WATERPROOFING BASEMENTS SINCE 1995

Government Rebates for Basement Waterproofing in Ontario 2026

How Much Can You Get Back on Basement Waterproofing in Ontario?

If you live in the Greater Toronto Area or Hamilton, there’s a good chance your municipality will pay for a significant portion of your flood protection work. These aren’t discounts or promotional offers — they are government-funded grant programs designed to reduce the growing cost of basement flooding across Ontario. The programs exist because flooded basements cost municipalities millions in emergency response, insurance claims, and infrastructure repairs. Helping homeowners protect their own properties is cheaper for everyone.

Most programs cover the installation of three specific devices:

  • Backwater valves — prevent sewage from backing up into your basement during heavy rain
  • Sump pumps — collect and remove groundwater that builds up around your foundation
  • Downspout disconnection / weeping tile capping — stops stormwater from entering the city sewer and causing overloads

The rebate amount, eligibility rules, and application process vary by municipality. Below is what’s available in each area Direct Waterproofing serves, current as of 2026.


Rebates by Municipality

Toronto — Basement Flooding Protection Subsidy Program

The City of Toronto has one of the most generous flood protection programs in Canada. As of 2026, the program offers up to $3,400 per property (with a proposed increase to $6,650 pending City Council approval, targeted for May 2026).

Work Subsidy Rate Maximum
Backwater valve installation Up to 80% of cost Up to $1,250
Sump pump installation Up to 80% of cost Up to $1,750
Foundation drain pipe severance & capping Up to 80% of cost Up to $400
Sump pump battery backup (proposed 2026) Flat subsidy $300

Eligibility: Single-family, duplex, triplex, or fourplex residential homes. Home must not be under construction. Work must be completed by a contractor holding a valid City of Toronto business licence. A building permit is required for backwater valve installation, which must pass City inspection before you apply.

How to apply: Apply online through the City of Toronto after installation and inspection are complete. Processing takes up to 10 weeks.

City of Toronto — Basement Flooding Protection Subsidy Program


Hamilton — Residential Protective Plumbing Program (3P)

Hamilton’s 3P Program offers a grant of up to $2,000 for eligible single-family homeowners. An additional low-interest loan of up to $2,000 is also available for costs that exceed the grant.

Work Maximum Grant
Backwater valve installation Up to $2,000 (combined total)
New sump pump + pit (with backwater valve) Included in $2,000 total
Downspout disconnection $75 per downspout

Important: To qualify for the full $2,000, you must use a contractor from the City of Hamilton’s pre-approved list. Using a non-listed contractor limits your maximum grant to $500. Direct Waterproofing holds the required Hamilton Plumbing Contractor & Basement Waterproofing Licence (27-000133).

Eligibility: Owner of a single-family residential home connected to the City of Hamilton sewer system. Home must have been built before January 1, 2012. Property taxes must be up to date. Covers Waterdown, Ancaster, Stoney Creek, Flamborough, and all Hamilton wards.

How to apply: Call City of Hamilton Customer Service at 905-546-4426 to receive a Service Request Number before work begins. Obtain three contractor quotes, submit them for approval, then complete the work within six months of receiving your confirmation letter.

City of Hamilton — Protective Plumbing Program


Mississauga — Basement Flooding Prevention Rebate + Peel Region Backwater Valve Rebate

Mississauga homeowners can access two separate programs that can be stacked:

1. City of Mississauga — Basement Flooding Prevention Rebate

Up to $7,500 for eligible flood prevention measures including sump pump installation, downspout disconnection, and storm lateral backwater valve. All measures require pre-approval by the City before work begins (mandatory as of February 12, 2025).

2. Region of Peel — Sanitary Backwater Valve Rebate

Up to $1,500 for installation of a sanitary backwater valve on the main sewer line. This is a separate rebate from the City program and can be claimed in addition to it.

Eligibility: Registered owner of a detached, semi-detached, duplex, or townhouse within Mississauga. Must not have received a sump pump rebate in the last 10 years. All work must be done by a contractor with a valid City of Mississauga business licence.

City of Mississauga — Apply for a Basement Flooding Prevention Rebate
Region of Peel — Backwater Valve Rebate


Brampton & Caledon — Region of Peel Backwater Valve Rebate

Brampton and Caledon homeowners are covered under the Region of Peel Sanitary Backwater Valve Rebate, offering up to $1,500 toward installation of a sanitary backwater valve.

Eligibility: Must not have previously received a backwater valve rebate from Peel Region. All downspouts must be disconnected from the sewer system (or a signed waiver submitted). Backwater valve must pass municipal building inspection.

How to apply: Complete the rebate application form and mail to: Backwater Valve Rebate Program, 2 Copper Road, Brampton, ON L6T 4W5. Processing takes 4–6 weeks after approval.

Region of Peel — Backwater Valve Rebate


Burlington, Oakville & Milton — Halton Region Enhanced Basement Flooding Prevention Subsidy

Halton Region updated its program in September 2025 with significantly higher amounts. Eligible homeowners in Burlington, Oakville, Milton, and Halton Hills can now receive:

Work Subsidy Maximum
Backwater valve installation 50% of cost Up to $1,600
Weeping tile disconnection + sump pump Available Up to applicable limits
Sewer lateral lining or repair 50% of cost Up to $2,000

Eligibility: Single-family residential property in Halton Region. Backwater valve must be installed inside the home. Contractor must confirm in writing that weeping tile is not connected to the sanitary sewer. Building permit and municipal inspection required.

How to apply: Submit completed application and waiver to: basementfloodingsubsidy@halton.ca or mail to Halton Region Public Works, 1179 Bronte Road, Oakville, ON L6M 4G3.

Halton Region — Enhanced Basement Flooding Prevention Subsidy


Markham — Private Plumbing Protection Rebate Program

Markham offers one of the most generous city-level rebates in the GTA, with subsidies ranging from $1,750 to $5,000 depending on the measures installed.

Work Maximum Subsidy
Backwater valve (indoor, sanitary lateral) $1,750
Backwater valve (indoor, storm lateral) $1,750
Backwater valve (outdoor, storm lateral) $2,000
Weeping tile disconnection + sump pump $5,000
Sewer or storm lateral lining / repair $2,500

Retroactive rebates are available for qualifying installations made after May 1, 2017.

City of Markham — Private Plumbing Protection Rebate


Richmond Hill — Backwater Valve Subsidy Program

Richmond Hill offers up to $1,500 toward backwater valve installation for eligible single-family, duplex, or triplex residential properties. Subsidies are subject to available funding and allocated on a first-come, first-served basis.

Eligibility: All work must be carried out by a contractor licensed by the Ontario College of Trades. Installation must be completed before applying.

City of Richmond Hill — Backwater Valve Subsidy Program


Newmarket — Sanitary Backwater Valve Subsidy Program

Newmarket offers up to $500 toward backwater valve installation for homeowners in areas identified as flood-prone. The program is first-come, first-served and administered through the Town of Newmarket Building Department.

Town of Newmarket — Backwater Valve Program


Vaughan — Backwater Valve Subsidy Program

Vaughan homeowners may be eligible for a backwater valve installation subsidy. Eligible properties must have plumbing fixtures located below the top of the first upstream manhole on the street. Contact the City of Vaughan’s Building Department to confirm eligibility for your specific address.

City of Vaughan — Building Department


Quick Comparison: What You Can Get in 2026

Municipality Max Rebate Program
Markham Up to $5,000 Private Plumbing Protection Rebate
Mississauga Up to $7,500 + $1,500 (Peel) Two stackable programs
Halton Region (Burlington, Oakville, Milton) Up to $8,175 total Enhanced Basement Flooding Prevention Subsidy
Toronto Up to $3,400 (proposed $6,650 in 2026) Basement Flooding Protection Subsidy Program
Hamilton (incl. Waterdown, Ancaster, Stoney Creek) Up to $2,000 grant + $2,000 loan Residential Protective Plumbing Program (3P)
Brampton / Caledon Up to $1,500 Region of Peel Backwater Valve Rebate
Richmond Hill Up to $1,500 Backwater Valve Subsidy Program
Vaughan Varies Backwater Valve Subsidy Program
Newmarket Up to $500 Sanitary Backwater Valve Subsidy

All amounts are subject to available municipal funding and can change without notice. Always confirm current amounts and eligibility directly with your municipality before starting work.


What Qualifies for a Rebate?

Almost all programs cover the same three core installations. Here’s what each one does and why municipalities fund them:

Backwater valve — installed on your main sewer line in the basement, it prevents sewage from reversing into your home during storms when the city’s sewer becomes overloaded. It is a one-way gate: water flows out normally, but cannot flow back in. Required by Ontario Building Code for all new homes with basement plumbing.

Sump pump — collects groundwater that accumulates in a pit at the lowest point of your basement and pumps it away from the foundation. Especially important for homes where weeping tile has been disconnected from the city storm sewer (which is now required in many areas).

Weeping tile disconnection / foundation drain capping — severs the connection between your home’s perimeter drainage pipe and the city’s sewer system. This reduces the volume of water entering the municipal system during storms and directs groundwater to the sump pump instead.


What Does NOT Qualify

It’s equally important to know what these programs don’t cover:

  • Full basement waterproofing (interior membrane, exterior excavation)
  • Foundation crack repair
  • Window well installation
  • French drain installation
  • Replacing existing sump pumps (most programs cover new installations only)
  • DIY installations — a licensed contractor is required in every program
  • Work started before receiving program approval (Hamilton and some others require pre-approval)

How Direct Waterproofing Helps You Through the Process

Applying for a municipal rebate sounds straightforward. In practice, a rejected application usually comes down to one of four things: missing documentation, a non-compliant contractor, a permit that wasn’t obtained, or an invoice that wasn’t properly itemized. We’ve seen homeowners lose their full rebate over paperwork issues that could have been avoided.

Here’s how we handle it:

1. We check your eligibility first. Before we quote, we confirm which programs apply to your municipality, whether your property qualifies, and whether pre-approval is required. We don’t start work until you know exactly what you’re entitled to.

2. We hold the licences required for every program. Municipal rebate programs require contractors to hold specific licences. We are licensed in Hamilton (Licence 27-000133), Toronto, Mississauga, and across the GTA. You won’t lose your rebate because of a contractor licensing issue.

3. We obtain all permits. Backwater valve installations require a building permit in every municipality. We apply for the permit, schedule the required inspection, and ensure the work passes. A failed inspection means no rebate.

4. We give you the right invoice. Every program specifies exactly what the invoice must show — itemized labour, materials, permit fees, taxes, contractor licence number, and a “paid in full” confirmation. We provide this as standard on every job.

5. We guide you through the application. For programs that require you to submit the application yourself (such as Toronto and Hamilton), we walk you through every step and provide all supporting documentation. For pre-approval programs, we help you initiate the process before work starts.


Important Notes for 2026

  • Toronto’s enhanced program: The City of Toronto has proposed increasing the maximum subsidy from $3,400 to $6,650, with a target effective date of May 1, 2026. If you’re planning a Toronto installation, contact us to discuss timing and which program structure applies.
  • Mississauga pre-approval: As of February 12, 2025, all Mississauga flood prevention measures must be pre-approved by the City before work begins. Retroactive applications are no longer accepted for new work.
  • All programs are first-come, first-served and funded annually. Programs can be paused or closed once funding is exhausted. If you’re considering a rebate-eligible installation, applying early in the year is recommended.
  • Rebates are not tax credits. They are grants or subsidies paid directly to the homeowner after work is completed and documentation is submitted. They do not affect your taxable income.

Ready to Find Out What You Qualify For?

Call us at 416-454-7575 or request a free estimate below. We’ll confirm which rebate programs apply to your address, check your eligibility, and walk you through every step — from the first inspection to the cheque in your mailbox.


This page was last reviewed and updated in April 2026. Rebate amounts and program terms are set by municipal governments and can change at any time. Always verify current program details directly with your municipality before proceeding with work.

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