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№ 22 Real Estate

What Happens If a Buyer Fails to Close on Your Nova Scotia Home

Learn what to check in your agreement of purchase and sale, what can delay a Nova Scotia closing, and when to get advice if your buyer misses closing.

Real Estate5 min readTSLBy the Treadstone Law Team · Nova ScotiaUpdated November 13, 2026
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Key takeaways
  • What happens to the deposit and what remedies you have depend mainly on the wording of your signed agreement of purchase and sale, so read it before you act.
  • A closing can stall over taxes and registration, such as the non-resident deed transfer tax, which is 10% of the value transferred to non-residents.
  • Because a wrong step can affect your rights, have a lawyer review the agreement before you relist, send notices or start any claim.

Closing day comes and goes, and your buyer has not shown up with the money or the paperwork. You may already have a new home lined up, a mortgage to pay out or movers booked. It is stressful, and it is tempting to act quickly.

The most important document is the agreement of purchase and sale you both signed. This article explains what to look for in it, what commonly delays a Nova Scotia closing, and how to approach relisting or a claim. It is general information, not advice on your situation.

This article covers the law of Nova Scotia.

Start with the agreement you signed

What happens to the deposit, whether you can end the contract and whether you can claim losses all turn on what your agreement says and on the facts of the missed closing. Two sales can look alike and still end very differently. Read the whole document, including any schedules and amendments, before you send a message or list the home again.

Why a closing may stall

Not every missed closing is a buyer simply walking away. Sometimes a tax, a registration step or a document holds things up. Knowing the cause helps you judge whether the problem can be fixed or whether the buyer is in default.

Municipal deed transfer tax is a separate municipal tax. Rates are set by each municipality, and it is collected through Land Registry when the deed is registered and recorded. The purchaser completes a Municipal Deed Transfer Affidavit of Value form when the deed is registered. Who carries these costs between you and the buyer depends on your agreement.

A buyer who is not a Nova Scotia resident may face the non-resident provincial deed transfer tax. It applies to residential property with 3 dwelling units or less, including vacant land deemed residential, where any ownership interest is granted to a non-resident. The rate is 10% of the Total Ownership Interest being transferred to non-residents, applied to the purchase price or assessed value, whichever is higher. That rate applies to agreements signed after 31 March 2025; earlier agreements fall under separate guidelines.

When a buyer says they are moving to Nova Scotia

If an individual buyer states an intention to move to Nova Scotia, the non-resident tax is not payable at the time of transfer. The buyer must later provide proof of residency within the required timeframe, using the Proof of Residency Form and supporting documents submitted online. For transfers on or after 6 August 2026 the window is 12 months.

There are also exemptions that can take a transfer outside the tax, such as transfers between spouses or common-law partners. If a buyer raises tax as the reason for not closing, ask what exemption or process they are relying on. Do not assume the reason is valid or invalid; a lawyer can tell you how it fits with your agreement.

Condos and conditions: a buyer may have a lawful way out

If you are selling a condominium unit, check whether the buyer's offer depended on documents. For a resale unit, the province advises buyers to make the offer conditional upon receiving an estoppel certificate. For a new unit bought from the declarant, the buyer has ten days to rescind if the documents materially affect enjoyment of the property and the vendor will not fix or waive the issue.

SituationWhat to check
Buyer says a condition was not metWhether the condition was in the agreement, its deadline, and whether it was waived in writing
Buyer says documents were a problem (condo)Which documents were required and when they were delivered
Buyer simply does not appear or payThe default clause, the deposit clause and any notice steps

Whether you can relist the home, keep the deposit or sue for losses is not something a general article can settle. It depends on the agreement, on whether the buyer was truly in default and on what steps you have already taken. Relisting too soon, or sending the wrong notice, could affect your position.

What to do next

Frequently asked questions

Do I get to keep the buyer's deposit if they do not close?

It depends on the wording of your agreement and on whether the buyer was actually in default. Check the deposit and default clauses, and do not assume the deposit is automatically yours. A lawyer can confirm what applies.

Can I relist my house right away?

Whether you can depends on the agreement and on whether it has properly ended. Relisting before that could cause problems, so get advice first.

Could the non-resident deed transfer tax be why my buyer cannot close?

It can be a factor if the buyer is a non-resident, since the tax is 10% of the value transferred to non-residents. A buyer who intends to move to Nova Scotia may not have to pay it at transfer but must later prove residency. Some transfers are also exempt.

Do I need a lawyer if my buyer misses closing?

There is no general rule in this article that you must have one, but it is wise. The province recommends a lawyer for real property transactions, and your rights under the agreement can be affected by the steps you take now.

Sources

Links go to official government, court and regulator pages. The law changes — confirm you are reading the current version.

This article is general information, not legal advice. Reading it does not create a lawyer-client relationship. Nova Scotia laws, tax rates, and government programs change, and how the law applies depends on your specific facts. For advice about your situation, speak with a lawyer who practises in Nova Scotia. Reach us at 1-844-900-1070 or send our Team a message.

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A home purchase with us is from $1,653.86, tax included. Third-party fees are extra.

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