid, up to $50,000 |
$1 million to $1.5 million | $50,000 flat |
$1.5 million to $1.85 million | Partial |
$1.85 million or more | None |
Source: Government of Ontario.
Quick math: on $350,000 of work in a home valued under $1 million, the 13% is $45,500.
Before and after: a new kitchen, patched walls and fresh paint don't qualify, since patching, painting and sanding count as repairs. New drywall and ceilings through 90% of the house can.
Scope should follow what the house needs. If it already calls for opening every wall, the start date matters, and drawings, permits and trades decide when work can begin. Confirm your own case with the Canada Revenue Agency or an accountant.
What a whole house renovation cost covers, and what it leaves out
In short: HST, contingency, engineering, permits and unplanned items usually sit outside a per square foot quote.
A whole house renovation cost quoted per square foot usually prices the work itself. Several lines sit outside it, and they decide whether two quotes can be compared.
Cost line | What the sources say | Why it matters |
|---|---|---|
HST | Published ranges are before tax | 13% on top, unless the relief above applies |
Contingency | A 15% reserve is added to the work | Older houses use more of it |
Engineering | Removing a load-bearing wall needs stamped plans, $2,500 to $4,500 for the engineering alone | Open layouts start here |
Labour | About 60% of total cost, with trades billing $100 to $150 an hour | Schedule changes cost real money |
Permits | Fees vary by city and project type | Hamilton rates are below |
Unplanned items | Structural issues, temporary housing, debris disposal and design changes | Rarely in a first number |
Sources: RenoQuotes and HomeStars.
Quick math: a 15% contingency on $300,000 of work is $45,000. That money isn't wasted if it goes unused, but it has to exist before the walls open.
When you compare quotes, ask each contractor which of these lines their number carries. Our written estimate follows the site visit and sets out materials, timelines and costs, so the gaps show up on paper.
Older and century homes: knob-and-tube, plaster and hidden costs
In short: Knob-and-tube can stay if a licensed electrician keeps it in good shape, but insurers often want it gone, and older houses carry more hidden work.
The age of a house can move a full house renovation cost a long way. In an older house, more of the work sits behind plaster and under floors, out of sight until the walls open.
Knob-and-tube wiring is the classic example, and it carries a lot of myth.
Common belief | What the Electrical Safety Authority says |
|---|---|
It's illegal to keep | Safe if properly maintained by a licensed electrical contractor |
The current code bans it | The 2021 Ontario Electrical Safety Code dropped its installation rules, but the code isn't retroactive |
Anyone can extend it | Electrical work must be done by someone legally allowed to do it in Ontario |
The cost pressure often comes from insurers. Many won't provide or renew coverage on a home with knob-and-tube, and some require it replaced first. The authority recommends an assessment by a licensed electrical contractor before deciding.
RenoQuotes puts the extra remediation for asbestos or outdated wiring at 15% to 25%. Quick math: on $300,000 of work, that's $45,000 to $75,000. Planned at the start, it's a line in the budget. Found halfway through, it's a change order.
Our Mary II whole-home renovation shows how new rooms can sit inside an existing house.
Building permits in Hamilton: when you need one and what it costs
In short: Renovations need a permit from the City. Hamilton's fee is small next to the work, and getting it is the homeowner's job unless the contract says otherwise.
The Government of Ontario says you need a building permit to construct, renovate, demolish or change the use of a building, and you apply to your municipality. Its building officials enforce the 2024 Building Code. Skipping the permit is costly: under the Building Code Act, an individual can be fined up to $50,000 for a first offence.
The permit fee itself is small next to the work. Hamilton sets it by the type of work and the floor area involved.
Work in an existing house | Hamilton permit fee |
|---|---|
Alterations to finished areas, no building systems changed | $4.06 per m² |
Finishing a basement | $4.06 per m² |
Additional dwelling unit inside the house | $515 flat |
No new floor area, systems changed | 1% of the work's value, set by the chief building official |
Minimum fee | $291 |
Source: City of Hamilton By-law 25-008.
Quick math: 2,000 square feet is about 186 m², so an alteration permit with no systems changed comes to about $755. If the chief building official values a wiring and plumbing renovation at $300,000, the fee is $3,000.
Ontario's consumer guidance makes getting the permit the homeowner's responsibility. If your contractor handles it, the contract should say so, and work shouldn't start until you've seen the permit.
Home renovation cost trends in 2026
In short: Statistics Canada shows renovation prices up 2.3% in a year, and renovators say real increases run higher.
Statistics Canada tracks what contractors charge to complete renovation projects, every quarter. Its Ontario coverage is Ottawa, Toronto and London, so there's no Hamilton series.
Measure | Latest reading | Source |
|---|---|---|
Renovation prices, 15 markets | Up 2.3% year over year, Q2 2026 | Statistics Canada, via Canadian Mortgage Trends |
Renovation prices, Toronto | Up 1.0% year over year, down 0.4% on the quarter | Same |
Renovator confidence, Ontario | 40.1, the lowest region, down 6 points | CHBA, Spring 2026 |
Renovation investment, 2026 | Growth likely below 1% | CHBA, Spring 2026 |
Renovators surveyed by the Canadian Home Builders' Association say the index's 3% yearly rise understates their true cost increases. So the home renovation cost on a quote from last year may not hold today. Price the work on a current written estimate.
Contracts, receipts and paying for the work
In short: Get it in writing, keep the deposit small and keep every receipt that shows HST.
Under Ontario law, any renovation contract worth more than $50 has to be in writing. On a whole-home project, that contract is also where the scope, the schedule and the payment terms live.
Protection | What it does | Source |
|---|---|---|
Written contract | Required over $50, and it gives you recourse if work goes wrong | Ontario, CHBA |
Small deposit | Ontario recommends no more than 10%, and never the full amount before the work is done | Ontario |
Receipts with HST | Rebates and tax credits need them, and cash deals lose them | CHBA |
Before and after: a cash discount looks like savings on day one. When the HST claim comes due, there's no invoice to show what you paid.
Energy upgrades can bring money back too. Ontario's Home Renovation Savings Program, run by Save on Energy and Enbridge Gas, offers up to $7,700 for insulation, up to $7,500 for a cold climate air source heat pump and $100 per window or door opening, with $600 back on a home energy assessment.
For financing, CMHC Refinance lets homeowners add a secondary suite, such as a basement or in-law apartment, with insured financing of up to 90% loan-to-value. The property can have up to four units including the existing one, and the suite must be self-contained, meet local bylaws and not be a short-term rental.
Our projects run on a deposit to hold the schedule, then milestone payments as the work progresses.
How to get a firm number for your house
In short: A firm number comes from a site visit and a written estimate, after the wiring and the scope are checked.
Published ranges set expectations. A firm number takes five steps.
List needs and wants. Note how the house works today, what no longer serves you, and which changes matter most.
Check the wiring. In an older house, have a licensed electrical contractor assess it before you set a budget.
Name the scope. If the plan opens 90% of the interior, check the timing against the March 31, 2027 start.
Get a site visit and a written estimate. Ours sets out materials, timelines and costs. It stays valid for 30 days and is reconfirmed if your start moves later.
Put it in the contract. Name who gets the permit, and tie payments to milestones.
We work with your architect or designer, or can connect you with one. The cost of renovating a house comes into focus once someone has walked through it. Book a consultation with Mark at 905-741-5600, or through our contact page.
Frequently Asked Questions
In short: Five quick answers on whole-home budgets, per square foot math, century homes, HST and permits.
What is the average whole home renovation cost in Ontario?
Published 2026 figures are national, not Ontario-specific. RenoQuotes puts a standard whole-home renovation at $125 to $175 per square foot and HomeStars at $100 to $300, both before HST.
How is house renovation cost calculated per square foot?
Multiply the floor area by the rate for your scope, then add contingency and HST. RenoQuotes uses a 15% contingency. At $125 to $175, a 2,000 square foot house comes to $250,000 to $350,000 before tax.
What does a full house renovation cost for a century home?
Start from the full gut range of $150 to $260 or more per square foot, then allow for what's behind the walls. RenoQuotes puts remediation for asbestos or outdated wiring at 15% to 25%.
Can you get the HST back on a whole-home renovation in Ontario?
Yes, if at least 90% of the interior is removed or replaced and work starts between April 1, 2026 and March 31, 2027, under Canada Revenue Agency rules. It must finish by December 31, 2029, be worth under $1,850,000 and be your primary home. Relief reaches $130,000.
Do you need a building permit to renovate a house in Hamilton?
Yes. Ontario requires a permit to construct, renovate, demolish or change the use of a building, issued by your municipality. Getting it is the homeowner's responsibility unless the contract assigns it to the contractor.
Definition Bank
In short: Plain meanings for the terms used in the sections above.
Term | Plain meaning |
|---|---|
Substantial renovation | Removing or replacing 90% or more of a house's interior, other than its structural parts, so the home is treated like a new one for HST. |
Excluded elements | The foundation, exterior walls, interior supporting walls, floors, roof and staircases, which don't have to change for a substantial renovation. |
Ontario Enhanced New Housing Rebate (ENHR) | A Canada Revenue Agency rebate of up to $80,000, the provincial 8% of HST, on a new or substantially renovated home. |
Ontario New Home Affordability Payment (ONHAP) | Ontario's top-up of up to $50,000 for the federal 5% of HST, paid to people eligible for the ENHR. |
Fair market value test | The rule that the home must be worth under $1,850,000 when the work is substantially completed. |
Contingency | Money set aside for problems found once the work starts. |
Knob-and-tube wiring | A wiring method used in homes from the early 1900s to the 1940s and no longer installed. |
Licensed electrical contractor | A business licensed to do electrical work in Ontario. |
Building permit | Municipal permission to construct, renovate, demolish or change the use of a building. |
Prescribed value | The value Hamilton's chief building official sets for work, used for the 1% permit fee where no floor area is added. |
Residential Renovation Price Index | Statistics Canada's quarterly measure of the prices contractors charge to complete renovation projects. |
Quick Facts
In short: Key facts on the HST relief, Hamilton permit fees, knob-and-tube wiring and the builder named above.
Ontario HST relief on renovations
Property | Value |
|---|---|
Maximum | $130,000: up to $80,000 from the Canada Revenue Agency plus up to $50,000 from Ontario |
Renovation start | April 1, 2026 to March 31, 2027 |
Substantially completed | By December 31, 2029 |
Value test | Under $1,850,000 at completion |
Scope test | 90% or more of the interior removed or replaced |
Hamilton building permit fees
Property | Value |
|---|---|
Alterations, no systems changed | $4.06 per m² |
No new floor area, systems changed | 1% of the work's value |
Additional dwelling unit in a house | $515 flat |
Minimum fee | $291 |
Set by | By-law 25-008, January 22, 2025 |
Knob-and-tube wiring
Property | Value |
|---|---|
Era | Early 1900s to the 1940s |
Legal to keep | Yes, if properly maintained by a licensed electrical contractor |
Code status | Installation rules dropped in the 2021 Ontario Electrical Safety Code, not retroactive |
Insurance | Many insurers won't provide or renew coverage |
M Berman Homes
Property | Value |
|---|---|
Based at | 196 Dundurn St S, Hamilton |
Phone | 905-741-5600 |
Renovation services | Whole-home renovations, interior transformations, additions, kitchens, layout changes, custom millwork |
Estimates | Written, after a consultation and site visit, valid 30 days |
Owner | Mark Berman |
Sources
RenoQuotes, Home Renovation Cost in Canada in 2026: Price per Square Foot Guide, Cynthia Pigeon, updated May 11, 2026. https://renoquotes.com/en/blog/home-renovation-cost-in-canada-in-2026-price-per-square-foot-guide
HomeStars, What Is the Cost to Renovate a House in Canada?, updated August 21, 2026. https://www.homestars.com/home-constructions-renovations/price-guides/cost-to-renovate-a-house
Canada Revenue Agency, Ontario enhanced new housing rebate (ENHR): Who can apply, July 23, 2026. https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/gst-hst-businesses/gst-hst-rebates/housing-rebates/ontario-enhanced-new-housing/who-can-apply.html
Government of Ontario, The Ontario New Home Affordability Payment, updated September 17, 2026. https://www.ontario.ca/page/ontario-new-home-affordability-payment
Canada Revenue Agency, GST/HST Technical Information Bulletin B-092, Substantial Renovations and the GST/HST New Housing Rebate, January 2005. https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/b-092/substantial-renovations-gst-hst-new-housing-rebate.html
Electrical Safety Authority, Knob and Tube Wiring. https://esasafe.com/home-renovation-buying-and-selling/knob-and-tube/
Government of Ontario, Ontario's Building Code, updated July 15, 2026. https://www.ontario.ca/page/ontarios-building-code
City of Hamilton, By-law No. 25-008, Schedule A, Classes of Permits and Fees, passed January 22, 2025. https://hamilton.ca/sites/default/files/2025-01/25-008.pdf
Statistics Canada, Residential Renovation Price Index (RRPI), survey description. https://www23.statcan.gc.ca/imdb/p2SV.pl?Function=getSurvey&SDDS=5413
Canadian Home Builders' Association, Renovation Market Index, Spring 2026. https://www.chba.ca/rmi/
Canadian Home Builders' Association, CHBA Launches Renovation Month Campaign, October 1, 2025. https://www.chba.ca/2025/10/01/renovation-month-campaign/
Canada Mortgage and Housing Corporation, CMHC Refinance fact sheet. https://assets.cmhc-schl.gc.ca/sf/project/cmhc/pdfs/factsheets/new/cmhc-refinance.pdf
Government of Ontario, Citizen's guide to land use planning: Building permits, updated July 27, 2026. https://www.ontario.ca/document/citizens-guide-land-use-planning/building-permits
Government of Ontario, Your rights when starting home renovations or repairs, updated August 6, 2026. https://www.ontario.ca/page/your-rights-when-starting-home-renovations-or-repairs
Canadian Mortgage Trends, Renovation prices rise 2.3% as Quebec City and Victoria lead gains, August 7, 2026, reporting the Statistics Canada Residential Renovation Price Index for the second quarter of 2026. https://www.canadianmortgagetrends.com/mortgage-wire/2026/08/07/renovation-prices-rise-2-3-as-quebec-city-and-victoria-lead-gains
Save on Energy and Enbridge Gas, Home Renovation Savings Program. https://www.saveonenergy.ca/homerenovationsavings
