Agreement of purchase and sale
The written contract between buyer and seller that sets the price, deposit, closing date, conditions and everything included or excluded. Binding once accepted before the irrevocable time.
Read the answer →Assignment sale
The sale of a purchaser's rights under a builder agreement before closing. Needs builder consent and, since 2022, attracts HST on the assignment price.
Read the answer →Chattels and fixtures
Chattels are movable items that go with the seller unless listed as included; fixtures are attached to the property and stay unless listed as excluded.
Read the answer →Conditional offer
An accepted agreement that will end unless stated conditions (financing, inspection, status certificate) are fulfilled or waived in writing by their deadlines.
Read the answer →Cooling-off period
The ten-day rescission right under section 73 of the Condominium Act for a unit bought from the declarant. Resale homes and freehold new homes have none.
Read the answer →Deposit
Money paid on acceptance and held in trust, usually by the listing brokerage, credited against the price on closing and at risk if the buyer abandons a firm deal.
Read the answer →Down payment
The cash a buyer brings on closing, including the deposit, that is not borrowed under the mortgage. Federal rules set minimums by price band.
Read the answer →First-time buyer refund
A refund of Ontario land transfer tax up to a cap for buyers who have never owned a home anywhere, meet the spouse rule and move in within nine months.
Read the answer →Home inspection condition
A condition letting the buyer end the deal if an inspection is not satisfactory, usually in the buyer's sole discretion. Inspectors are not licensed in Ontario.
Read the answer →HST new housing rebate
Federal and Ontario rebates of part of the HST on a new home that will be the buyer's primary residence, usually assigned to the builder and credited in the price.
Read the answer →Interim occupancy fee
The monthly amount a new-condominium purchaser pays the declarant before registration, capped by section 80(4) at interest on the balance, estimated taxes and projected common expenses.
Read the answer →Irrevocable date
The date and time until which an offer stays open. If it is not accepted by then it lapses; if accepted and communicated before then, there is a contract.
Read the answer →Land transfer tax
Provincial tax paid by the buyer at registration on the value of the consideration, with a separate municipal tax in Toronto. Rates are on the province's page.
Mortgage default insurance
Insurance the lender must obtain when the down payment is under 20 per cent. The premium is added to the mortgage; Ontario sales tax on it is paid at closing.
Read the answer →Non-Resident Speculation Tax
An Ontario tax on residential purchases by foreign nationals, foreign corporations and taxable trustees, charged in addition to land transfer tax, with exemptions and rebates.
Read the answer →Power of sale
A lender's sale of a mortgaged property after default under the mortgage and the Mortgages Act, without a court order and subject to the owner's right to redeem.
Read the answer →Pre-approval
A lender's conditional estimate of what it would lend, often with a rate hold. Not a commitment to finance a particular home.
Read the answer →Requisition date
The date in the agreement by which the buyer's lawyer must deliver objections to title; the seller must answer them or the buyer may end the deal.
Reserve fund
The condominium corporation's savings for major repairs and replacement of common elements, funded from common expenses and reviewed by a periodic reserve fund study.
Read the answer →Special assessment
A one-off charge levied on unit owners when the corporation needs money beyond its budget and reserve fund; it binds the owner on the day it is levied.
Read the answer →Statement of adjustments
The closing document that starts with the price, credits the deposit and pro-rates taxes, fees and other items to the closing date to arrive at the balance due.
Read the answer →Status certificate
The condominium corporation's statement under section 76 of the Condominium Act on fees, arrears, budget, reserve fund, insurance, litigation and rules, delivered within ten days of a paid request.
Read the answer →Tarion warranty
The statutory new home warranty under the Ontario New Home Warranties Plan Act, administered by Tarion in one-, two- and seven-year periods, with deposit and delay protection.
Read the answer →Title insurance
A policy protecting the lender and, if purchased, the owner against title defects, fraud, survey problems and certain municipal issues existing at closing.
Read the answer →Start a file online in about seven minutes, or ask a lawyer first. Flat, published fees.