500 plain-language Q&As about Ontario real estate. Browse below, or search the whole library.
Adding a spouse to title involves registering a transfer at the Land Registry Office that conveys either a half-interest or a full joint tenancy to…
Read the full answer →The adjustment date is the date from which the statement of adjustments divides financial obligations between the buyer and the seller. In most Ontario…
Read the full answer →Adverse possession — sometimes called squatter's rights — is a legal doctrine that allowed a person who openly occupied someone else's land for a long…
Read the full answer →Adverse possession is a legal doctrine that can allow someone who occupies land openly, continuously, and without permission — for at least ten years —…
Read the full answer →Yes, the agreement of purchase and sale (APS) governs what adjustments are made on the statement of adjustments. The standard Ontario APS form includes…
Read the full answer →No. Commission rates in Ontario are not set or regulated by law, by RECO, or by the Toronto Regional Real Estate Board or any other board. There is no…
Read the full answer →Yes. In Ontario, real estate commissions are a taxable supply for HST purposes. When a brokerage charges you a commission on the sale of your home, HST…
Read the full answer →Whether you remain liable after an assignment depends on the language of the original purchase agreement with the builder and the terms of the…
Read the full answer →Whether a builder can refuse to consent to your assignment depends entirely on the terms of your original purchase agreement. If the agreement gives…
Read the full answer →When you buy a condo assignment, you inherit the original purchaser's position under the purchase agreement — including all the closing date risks that…
Read the full answer →The deposit structure in an assignment transaction is more complex than a standard new-construction purchase. The original buyer (assignor) has already…
Read the full answer →Financing a condo assignment purchase is more complicated than obtaining a mortgage for a standard new-build or resale property, and some lenders will…
Read the full answer →The HST treatment of a condo assignment sale is one of the most important and commonly misunderstood issues in Ontario real estate. The Canada Revenue…
Read the full answer →An assignment occurs when the original buyer of a pre-construction condominium (the "assignor") sells their rights under the purchase agreement to a…
Read the full answer →Buying a condo assignment is riskier than buying directly from a builder because you inherit the original buyer's position with less protection. Before…
Read the full answer →If the original purchaser of a new-construction condo dies before the final closing, the purchase agreement does not automatically terminate — it…
Read the full answer →In a condo assignment transaction, both the assignor and the assignee typically have their own legal fees to pay, and it is generally expected that…
Read the full answer →If property values have declined since you signed either the original purchase agreement or the assignment agreement, and the purchase price is now…
Read the full answer →Some Ontario new-construction purchase agreements contain clauses that prohibit the buyer from assigning the agreement at all, or that prohibit…
Read the full answer →When you purchase a condo through an assignment, your name does not appear on title until the final (registration) closing — the point at which the…
Read the full answer →Yes, profit from an assignment sale must be reported to the Canada Revenue Agency. The key question is how it is characterized — as a capital gain or…
Read the full answer →Both routes have distinct advantages and risks that depend on your situation and priorities. Buying directly from the builder gives you a 10-day…
Read the full answer →Development charges are fees that Ontario municipalities levy on new construction to fund growth-related infrastructure — roads, water, sewers, parks,…
Read the full answer →Yes, upgrades and extras purchased from a builder on a new condominium in Ontario are generally subject to HST. When you select upgrades — such as…
Read the full answer →A Buyer Representation Agreement (BRA) is a written contract between you and a real estate brokerage that sets out the terms on which the brokerage…
Read the full answer →Buying a condominium in Ontario without a lawyer is not advisable — and for most transactions involving a mortgage, the lender requires one. Your real…
Read the full answer →Buying a pre-construction condominium in Ontario involves risks not present in resale purchases. The most common are: construction delays (projects…
Read the full answer →Buying with a family member — a parent, sibling, or adult child — can be a practical way to enter the housing market, but the legal and financial…
Read the full answer →Buying jointly with parents is an increasingly common way to enter the Ontario housing market, but it raises questions about ownership structure, tax,…
Read the full answer →Each buyer's first-time status is assessed independently. If you have never owned a home and your partner has previously owned one, you qualify as a…
Read the full answer →Yes, but with significant disclosure requirements. Ontario's real estate regulations under REBBA require that when a registrant (agent or broker) or…
Read the full answer →The rules around offer confidentiality in Ontario have evolved. The general principle under REBBA is that a brokerage cannot disclose the details of…
Read the full answer →No. Once both parties have signed the Agreement of Purchase and Sale and any irrevocability or counter-offer period has resolved into a binding…
Read the full answer →Yes, in most Ontario residential transactions buyers have a right to conduct one pre-closing inspection of the property, typically in the twenty-four…
Read the full answer →Yes — having a co-signer or guarantor can help you qualify for a mortgage if your income, credit, or down payment is not sufficient on its own. A…
Read the full answer →Yes, in most cases the board of directors can increase common expenses without a vote of unit owners. Under the Condominium Act, 1998, the board has…
Read the full answer →No. In Ontario you can only enter into one binding Agreement of Purchase and Sale at a time. Once you sign back (counter-sign) one offer and the…
Read the full answer →Once all conditions in your Agreement of Purchase and Sale have been waived or satisfied, the deal is firm and legally binding. At that point, backing…
Read the full answer →Breaking your mortgage to get a lower rate is sometimes financially worthwhile, but the math needs careful analysis before you commit. The key question…
Read the full answer →Listing agreements in Ontario are contracts between you and the brokerage — not the individual agent. Cancelling the agreement early typically requires…
Read the full answer →Yes. There is no law in Ontario requiring you to use a real estate agent to sell your home. Private sales — sometimes called FSBO (For Sale By Owner) —…
Read the full answer →Yes, a continuing power of attorney for property (CPOA) granted under Ontario's Substitute Decisions Act authorizes the attorney (the person given the…
Read the full answer →Yes — switching lenders at renewal is generally straightforward and penalty-free. When your term ends, you are no longer locked in, so the prepayment…
Read the full answer →Yes, receiving a gift from a parent or other family member to help with a down payment is common and permitted by most lenders, including those…
Read the full answer →Once a seller has accepted your offer — even if conditions remain outstanding — they are generally bound by the Agreement of Purchase and Sale and…
Read the full answer →Once a seller has signed and accepted an offer and all conditions have been waived or fulfilled, the deal is firm and the seller is legally bound to…
Read the full answer →Home insurance is not typically adjusted on a residential statement of adjustments in Ontario. Unlike property taxes or condo maintenance fees — which…
Read the full answer →A chain of title is the complete sequence of recorded ownership transfers for a property, stretching back through time. Each link in the chain is a…
Read the full answer →Fixtures are items permanently attached to the property that are presumed to be included in the sale unless specifically excluded — think built-in…
Read the full answer →"Clear title" means the property comes to you free of mortgages, liens, court judgments, and other financial encumbrances — and free of any adverse…
Read the full answer →Per-diem (per-day) adjustments in Ontario real estate closings are calculated by dividing the annual or monthly amount of the item being adjusted by…
Read the full answer →The closing date is the day title transfers and you take possession of the property. It is a negotiable term in the Agreement of Purchase and Sale, and…
Read the full answer →On closing day in Ontario, you need to deliver the funds your lawyer requires to complete the purchase. These funds cover the balance of the purchase…
Read the full answer →Yes, the statement of adjustments for a new construction purchase in Ontario is typically more complex than for a resale purchase. Both types of…
Read the full answer →In Ontario, co-owners of a property (whether joint tenants or tenants in common) each have the right to use and occupy the entire property, not just…
Read the full answer →A co-ownership agreement is not legally required, but it is strongly recommended any time you buy property with someone who is not your spouse. Without…
Read the full answer →What happens to a deceased co-owner's share of property depends on whether you held the property as joint tenants or as tenants in common. If you were…
Read the full answer →No — when two or more people buy a property together in Ontario, a single owner's title insurance policy covers all the registered owners named in it.…
Read the full answer →Yes, commercial real estate transactions in Ontario typically involve a more complex statement of adjustments than residential purchases. The…
Read the full answer →While Ontario real estate lawyers prepare statements of adjustments carefully, errors do occur. Catching them before funds are exchanged protects both…
Read the full answer →If a condition in your Agreement of Purchase and Sale cannot be satisfied — for example, your financing was not approved or the home inspection…
Read the full answer →When a seller triggers the escape clause, they are telling you that another buyer has submitted an acceptable offer and that you must decide — within…
Read the full answer →A conditional offer contains one or more conditions that must be satisfied or waived before the deal becomes binding. Common conditions include…
Read the full answer →Every Ontario condominium corporation must hold an annual general meeting (AGM) of unit owners under the Condominium Act, 1998. As a unit owner, you…
Read the full answer →Balcony maintenance responsibility in an Ontario condominium depends entirely on how the balcony is classified in the declaration and what maintenance…
Read the full answer →Common expenses — often called maintenance fees or condo fees — cover the condominium corporation's cost of running the building and maintaining the…
Read the full answer →The Condominium Act, 1998 does not grant condominium corporations direct authority to levy monetary fines against owners the way a municipality can…
Read the full answer →Yes. Under the Condominium Act, 1998, unit owners have the right to examine certain records of the condominium corporation. The categories of records…
Read the full answer →Under the Condominium Act, 1998, every director of a condominium corporation must act honestly and in good faith with a view to the best interests of…
Read the full answer →Disputes between condo residents — typically involving noise, smoke, smells, or rule violations — are generally governed by the condominium's rules and…
Read the full answer →Installing hardwood or hard-surface flooring in an Ontario condo frequently requires the corporation's approval, and many corporations impose strict…
Read the full answer →Ontario's Condominium Act, 1998 requires every condominium corporation to maintain property insurance on the units and common elements for their…
Read the full answer →Yes. The Condominium Act, 1998 gives condominium corporations a powerful collection tool: they can register a lien against your unit for unpaid common…
Read the full answer →If a neighbour in your condo building is causing noise that breaches the corporation's rules or constitutes a nuisance, your first step is to put your…
Read the full answer →Not always — and this is a frequently misunderstood point. In Ontario condominiums, parking spaces and storage lockers can be structured in three…
Read the full answer →Yes, an Ontario condominium corporation can restrict or prohibit pets through a provision in its declaration or its rules. A pet prohibition in the…
Read the full answer →A condominium property management company is hired by the corporation's board of directors to handle the day-to-day administration of the building.…
Read the full answer →In Ontario, each condominium unit is assessed and taxed separately as an individual property. The Municipal Property Assessment Corporation (MPAC)…
Read the full answer →Whether you need corporation approval depends on what you're renovating and what your governing documents say. Under the Condominium Act, 1998, you…
Read the full answer →Ontario law limits how much a condominium corporation can restrict a unit owner's right to lease their unit. Under amendments to the Condominium Act,…
Read the full answer →Ontario condominiums have a three-tier set of governing documents, each with different purposes and different thresholds to change. The declaration is…
Read the full answer →Whether you can list your Ontario condo on short-term rental platforms depends on three overlapping layers of regulation: the municipality's zoning…
Read the full answer →A special assessment is a one-time charge levied by the condominium corporation on unit owners when the reserve fund or operating fund runs short of…
Read the full answer →In Ontario, a status certificate is a document that a condominium corporation must provide upon request. It sets out the financial and legal health of…
Read the full answer →The Condominium Act, 1998 gives buyers the right to make their agreement conditional on the review of a status certificate — and in practice this is…
Read the full answer →A condo status certificate in Ontario is a detailed package — often dozens of pages — that reveals the financial and legal state of the condominium…
Read the full answer →Under the Condominium Act, 1998, any person may request a status certificate from a condominium corporation, and the corporation must comply. This…
Read the full answer →A turnover meeting is the point at which control of a new condominium corporation passes from the developer to the unit owners. Under the Condominium…
Read the full answer →The choice between a condo and a freehold home involves financial and lifestyle factors that only you can weigh. From a legal and ownership…
Read the full answer →When you close on an Ontario condominium purchase, your real estate lawyer will provide a reporting letter that summarizes the transaction and confirms…
Read the full answer →Ontario's Condominium Act, 1998 is the provincial statute that governs the creation, governance, and management of condominiums. It establishes several…
Read the full answer →No, the reserve fund balance is not adjusted on the statement of adjustments when buying a resale condo in Ontario. The reserve fund belongs to the…
Read the full answer →A construction lien is a legal claim registered against your property by a contractor, subcontractor, or supplier who has not been paid for work or…
Read the full answer →Under the Condominium Act, 1998, a condominium corporation can charge a fee for preparing a status certificate. The maximum fee is set by regulation…
Read the full answer →On an Ontario statement of adjustments, a "credit to buyer" is money that reduces the amount the buyer has to pay at closing. A "credit to seller" is…
Read the full answer →If a lender exercises its power of sale in Ontario and the sale proceeds are insufficient to repay the outstanding mortgage balance plus the lender's…
Read the full answer →There is no legally required minimum deposit amount in Ontario — it is whatever the buyer and seller agree to include in the Agreement of Purchase and…
Read the full answer →When you purchase a property in Ontario and paid a deposit on signing the agreement, that deposit is credited to you on the statement of adjustments.…
Read the full answer →In Ontario, once an offer is accepted, the deposit is held in a trust account maintained by the listing brokerage — not the seller personally. Real…
Read the full answer →Your deposit is not a separate closing cost — it forms part of your down payment. When you make an offer to purchase in Ontario, you typically deliver…
Read the full answer →In an Ontario condominium, your "unit" is the space you own exclusively — typically defined in the declaration and measured from certain boundary…
Read the full answer →Once you have paid off a mortgage, the lender is obligated to provide a discharge document so the charge can be removed from title at the Ontario land…
Read the full answer →HST treatment depends on whether the home is newly constructed or a resale property. For resale homes (previously owned and occupied), HST does not…
Read the full answer →Yes. In Ontario all residential real estate transfers must be registered electronically through the province's Teraview system, and only a licensed…
Read the full answer →No, Ontario law does not require you to use a real estate agent when buying a home. You can negotiate directly with the seller or their agent. However,…
Read the full answer →Under the federal Income Tax Act, Canadians can claim the principal residence exemption (PRE) to shelter capital gains when they sell a home they…
Read the full answer →Yes. Your agent's duties to you under REBBA and the Code of Ethics do not disappear because a deal fell through before closing. The fiduciary…
Read the full answer →It depends entirely on what the Agreement of Purchase and Sale says. Most Ontario residential sales include an "as is, where is" clause, meaning the…
Read the full answer →Drainage on rural Ontario land is primarily governed by the Drainage Act. The Act establishes a system of municipal drains — engineered drainage works…
Read the full answer →Early mortgage renewal means agreeing to new mortgage terms before your current term expires. Most lenders will offer early renewal — sometimes as…
Read the full answer →If you hold a registered easement over a neighbouring property, the easement owner (the dominant tenement) has the legal right to use it for the…
Read the full answer →An easement is a registered right that allows someone else to use a specific part of your land for a specific purpose. The most common example in…
Read the full answer →An encroachment occurs when a structure — a fence, deck, shed, or even part of a building — extends over a property line onto your land. In Ontario,…
Read the full answer →Whether an Ontario home must go through probate depends on how it is owned at the time of death. "Probate" refers to the court process of obtaining a…
Read the full answer →An estate sale involves selling a property that belonged to someone who has died, with the estate trustee (executor) acting on behalf of the estate.…
Read the full answer →In Ontario, when a court issues a money judgment against someone, the judgment creditor can file that judgment with the sheriff's office in the county…
Read the full answer →Yes, if you need more time to satisfy a condition — for example, if your lender requires an extra day or two, or if the home inspector can't schedule…
Read the full answer →Severing a lot from a larger parcel in Ontario requires "consent to sever" granted by the local municipality's Committee of Adjustment or Land Division…
Read the full answer →The First Home Savings Account (FHSA) is a registered savings plan introduced by the federal government that allows eligible first-time buyers to save…
Read the full answer →Yes, and you should treat it as more than a formality. Most Agreements of Purchase and Sale give the buyer the right to inspect the property once…
Read the full answer →A financing condition — sometimes called a "condition on financing" or "mortgage condition" — gives you a set period (typically 3–7 business days)…
Read the full answer →The most direct closing-cost relief for Ontario first-time buyers is the land transfer tax rebate: up to $4,000 on the provincial LTT, and up to $4,475…
Read the full answer →This is a personal financial decision rather than a legal one, but there are legal and practical distinctions worth understanding before buying. In a…
Read the full answer →The minimum down payment rules in Canada are set by federal regulation and apply equally across all provinces, including Ontario. For a home priced at…
Read the full answer →Ontario offers first-time homebuyers a rebate on the provincial land transfer tax of up to $4,000. This effectively eliminates the tax entirely on…
Read the full answer →Real estate legal fees in Ontario vary by firm and transaction complexity. For a typical residential purchase, you should budget roughly $1,000 to…
Read the full answer →If you are purchasing a home with a co-buyer and only one of you qualifies as a first-time buyer, the Ontario land transfer tax rebate is prorated…
Read the full answer →Unfortunately, previous ownership of a home anywhere in the world — not just in Canada or Ontario — disqualifies you from the Ontario first-time home…
Read the full answer →In most cases, yes. Ontario's Partition Act gives any co-owner the right to apply to the Superior Court of Justice for partition (physical division of…
Read the full answer →Yes. Ontario's Non-Resident Speculation Tax (NRST) is an additional land transfer tax that applies to certain purchases of residential property by…
Read the full answer →Yes, prepaid fuel oil or propane that remains in a tank at the property can be adjusted on the statement of adjustments in Ontario. If the seller has…
Read the full answer →A holdback is an amount withheld from the seller's (or builder's) proceeds at closing to cover work that was not yet complete or deficiencies that were…
Read the full answer →Yes, Ontario property can be held in a family trust. A trust is a legal arrangement where a trustee holds legal title to the property for the benefit…
Read the full answer →A home inspection is typically paid before closing rather than on closing day, so it is more accurately a pre-closing cost — but it is part of the…
Read the full answer →A home inspection condition gives you a set period after offer acceptance to have a licensed home inspector examine the property and report on its…
Read the full answer →Yes, in practice you must have home insurance in place before you can close on a property purchase in Ontario if you are financing with a mortgage.…
Read the full answer →In the traditional Ontario commission structure, the seller pays a total commission to the listing brokerage, and the listing agreement specifies what…
Read the full answer →To file a complaint about a registered real estate agent or brokerage in Ontario, you submit it to RECO — the Real Estate Council of Ontario. RECO's…
Read the full answer →A mortgage pre-approval is a conditional commitment from a lender stating it will lend you up to a specified amount at a stated interest rate, for a…
Read the full answer →Refinancing means replacing your existing mortgage with a new one, typically to access home equity, secure a better interest rate, consolidate debt, or…
Read the full answer →The mortgage stress test is a federal rule set by OSFI that requires lenders to qualify you at a rate higher than your actual contract rate. This is…
Read the full answer →Property tax in Ontario is calculated by multiplying the assessed value of your property by the municipal tax rate. The Municipal Property Assessment…
Read the full answer →In Ontario, real estate commissions are paid on closing day out of the sale proceeds. The seller's lawyer receives the purchase funds from the buyer's…
Read the full answer →The closing period is the time between when your offer is accepted and when ownership legally transfers to you. In Ontario, residential deals typically…
Read the full answer →The legal process has two phases. The first is the conditional period in the Agreement of Purchase and Sale — typically five to ten business days…
Read the full answer →A typical financing condition in Ontario runs 3–5 business days, though buyers sometimes negotiate 7 or even 10 business days depending on the…
Read the full answer →Every offer in Ontario includes an irrevocability clause that states the date and time by which the seller must accept, reject, or counter-sign the…
Read the full answer →Lenders use two main ratios when assessing affordability. The Gross Debt Service (GDS) ratio measures your housing costs — mortgage principal and…
Read the full answer →The minimum down payment in Canada depends on the purchase price. For homes priced up to $500,000, the minimum is five percent. For the portion of the…
Read the full answer →Property tax adjustments on an Ontario statement of adjustments divide the year's property taxes between the seller and the buyer based on how many…
Read the full answer →The most effective way to avoid a prepayment penalty is to not break your mortgage — but there are strategies that can legally reduce or eliminate the…
Read the full answer →In a multiple-offer situation several buyers submit offers on your property, often simultaneously on an offer night your agent has arranged. As the…
Read the full answer →Yes, HST applies to the purchase of newly built homes in Ontario. Unlike resale homes, which are exempt from HST, new construction is a taxable supply…
Read the full answer →HST applies to new home construction and newly built homes in Ontario but not to re-sales of existing residential properties. When you buy a brand-new…
Read the full answer →The interest rate differential (IRD) is the prepayment penalty most commonly applied when you break a fixed-rate mortgage before the end of its term.…
Read the full answer →The "irrevocable until" clause in an Ontario offer is the deadline by which the seller must accept, reject, or counter-sign your offer. During that…
Read the full answer →Both are ways to own property with another person, but they differ in what happens when one owner dies and how freely each owner can deal with their…
Read the full answer →When two or more people buy a property together in Ontario, they must decide how to hold title. The two main options are joint tenancy and tenants in…
Read the full answer →Yes, Ontario charges a fee to register the transfer of a property through the Teranet electronic land registration system. This is a government fee…
Read the full answer →Ontario land transfer tax (LTT) is calculated using a sliding scale based on the purchase price of the property. The rate increases as the price rises,…
Read the full answer →Land transfer tax in Ontario is not typically shown as a line item on the statement of adjustments. The statement of adjustments is a document that…
Read the full answer →Land transfer tax and title are closely connected in Ontario even though they are different things. The land transfer tax (LTT) is a provincial tax…
Read the full answer →After a real estate closing in Ontario, your lawyer should provide you with a trust ledger statement — sometimes called a closing statement or…
Read the full answer →Real estate legal fees in Ontario are charged by the lawyer you retain to handle your closing. Fees vary between firms, deal types, and deal…
Read the full answer →No — a lender's title insurance policy protects only your mortgage lender, not you personally. This is a common and important misunderstanding. When a…
Read the full answer →A life estate is a form of property ownership where one person (the life tenant) has the right to use and occupy the property for the duration of their…
Read the full answer →Local improvement charges are municipal levies assessed against properties that benefit from specific local infrastructure works — such as sidewalk…
Read the full answer →Every transfer of land registered in Ontario must be accompanied by a Land Transfer Tax Affidavit, which is completed and submitted electronically…
Read the full answer →Ontario land transfer tax is payable upon registration of the transfer, and a refund can be available in limited circumstances where a registered…
Read the full answer →Land transfer tax and HST are two entirely different charges that can both apply to Ontario property purchases, but they operate under different rules.…
Read the full answer →Yes, Ontario provides a rebate mechanism for the Non-Resident Speculation Tax (NRST) in certain circumstances, including when a purchaser who paid NRST…
Read the full answer →An assignment of a purchase agreement transfers the buyer's contractual rights under that agreement — not the land itself — to a new purchaser. Because…
Read the full answer →When a builder purchases your home back from you, that is a standard real estate transaction — a sale of land — and Ontario land transfer tax…
Read the full answer →Ontario land transfer tax applies to commercial property purchases using the same graduated rate structure as residential properties, although the…
Read the full answer →Transferring real property to or from a corporation in Ontario generally triggers land transfer tax, even if no cash changes hands. Because a…
Read the full answer →Ontario's Land Transfer Tax Act includes a specific exemption for transfers of property between spouses (including same-sex spouses) in certain…
Read the full answer →When real property passes from a deceased person's estate directly to a beneficiary under a will or on intestacy, the transfer is generally exempt from…
Read the full answer →When a lender sells a property through power of sale in Ontario, the ultimate buyer of that property is generally responsible for land transfer tax in…
Read the full answer →Ontario's Land Transfer Tax Act applies not only to outright purchases but also to transfers of interests in land, which can include long-term leases…
Read the full answer →Yes, land transfer tax applies to new construction condos in Ontario. You pay LTT when the deed is registered in your name — typically at the occupancy…
Read the full answer →Granting an option to purchase property does not in itself transfer land — it merely gives the option holder the right to purchase at a future date.…
Read the full answer →Adding another person to the title of your Ontario property is a transfer of an interest in land and can attract land transfer tax. The LTT is…
Read the full answer →Yes, land transfer tax is determined by the underlying real property transaction — not by how the buyer signs or completes the closing. Using a power…
Read the full answer →A property exchange (swap) in Ontario involves two simultaneous land transfers, and each buyer owes LTT on the consideration they are receiving. The…
Read the full answer →Ontario land transfer tax applies to transfers of interests in land, not only to transfers of full ownership (fee simple). Whether LTT applies to the…
Read the full answer →Ontario land transfer tax is triggered by a transfer of land, so even transfers between family members can attract LTT — whether or not money changes…
Read the full answer →Yes, Ontario land transfer tax can still be owed even when no money is directly exchanged in a property transfer. The LTT is calculated on the "value…
Read the full answer →Yes, Ontario land transfer tax applies to purchases of vacant land just as it does to improved property. Whenever a deed or transfer of ownership of…
Read the full answer →Ontario land transfer tax becomes payable on the date that the transfer is tendered for registration in the land registry system. In practice, this…
Read the full answer →Yes, Ontario's land transfer tax rate schedule includes a higher marginal rate on the portion of a residential purchase price that exceeds a specified…
Read the full answer →Yes, the Ontario Ministry of Finance has the authority to reassess land transfer tax long after a transaction closes. The Ministry can audit LTT…
Read the full answer →Yes, the Ontario first-time home buyer land transfer tax rebate applies to condominiums as well as detached houses, semi-detached homes, townhouses,…
Read the full answer →Ontario's Land Transfer Tax Act does not provide a specific rebate or exemption based solely on the buyer having a disability. The standard LTT regime…
Read the full answer →In most cases, you do not need to file a separate rebate claim after closing — your real estate lawyer applies for the Ontario first-time buyer LTT…
Read the full answer →Yes, inheriting real property generally counts as acquiring an ownership interest in land, which can disqualify you from the Ontario first-time home…
Read the full answer →The Ontario first-time home buyer land transfer tax rebate has a maximum value of $4,000. For lower-priced properties, the rebate can cover the entire…
Read the full answer →Whether an Ontario first-time buyer LTT rebate applies to a mobile home purchase depends on what exactly is being purchased and registered. Ontario…
Read the full answer →For a new construction home or condo, Ontario land transfer tax — and any first-time buyer rebate — is applied at the time the deed is registered in…
Read the full answer →Yes, if your real estate lawyer did not apply the Ontario first-time buyer land transfer tax rebate at the time of closing, you can apply to the…
Read the full answer →Yes, permanent residents of Canada are eligible to claim the Ontario first-time home buyer land transfer tax rebate, provided they meet all other…
Read the full answer →Yes, owning a cottage or other recreational property can disqualify you from the Ontario first-time home buyer land transfer tax rebate, depending on…
Read the full answer →If you purchased your first home in a previous year and did not claim the Ontario first-time buyer LTT rebate at closing, you may be able to apply for…
Read the full answer →Your eligibility for the Ontario first-time home buyer land transfer tax rebate is assessed individually — it is based on whether you personally have…
Read the full answer →Citizenship or permanent resident status and prior home ownership are what drive Ontario first-time buyer LTT rebate eligibility — not where you…
Read the full answer →The Ontario first-time home buyer land transfer tax rebate eligibility turns on whether you have previously owned a home, which can include beneficial…
Read the full answer →No, the Ontario first-time home buyer land transfer tax rebate does not have an income limit or means test. Eligibility is based solely on whether you…
Read the full answer →To apply for a land transfer tax refund from the Ontario Ministry of Finance — whether for a missed first-time buyer rebate, a transaction that was…
Read the full answer →Ontario has had a Non-Resident Speculation Tax (NRST) aimed at foreign nationals and foreign corporations purchasing residential property in certain…
Read the full answer →Ontario land transfer tax is calculated on the "value of the consideration" for the transfer of land. This is broader than just the cash purchase…
Read the full answer →In Ontario, the Crown (the provincial government) retains ownership of most subsurface mineral rights even when land is sold to a private buyer. This…
Read the full answer →If you fall behind on mortgage payments, acting early gives you the most options. Lenders — particularly institutional ones — generally prefer to work…
Read the full answer →If both of you are on the mortgage, the lender can hold either of you fully responsible for the entire debt, regardless of your private arrangement…
Read the full answer →When you sell your home in Ontario and you still have a mortgage on it, that mortgage must be paid off (discharged) at closing. The payoff reduces what…
Read the full answer →When you sell your Ontario home and have an existing mortgage, the mortgage payout does not typically appear on the statement of adjustments as an…
Read the full answer →Yes, registering a mortgage on title in Ontario involves a government land registration fee. When a lender provides financing, the mortgage is…
Read the full answer →Renewal and refinancing are both ways to update your mortgage, but they are different processes with different implications. Renewal happens at the end…
Read the full answer →When a property receives more than one offer, the seller enters a multiple-offer situation. In Ontario, sellers and their agents must follow specific…
Read the full answer →A bully offer — also called a pre-emptive offer — is an offer submitted before a seller's scheduled offer presentation date, typically at a premium…
Read the full answer →When a neighbour's fence, deck, addition, or other structure crosses onto your property, this is called an encroachment. In Ontario, you have the right…
Read the full answer →In Ontario, a landowner has the right to reasonable use and enjoyment of their property. When a neighbour's activities — loud noise, vibrations,…
Read the full answer →When two or more people purchase property together in Ontario, they must decide how to hold title: as joint tenants or tenants in common. The choice…
Read the full answer →When you close on a new-construction home in Ontario, the final amount you pay is rarely exactly the purchase price. The builder's lawyer prepares a…
Read the full answer →Builder insolvency is a serious risk in new construction. If your builder becomes insolvent before you take possession, Tarion's deposit protection…
Read the full answer →Yes, Ontario builders have the right to extend closing dates, but only under strict rules set out in your purchase agreement and governed by the New…
Read the full answer →Builders set colour and finish selection deadlines for practical reasons: materials must be ordered and production schedules planned well in advance of…
Read the full answer →New condo closing costs in Ontario extend well beyond the purchase price. Planning for them in advance avoids a funding crisis on closing day. Land…
Read the full answer →Under the Condominium Act, builders must provide a disclosure statement to purchasers before the transaction is binding. This document is lengthy and…
Read the full answer →In new-construction real estate, a "spec unit" (short for speculative unit) is one that the builder constructs using standard or pre-selected finishes…
Read the full answer →A status certificate is a document issued by a condominium corporation that discloses key financial and legal information about the condo — including…
Read the full answer →Yes, but the cooling-off period depends on the type of property. For new condominium purchases in Ontario, the Condominium Act gives buyers a 10-day…
Read the full answer →If your builder misses the firm occupancy date without providing proper advance notice under the Tarion addendum, you may be entitled to compensation…
Read the full answer →When you buy a new home or condo from a registered builder in Ontario, your deposit is protected under the New Home Warranties Plan Act through Tarion.…
Read the full answer →New homes in Ontario must comply with the Ontario Building Code and the Canadian Electrical Code. At a minimum, the electrical system must be inspected…
Read the full answer →Ontario new-construction purchase agreements typically use two types of closing dates, and the distinction matters for your legal rights. A tentative…
Read the full answer →Yes, buyers of newly built homes in Ontario may be eligible for two rebates: a federal HST new-housing rebate and an Ontario new-housing rebate.…
Read the full answer →In some circumstances, buyers and builders negotiate a mutual release — a formal agreement under which both parties agree to cancel the purchase…
Read the full answer →The occupancy fee you pay during the interim occupancy period of a new condo is calculated based on three components as set out in the Condominium Act.…
Read the full answer →New condominiums in Ontario have two closings: an occupancy (interim) closing and a final (title transfer) closing. Understanding both is essential for…
Read the full answer →A Pre-Delivery Inspection, commonly called a PDI, is a walkthrough of your new home with the builder before you take possession. It is a required step…
Read the full answer →Whether a builder can increase your purchase price after you have signed depends on the terms of your specific agreement. Most Ontario new-construction…
Read the full answer →Property taxes on a new home in Ontario are based on an assessment by the Municipal Property Assessment Corporation (MPAC). MPAC assesses your home's…
Read the full answer →Yes, builders routinely include substitution clauses in new-construction purchase agreements that allow them to substitute comparable materials,…
Read the full answer →Verbal agreements with a builder's sales representative are very difficult to enforce in a new-construction transaction. Ontario courts generally…
Read the full answer →Yes. One of the mandatory conditions for the Ontario first-time home buyer land transfer tax rebate is that you must occupy the home as your principal…
Read the full answer →Most newly built homes in Ontario are enrolled in a statutory warranty program administered by Tarion (formerly the Tarion Warranty Corporation). The…
Read the full answer →Occupancy fees are a unique cost associated with purchasing a new condominium in Ontario. After a new condo unit is substantially completed and the…
Read the full answer →When a new condominium finally closes and title registers in your name, the formal statement of adjustments prepared by the builder's lawyer will…
Read the full answer →In Ontario, an offer is generally considered accepted when the seller signs the offer (with no changes) and that acceptance is communicated back to the…
Read the full answer →Yes, the offer process for new construction in Ontario is significantly different from resale. When you buy from a builder, you sign the builder's own…
Read the full answer →Offer presentation night is when a seller and their listing agent sit down to review all submitted offers. In Ontario, the listing agent must tell each…
Read the full answer →Yes, you can include a condition in your offer that makes it conditional on the sale of your existing home. This is sometimes called a "sale of buyer's…
Read the full answer →Yes, if a property has or may have had an above-ground or underground fuel oil storage tank — commonly used in older homes for heating before the…
Read the full answer →Aggregate extraction — gravel pits and quarries — is regulated in Ontario by the Aggregate Resources Act (ARA) administered by the Ministry of Natural…
Read the full answer →When you own a freehold property in Ontario, you own the land and the building on it outright, subject only to the limits imposed by law (zoning,…
Read the full answer →In Ontario, Conservation Authorities regulate development in areas that affect or are affected by natural hazards — primarily floodplains, wetlands,…
Read the full answer →Ontario offers a land transfer tax rebate for first-time home buyers designed to reduce the upfront cost of purchasing your first home. The rebate can…
Read the full answer →The Greenbelt Plan protects a large area of land around the Greater Golden Horseshoe from urban sprawl and large-scale development. Land within the…
Read the full answer →The Land Titles Assurance Fund (LTAF) is a provincially maintained fund that compensates property owners and other parties who suffer a financial loss…
Read the full answer →Ontario has two systems for registering property ownership, and almost all property in the province has been converted to or originally registered…
Read the full answer →Ontario land transfer tax uses a graduated, bracket-based rate structure — similar to income tax brackets — so only the portion of the price within…
Read the full answer →When several properties share access over a private road, the responsibility for maintenance is typically set out in the registered easement or…
Read the full answer →In Ontario, when a parent purchases a property and places title in an adult child's name — whether by paying the purchase price directly or by having…
Read the full answer →Property assessments in Ontario are set by the Municipal Property Assessment Corporation (MPAC), which assigns each property a value for property tax…
Read the full answer →Yes. In Ontario, a buyer who fails to close a real estate transaction without a legitimate legal excuse — such as a properly exercised condition — can…
Read the full answer →An open mortgage lets you make lump-sum payments or pay off the entire balance at any time without paying a penalty. This flexibility comes at a cost:…
Read the full answer →An owner's title insurance policy in Ontario is a one-time-premium policy that lasts for as long as you own the property. Unlike home insurance, which…
Read the full answer →There are two main taxes to think about: Ontario land transfer tax and federal income tax. Land transfer tax in Ontario applies to most property…
Read the full answer →Phased condominiums are developments built in stages, with new units or phases added over time under the Condominium Act, 1998's phased development…
Read the full answer →In Ontario, the power of sale process is governed by rules designed to give a defaulting borrower notice and a meaningful opportunity to redeem — that…
Read the full answer →In Ontario, lenders who hold a mortgage on residential property most commonly use the power of sale process when a borrower defaults. A small number…
Read the full answer →Power of sale and foreclosure are both legal remedies available to mortgage lenders in Ontario when a borrower defaults, but they work differently and…
Read the full answer →When you submit a pre-emptive offer before a scheduled offer date, you typically do so under time pressure — which means you may not have done a full…
Read the full answer →Yes, prepaid condominium maintenance fees are adjusted on the statement of adjustments when buying a resale condo in Ontario. Condo maintenance fees…
Read the full answer →A price adjustment clause is a provision commonly found in builder contracts for new homes in Ontario that allows the builder to pass on increases in…
Read the full answer →Access is a fundamental issue in Ontario real estate: a property with no legal road access can be extremely difficult to use, sell, or mortgage. Some…
Read the full answer →Discovering that a current survey places a boundary differently from where you (or your predecessors) assumed it was can raise significant practical…
Read the full answer →A boundary dispute is one of the most common real property conflicts in Ontario. When a neighbour claims ownership of land you believe is yours, the…
Read the full answer →In Ontario, property tax bills are issued in two phases each year: an interim bill based on the prior year's taxes, and a final bill once the current…
Read the full answer →Property taxes are not a closing cost in the traditional sense, but they appear as a financial adjustment on your statement of adjustments — a document…
Read the full answer →The purchase price shown on the statement of adjustments should match the agreed sale price in the agreement of purchase and sale. There should be no…
Read the full answer →Yes, an attorney for property — a person holding a valid power of attorney under Ontario's Substitute Decisions Act — can buy and sell real estate on…
Read the full answer →Real estate commission is typically the largest single cost for sellers in Ontario. The seller pays commission to their listing agent's brokerage, and…
Read the full answer →In Ontario, some rural and lakeshore properties are zoned for seasonal or recreational use only, which means that the zoning by-law does not permit…
Read the full answer →When you purchase an income property in Ontario that has existing tenants, rent received by the seller for the period after the closing date must be…
Read the full answer →No Ontario law requires you to use a real estate agent when making an offer to purchase a home. You can submit an offer as an unrepresented…
Read the full answer →A restrictive covenant is a binding promise registered on title that limits how you can use or develop a property. For example, a covenant might…
Read the full answer →Rezoning means asking your municipality to change the zoning classification that applies to your property, which determines what uses and structures…
Read the full answer →A right-of-way (ROW) is a type of easement that gives another party the right to travel across or through a defined portion of your land. Rights-of-way…
Read the full answer →A right of way is a type of easement — a legal right for a third party to use a specific part of your land for a defined purpose. On rural Ontario…
Read the full answer →Unopen road allowances in Ontario are owned by the municipality (or in some areas by the Crown), not by adjacent landowners. If the road allowance has…
Read the full answer →Yes. The federal Home Buyers' Plan (HBP) allows first-time home buyers to withdraw up to $60,000 from their registered retirement savings plan (RRSP)…
Read the full answer →The standard for whether a condition is "satisfied" depends on how it is drafted. Most residential conditions in Ontario are drafted in the buyer's…
Read the full answer →The standard OREA Agreement of Purchase and Sale form has a Schedule B section for additional terms and conditions that the parties wish to include…
Read the full answer →Under Ontario's Residential Tenancies Act, landlords can collect a last month's rent deposit from tenants but cannot collect a separate security…
Read the full answer →When two or more beneficiaries inherit a property together — typically as tenants in common through an estate — each becomes a co-owner with equal…
Read the full answer →Yes, absolutely. When buying a rural property in Ontario that relies on a private well for water supply and a septic system for wastewater, including…
Read the full answer →These are two distinct planning approvals in Ontario, each addressing a different kind of departure from the established rules. A severance (formally,…
Read the full answer →In Ontario, how close you can build to a shoreline depends on three overlapping layers of regulation: municipal zoning by-laws, official plan policies,…
Read the full answer →Leased solar panels present a unique issue in Ontario real estate transactions. Unlike owned solar panels, which transfer with the property as a…
Read the full answer →A special assessment is a charge levied on all unit owners in a condominium corporation to cover expenses that cannot be funded from the corporation's…
Read the full answer →A statement of adjustments is the document your lawyer prepares before closing that shows exactly how much money you need to bring to the table on…
Read the full answer →Yes. Under Ontario's Condominium Act, 1998, a status certificate must be accompanied by or include a statement of any by-laws and rules of the…
Read the full answer →A status certificate will disclose any unpaid common expenses (arrears) for the specific unit being sold. If the seller owes arrears to the…
Read the full answer →A status certificate is a document issued by a condominium corporation that discloses the financial and legal health of the condo building. It includes…
Read the full answer →The status certificate itself discloses the current monthly common expense contribution for the specific unit. It also must disclose any increases to…
Read the full answer →When a condominium corporation is newly registered and has only recently turned over to owner control, the first status certificates issued reflect the…
Read the full answer →The Condominium Act, 1998 requires that a status certificate disclose any actions or proceedings that are currently pending against the corporation or…
Read the full answer →The Condominium Act, 1998 does not specify a formal expiry date for a status certificate, but practitioners treat them as meaningful only for a…
Read the full answer →If a condominium corporation provides a status certificate that contains inaccurate or misleading information, the Condominium Act, 1998 provides…
Read the full answer →A status certificate includes a statement that the corporation maintains the insurance required under the Condominium Act, 1998, or it discloses any…
Read the full answer →Yes, the Condominium Act, 1998 requires that a status certificate disclose any material contracts the corporation has entered, including management…
Read the full answer →A status certificate cannot exist before the condominium is registered. A pre-construction condo purchase occurs before the building is complete and…
Read the full answer →A status certificate is a document that every Ontario condominium corporation must prepare and provide upon request under the Condominium Act, 1998. It…
Read the full answer →Several warning signs in a status certificate should prompt serious questions or cause you to reconsider the purchase. An underfunded reserve fund is…
Read the full answer →To request a status certificate from an Ontario condominium corporation, you submit a written request — typically addressed to the property management…
Read the full answer →The status certificate will disclose the current reserve fund balance and reference the most recent reserve fund study. A reserve fund study —…
Read the full answer →Once you receive a status certificate in connection with an agreement of purchase and sale, the Condominium Act, 1998 gives you 10 days to review it.…
Read the full answer →Ontario's Condominium Act, 1998 specifies the information a status certificate must contain. The document typically includes: the current monthly…
Read the full answer →The mortgage stress test is a federal requirement that applies to mortgages issued by federally regulated financial institutions (banks, credit unions…
Read the full answer →You can request a condition allowing your lawyer to review the Agreement of Purchase and Sale and provide satisfactory advice before the deal becomes…
Read the full answer →A survey shows the exact boundaries of a property, the location of structures on it relative to those boundaries, and any encroachments by or onto…
Read the full answer →A survey (formally an Ontario land survey or plan of survey) shows the exact boundaries of a property and the location of structures on it. It confirms…
Read the full answer →Tarion registers builders and vendors — the entities that sell new homes to consumers. Under the New Home Warranties Plan Act, it is the vendor and/or…
Read the full answer →If your registered builder refuses to complete the transaction and deliver your home, Tarion's statutory warranty program provides protection through…
Read the full answer →Filing a Tarion claim follows a defined process. First, notify your builder in writing of the defect and give them a reasonable opportunity to fix it.…
Read the full answer →In a new condominium building, Tarion's warranty applies not only to individual units but also to the common elements — the lobby, elevators, parking…
Read the full answer →If you disagree with how Tarion has assessed your warranty claim — for example, if they denied the claim or you believe the proposed repair is…
Read the full answer →In Ontario, the obligation to enrol a new home with Tarion rests on the builder. However, builders routinely pass the Tarion enrolment fee to the buyer…
Read the full answer →While Tarion's warranty covers a broad range of new-home defects, there are important exclusions you should know before filing a claim. Normal wear and…
Read the full answer →The seven-year major structural defect warranty is Tarion's most comprehensive long-term coverage. A major structural defect (MSD) is defined under the…
Read the full answer →Before entering into a purchase agreement for a new home in Ontario, you should confirm that the builder is registered with Tarion. This step is…
Read the full answer →Renovating your new home does not automatically void your entire Tarion warranty, but it can affect coverage for defects that are causally connected to…
Read the full answer →Yes, Tarion warranty claims must be filed within the applicable warranty period for the type of defect. Missing the deadline can result in losing your…
Read the full answer →Tarion administers the mandatory new-home warranty in Ontario under the New Home Warranties Plan Act. The coverage is divided into several periods,…
Read the full answer →Yes, the Tarion new-home warranty runs with the home, not with the original buyer. If you purchase a home that was built recently enough to still be…
Read the full answer →Buying a tenant-occupied property in Ontario carries significant legal complexity because tenants have strong rights under the Residential Tenancies…
Read the full answer →When you break a variable-rate mortgage before its term expires, Canadian lenders typically calculate the prepayment penalty as three months' interest…
Read the full answer →Discovering a competing ownership claim after you close on a property is a serious matter, but Ontario's land registration system and title insurance…
Read the full answer →Title fraud is a category of real estate fraud in which someone uses false identity documents or forged paperwork to either steal a registered…
Read the full answer →Yes — virtually all institutional lenders in Ontario require a lender's title insurance policy as a condition of advancing mortgage funds. This…
Read the full answer →An assignment of a purchase agreement is when the original buyer (the assignor) transfers their rights under the agreement to a new buyer (the…
Read the full answer →Whether title insurance helps with a boundary dispute depends on the nature of the dispute and when it arose relative to your purchase. Title insurance…
Read the full answer →If you discover a title-related problem after you have purchased your home, your first call should be to your real estate lawyer. They can review your…
Read the full answer →Title insurance for a condominium purchase in Ontario covers your ownership interest in your specific unit and your proportionate interest in the…
Read the full answer →Title insurance in Ontario is purchased for a one-time premium at closing — there is no ongoing annual fee. The premium is based primarily on the…
Read the full answer →Understanding title insurance exclusions is just as important as knowing what is covered. Ontario title insurance policies generally do NOT cover the…
Read the full answer →Buying a property from an estate in Ontario can involve some additional title considerations that make title insurance particularly valuable. When a…
Read the full answer →Yes — in Ontario, it is possible to purchase title insurance after you have already owned a property for some time. This is sometimes called a "home…
Read the full answer →Yes — title insurance is just as important for a new-build purchase as for a resale, and in some respects the risks are different. When you buy a…
Read the full answer →Title insurance provides one of the most practical protections against real estate fraud in Ontario, covering you for losses that result from someone…
Read the full answer →Taking out a home equity loan or line of credit (HELOC) does not cancel or void your existing owner's title insurance policy. The owner's policy…
Read the full answer →"Off-title" risks are issues that do not appear in the registered land title records but can still affect your use or enjoyment of a property. These…
Read the full answer →The two largest title insurance providers in Ontario are FCT (First Canadian Title) and Stewart Title Guaranty Company. Both are established, regulated…
Read the full answer →Title insurance is especially important — arguably even more important than in a standard purchase — when buying a property through a power of sale in…
Read the full answer →Property tax arrears are one of the off-title due diligence items your real estate lawyer checks before closing. A tax arrears search with the…
Read the full answer →Yes — if you closed a purchase without obtaining title insurance, you can still purchase coverage after the fact. Major Ontario title insurers,…
Read the full answer →When you refinance a mortgage in Ontario, your new lender will typically require a lender's title insurance policy as a condition of advancing the new…
Read the full answer →In Ontario, title insurance for a residential real estate transaction is arranged through your real estate lawyer as part of the closing process.…
Read the full answer →In practice, yes — title insurance has largely replaced the need for buyers to obtain a new survey on a resale residential purchase in Ontario. Lenders…
Read the full answer →Yes — title insurance is available for vacant land purchases in Ontario, though the scope of coverage differs from a standard residential home policy.…
Read the full answer →Title insurance and home insurance protect against very different risks, and both are typically needed by Ontario homeowners — they are not…
Read the full answer →Ontario title insurance policies are broad, but coverage varies somewhat by insurer and policy type. In general, a standard residential owner's policy…
Read the full answer →Title insurance is a policy that protects you — and your lender — against financial losses arising from defects in a property's title that were unknown…
Read the full answer →Title insurance is a one-time premium policy that protects you — and your lender — against defects in the title to your property that are not…
Read the full answer →Open permits and outstanding work orders are a common issue in Ontario real estate transactions, and title insurance plays a specific — but limited —…
Read the full answer →Title insurance in Ontario typically includes coverage for certain types of zoning-related issues, but the coverage is more nuanced than people often…
Read the full answer →No — a lawyer's title opinion and title insurance are complementary but different things, and Ontario buyers typically receive both. A title opinion…
Read the full answer →In Ontario, property title transfers electronically through the Teraview system, which is the province's electronic land registration platform. The old…
Read the full answer →Yes. The City of Toronto offers its own first-time home buyer rebate on the Municipal Land Transfer Tax (MLTT), separate from and in addition to the…
Read the full answer →Yes. If you purchase property within the City of Toronto's boundaries, you pay two land transfer taxes: the standard Ontario provincial land transfer…
Read the full answer →If you buy property within the City of Toronto's boundaries, you owe two separate land transfer taxes: the provincial Ontario LTT and the City of…
Read the full answer →You can transfer a rental or investment property into a corporation you control, but the transaction carries significant tax costs and registration…
Read the full answer →Yes, you can transfer title to a family member without a traditional sale. In Ontario, this is typically done by way of a deed of gift or a transfer…
Read the full answer →Cottages are among the most tax-sensitive family transfers in Ontario because they are rarely a principal residence and often have significant accrued…
Read the full answer →In Ontario, entering another person's property without permission or legal authority is trespass to land, a civil wrong (tort). Repeated trespass can…
Read the full answer →An undivided interest means you own a percentage share of the whole property rather than a specific physical portion of it. For example, if you and a…
Read the full answer →Unlike property taxes, utility accounts — hydro, gas, water — are typically not adjusted on a statement of adjustments in Ontario residential…
Read the full answer →Fixed-rate mortgages lock in your interest rate for the full term, giving you predictable payments regardless of what the Bank of Canada does with its…
Read the full answer →A vendor take-back (VTB) mortgage is a financing arrangement where the seller lends the buyer part of the purchase price, effectively acting as a…
Read the full answer →A vendor take-back (VTB) mortgage is a mortgage where the seller, rather than a bank, lends you part of the purchase price and takes a registered…
Read the full answer →In Ontario, real estate transactions must be in writing to be enforceable under the Statute of Frauds. A verbal acceptance of a real estate offer — no…
Read the full answer →Waiving a condition means you are confirming that the condition has been satisfied (or that you are choosing to proceed without requiring it to be…
Read the full answer →Once you waive your financing condition, you are committing to purchase the property regardless of whether you ultimately secure financing. If your…
Read the full answer →Groundwater rights in Ontario are not privately owned in the way that surface land is — groundwater is generally a public resource regulated by the…
Read the full answer →When your lawyer searches title in Ontario, they are looking at the electronic land registry record, which shows every document registered against the…
Read the full answer →Closing costs are the fees and taxes you pay on top of your purchase price when a real estate deal closes. In Ontario, buyers typically pay land…
Read the full answer →Closing costs are expenses beyond the purchase price that you pay to complete a real estate transaction. In Ontario, you should budget roughly 1.5% to…
Read the full answer →The Agreement of Purchase and Sale distinguishes between fixtures (items permanently attached to the property) and chattels (moveable items). As a…
Read the full answer →As an Ontario home seller your main closing costs are real estate commissions (paid from the sale proceeds), legal fees and disbursements for your…
Read the full answer →Conditions in an offer protect you by giving you an exit if certain things do not go as expected. The two most common conditions in Ontario residential…
Read the full answer →For the purpose of Ontario's land transfer tax rebate, a first-time home buyer is someone who has never owned an eligible home or an interest in an…
Read the full answer →Ontario sellers must disclose known latent defects — hidden problems that would not be apparent from a reasonable inspection and that make the property…
Read the full answer →A real estate lawyer protects your legal interests throughout the purchase. Once you have a signed Agreement of Purchase and Sale, your lawyer reviews…
Read the full answer →Buying "as is" in Ontario means you are agreeing to purchase the property in its current condition, without the seller being required to make any…
Read the full answer →On closing day your lawyer receives the purchase funds from the buyer's lawyer by wire transfer, pays out your existing mortgage, deducts legal fees,…
Read the full answer →A conditional deal means the Agreement of Purchase and Sale has been signed by both buyer and seller, but one or more conditions must be satisfied (or…
Read the full answer →When you pay off a mortgage — whether at sale, renewal with a new lender, or on your own — the lender must register a discharge of charge on title at…
Read the full answer →The starting point in Ontario is that fixtures — items permanently attached to the property — are included in the sale unless the APS specifically…
Read the full answer →If your listing agent brings a buyer directly — without a cooperating buyer's agent — the commission structure depends on what your listing agreement…
Read the full answer →Once conditions are waived and the deal is firm, the buyer is legally obligated to complete the purchase. If they back out without a valid legal…
Read the full answer →A closing can be delayed by either side for various reasons: the buyer's financing falls through at the last minute, a title issue surfaces, or a…
Read the full answer →If your offer includes a financing condition and your lender declines to issue a mortgage commitment before the condition deadline, you can exercise…
Read the full answer →Missing a single mortgage payment is not an immediate crisis, but it does trigger a process. Most lenders will contact you quickly — often by phone or…
Read the full answer →If the seller has entered into a binding Agreement of Purchase and Sale (all conditions met or waived) and then refuses to close, you have legal…
Read the full answer →On closing day, several steps happen in a precise sequence coordinated largely between lawyers. Your lawyer receives the mortgage funds from your…
Read the full answer →Whether you get your deposit back when a deal falls through in Ontario depends on why and how it collapsed. If the deal ended because a condition was…
Read the full answer →In Ontario, the buyer's deposit is held in trust by the listing brokerage (or, if agreed, by the seller's lawyer) from the time it is paid until…
Read the full answer →Property taxes are a municipal charge that take priority over most registered interests on a property, including your mortgage. This priority means…
Read the full answer →When a seller signs back your offer with any modification — whether to price, closing date, inclusions, or any other term — they are making a…
Read the full answer →If your home sells for less than the outstanding mortgage balance — sometimes called being "underwater" or having negative equity — the sale proceeds…
Read the full answer →A blended rate on a mortgage is a weighted average of two different interest rates. It arises most often in a blend-and-extend scenario: you have a…
Read the full answer →In Ontario, real estate agents are regulated under the Trust in Real Estate Services Act (TRESA), which replaced REBBA 2002. When you sign a buyer…
Read the full answer →When you buy a home, the large sums of money involved — your down payment, the mortgage advance, the purchase price — flow through your lawyer's trust…
Read the full answer →A collateral mortgage is registered against your property for more than the amount you actually borrow — sometimes for up to one hundred and…
Read the full answer →A condition in a real estate offer is a term that must be satisfied (or waived) within a set timeframe for the deal to become firm and binding. Until…
Read the full answer →A condominium corporation is the legal entity created automatically when a condominium development is registered under Ontario's Condominium Act, 1998.…
Read the full answer →A construction mortgage, sometimes called a draw mortgage, is a specialized financing product used when you are building a new home on land you own.…
Read the full answer →In Ontario, the deposit is a sum of money paid by the buyer shortly after the offer is accepted — typically within 24 hours or by the date specified in…
Read the full answer →Mortgage priority determines who gets paid first from the proceeds of a property sale or enforcement. A first mortgage (first charge on title) has the…
Read the full answer →With a fixed-rate mortgage, your interest rate stays the same for the entire term (commonly 1 to 5 years in Canada), so your payments are predictable…
Read the full answer →A co-borrower and a guarantor are both ways a third party can support a mortgage application, but they differ in how their obligation is structured and…
Read the full answer →A home equity line of credit (HELOC) is a revolving credit facility secured by your home. Your lender registers a charge on title, and you can borrow…
Read the full answer →A home inspection is a visual assessment of the property's physical condition conducted by a qualified inspector before you finalize your purchase. A…
Read the full answer →Under Ontario's Construction Act, a contractor, subcontractor, or supplier who has done work or supplied materials to a property and has not been paid…
Read the full answer →A lien is a legal claim registered against a property that gives the claimant a security interest in the land. In the residential context, the most…
Read the full answer →A latent defect is a hidden problem with a property that is not discoverable by a reasonable inspection — something concealed or not visible during an…
Read the full answer →An acceleration clause is a provision in a mortgage contract that allows the lender to demand immediate repayment of the entire outstanding balance…
Read the full answer →Different lenders charge different upfront fees, and the practice varies considerably. Institutional lenders — major banks and credit unions —…
Read the full answer →A mortgage commitment letter is a written offer from a lender confirming that it will provide a specific loan amount at a stated interest rate and…
Read the full answer →A mortgage commitment letter (sometimes called a mortgage approval letter) is a written confirmation from your lender that it is prepared to advance a…
Read the full answer →Mortgage default insurance protects the lender — not you — if you stop making payments. In Canada it is mandatory when your down payment is less than…
Read the full answer →A mortgage holdback is a portion of your approved mortgage that the lender does not advance at closing. Instead, the lender retains the funds until…
Read the full answer →A mortgage pre-qualification is an informal assessment of how much a lender might be willing to lend based on general financial information you provide…
Read the full answer →Prepayment privileges are the rights your mortgage contract grants you to pay down your principal beyond your regular scheduled payments without…
Read the full answer →A rate hold and a rate lock-in are related but not identical concepts. A rate hold is typically associated with a pre-approval — the lender reserves a…
Read the full answer →A subordination agreement is a legal document in which a creditor with a higher-priority registration agrees to rank behind a new or different…
Read the full answer →Yes. New homes built by a licensed builder in Ontario are covered by a statutory warranty administered by Tarion Warranty Corporation under the Ontario…
Read the full answer →A private mortgage is a loan secured against real estate that is funded by an individual investor or a mortgage investment corporation (MIC) rather…
Read the full answer →Yes — a purchase plus improvements mortgage lets you include the cost of planned renovations in your purchase mortgage rather than financing them…
Read the full answer →A rate hold is a commitment from a lender to offer you a specific interest rate for a defined period while you shop for a property or finalize your…
Read the full answer →Schedule A of an Ontario Agreement of Purchase and Sale is the primary schedule where the parties list the conditions of the offer, any additional…
Read the full answer →A second mortgage is an additional loan secured against a property that already has a mortgage on it. Because the first mortgage lender has priority on…
Read the full answer →A status certificate is a package of documents provided by a condominium corporation that discloses the financial and legal health of the condo…
Read the full answer →A survey (formally an Ontario Land Survey conducted by a licensed Ontario Land Surveyor) shows the exact boundaries of the property, the location of…
Read the full answer →The term and amortization of a mortgage are two different but related time periods that buyers sometimes confuse. Understanding both is essential to…
Read the full answer →A title defect is any flaw in the public record that undermines your clear, unencumbered ownership of a property. Defects range in seriousness: a minor…
Read the full answer →A title search is a review of the public land registry records for a property going back through the chain of ownership. In Ontario, your real estate…
Read the full answer →A title search is a review of the provincial land-registry records to confirm the chain of ownership and identify any claims or interests registered…
Read the full answer →A vendor take-back mortgage (VTB) is an arrangement where the seller of a property loans a portion of the purchase price to the buyer instead of…
Read the full answer →A writ of execution is a court order that registers a creditor's claim against a debtor's assets, including any land the debtor owns. If the seller of…
Read the full answer →The Agreement of Purchase and Sale (APS) is the legally binding contract that governs an Ontario real estate transaction. Once signed by both parties…
Read the full answer →An Agreement of Purchase and Sale (APS) is the legally binding contract between a buyer and seller that governs a real estate transaction in Ontario.…
Read the full answer →The Agreement of Purchase and Sale (APS) is the binding contract between buyer and seller in an Ontario real estate transaction. Once both parties have…
Read the full answer →An all-inclusive mortgage (AIM), sometimes called a wraparound mortgage, is a financing structure in which a new lender — often the seller — provides a…
Read the full answer →An easement is a registered right that allows someone other than the owner to use part of the property for a specific purpose. Common examples include…
Read the full answer →An escalation clause is a provision in an offer that automatically increases your purchase price by a set amount above any competing offer, up to a…
Read the full answer →Property taxes in Ontario are adjusted as of the closing date on the statement of adjustments. If the seller has paid property taxes for a period that…
Read the full answer →Bridge financing is a short-term loan that lets you close on a new home before the sale of your existing home completes. If your purchase closing date…
Read the full answer →Bridge financing is a short-term loan that covers the gap when you are buying a new property before you have received the proceeds from selling your…
Read the full answer →Bridge financing is a short-term loan that allows you to close on your new home purchase before the sale of your existing home completes, bridging the…
Read the full answer →A buyer representation agreement (BRA) is a contract between a buyer and a real estate brokerage that establishes the agent's duty to represent the…
Read the full answer →CMHC mortgage default insurance (commonly called mortgage insurance or mortgage loan insurance) is a mandatory policy that protects the lender — not…
Read the full answer →The co-operating brokerage commission (sometimes called the co-op fee) is the portion of the total commission that the listing brokerage offers to the…
Read the full answer →The "due diligence period" is the window of time after an offer is accepted during which the buyer satisfies their conditions — typically financing,…
Read the full answer →A holdover clause (also called a tail or override clause) in an Ontario listing agreement means that if your home sells to a buyer who was introduced…
Read the full answer →Terminating a listing agreement early does not automatically end your commission obligations. Most Ontario listing agreements with brokerages…
Read the full answer →The holdover period in an Ontario listing agreement is negotiable and can vary, but most standard brokerage listing agreements include a holdover…
Read the full answer →Every Ontario residential offer includes an irrevocability period — a deadline by which the seller (or buyer, if it's a counter-offer) must accept,…
Read the full answer →A listing agreement is a written contract between you (the seller) and a real estate brokerage that authorizes the brokerage to market your property…
Read the full answer →A mere posting is a type of MLS listing where a registered brokerage places your property on the Multiple Listing Service but provides only that…
Read the full answer →In theory, some mortgages contain an assumption clause allowing a new buyer to take over your existing mortgage terms — including the interest rate —…
Read the full answer →Mortgage portability allows you to transfer your existing mortgage — including its rate, remaining term, and balance — from your current property to a…
Read the full answer →Multiple representation in Ontario occurs when a brokerage represents both the seller and the buyer in the same transaction — either through the same…
Read the full answer →Power of sale is a remedy available to Ontario mortgage lenders when a borrower is in default. Unlike foreclosure (which is rare in Ontario), a power…
Read the full answer →REBBA — the Real Estate and Business Brokers Act — is the Ontario statute that governs the real estate brokerage industry, together with its…
Read the full answer →RECO stands for the Real Estate Council of Ontario. It is the regulatory body established under Ontario's real estate legislation to license and…
Read the full answer →A reverse mortgage allows homeowners aged 55 and older to borrow against their home's equity without making monthly payments. The interest accumulates…
Read the full answer →The "48-hour clause" — more precisely called a seller's right of first refusal or escape clause — is a provision sometimes added when a seller accepts…
Read the full answer →In Ontario, the terms "listing agreement" and "seller representation agreement" (or "seller customer service agreement") are sometimes used…
Read the full answer →A special assessment is an additional charge levied on condo unit owners by the condominium corporation when the reserve fund has insufficient funds to…
Read the full answer →A statement of adjustments is a financial document prepared by the seller's lawyer in an Ontario real estate closing. It is a formal accounting that…
Read the full answer →A status certificate is a package of documents that Ontario condominium corporations are required to provide under the Condominium Act. It includes the…
Read the full answer →Yes. Under Ontario's Condominium Act, purchasers of new condominium units from a builder have a 10-day cooling-off period (called a rescission period)…
Read the full answer →Ontario provides a land transfer tax rebate for eligible first-time home buyers of up to $4,000 on the provincial land transfer tax. If you are buying…
Read the full answer →Ontario offers several programs specifically for first-time home buyers. The most widely used is the Ontario Land Transfer Tax Rebate of up to $4,000,…
Read the full answer →In Ontario, "title" refers to your legal ownership of a property — the bundle of rights that lets you use, sell, mortgage, or transfer the land. When…
Read the full answer →Title insurance is a one-time premium policy that protects you — and your lender — against losses arising from problems with the ownership history of…
Read the full answer →Commission rates in Ontario are not fixed by law or by any regulatory body — they are freely negotiable between a seller and their chosen brokerage.…
Read the full answer →Most lenders in Ontario require a standard set of documents to process a mortgage application. The exact list varies by lender and your employment…
Read the full answer →A full-service listing agent's offering in Ontario typically includes a comparative market analysis (CMA) to help set the listing price, professional…
Read the full answer →Several taxes can apply when buying a home in Ontario, depending on the type of property and where it is located. Land transfer tax (LTT) is paid by…
Read the full answer →Before your closing appointment, your lawyer will tell you exactly what to bring, but there are standard items to expect. You will need…
Read the full answer →The obligation to vacate is set by the Agreement of Purchase and Sale. Most Ontario residential APS forms require the seller to deliver vacant…
Read the full answer →Under Ontario's Real Estate and Business Brokers Act and the Code of Ethics under it, a listing agent (and their brokerage) represents the seller.…
Read the full answer →Ontario condominiums are governed primarily under the Condominium Act, 1998, and its regulations, which are administered provincially. The Condominium…
Read the full answer →When you buy a freehold property in Ontario, you own both the building and the land beneath it outright. The title vests in you with no time limit. A…
Read the full answer →In Ontario, land transfer tax (LTT) is paid by the buyer — not the seller — on every purchase of land or an interest in land. It is due on the date the…
Read the full answer →In Ontario, the buyer pays land transfer tax (LTT) when a property is conveyed. The tax is calculated on a sliding scale based on the purchase price.…
Read the full answer →Traditionally in Ontario, the seller pays real estate commissions for both the listing agent and the buyer's agent out of the sale proceeds, and the…
Read the full answer →In Ontario, the seller's lawyer typically prepares the statement of adjustments. This document is part of the closing package that the seller's lawyer…
Read the full answer →Send it to a Treadstone lawyer — free, answered in plain language.