What does it mean when a real estate offer in Ontario has 'conditions'?
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 all conditions are either satisfied or waived, the buyer generally has the right to walk away with their deposit returned. Common conditions in Ontario residential purchases include financing approval, home inspection, and status certificate review for condos.
Each condition in the APS will specify a deadline — called the condition date — by which the buyer must either waive the condition (confirm they are satisfied) or deliver written notice that the condition was not met. If the buyer does neither, the convention in Ontario is typically that the offer is at risk of lapsing, though the precise outcome depends on how the condition clause is drafted.
Conditions are a key protection for buyers. Waiving conditions means you are proceeding without that protection — if something goes wrong afterward, you have limited recourse. Understanding what each condition protects you against is essential before you agree to remove it.
Key takeaways
- A condition must be satisfied or waived by a set deadline or the deal can collapse.
- The buyer can walk away with their deposit if a condition is not satisfied.
- Common conditions include financing, home inspection, and condo status certificate.
- Waiving a condition removes your right to rely on it as an exit — proceed carefully.