Archive

Down & Company Professional Corporation published the following articles:

• I am buying a new construction condominium by assignment. Does this change anything?

  Yes!  Assignment purchases can offer a great opportunity to buy a new construction condominium that is ready to be moved into.  However, purchasing in this way raises a number of unique issues .  Buying by assignment involves two transactions (the assignment from the original purchaser, and the eventual purchase of the unit from the builder)… Read the Article
  • December 6th, 2019
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• I am buying a new construction condominium and I have to move in before I own the unit. Do I have to pay rent to the builder prior to closing?

  You do not have to pay rent, but you will have to pay the builder an “occupancy fee”.  Occupancy fees are charged by the builder each month from the time you move in until the builder is able to transfer ownership to you.  The amount a builder is permitted to charge as an occupancy fee… Read the Article
  • December 6th, 2019
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• I am buying a new construction condominium to live in. Do have to pay HST?

  Yes, but most or all of the HST is likely already included in the purchase price.  This is a bit complicated, but most new construction purchase agreements include all of the HST payable provided the purchaser is buying the unit to live in it as their principal residence (or the principal residence of an immediate… Read the Article
  • December 6th, 2019
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• I am buying a new construction condominium. When will I get to move in?

  Who knows… well, it’s a little clearer than that but the short answer is that in most cases buyers should be ready for long timelines and possible delays. Builders of new construction condominiums are required to include in their purchase agreements a “TARION Statement of Critical Dates”.  This statement sets out the timelines that the… Read the Article
  • December 6th, 2019
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• I am buying a new construction condominium. Are my deposits safe?

  The Condominium Act (Ontario) creates rules that builders are required to comply with when they accept deposits from buyers.  Essentially, the builder is required to deposit the money into a lawyers’ trust account and the builder is not allowed to access the money until either (i) ownership of the unit is transferred to the buyer,… Read the Article
  • December 6th, 2019
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