How Pre-Construction Deposits Work in Ontario (Freehold Homes)

Quick answer: On a new freehold home in Ontario you usually pay the deposit in several instalments over the first months after signing, not all at once. The rest is paid on closing through your mortgage. Each project has its own schedule, released with the price list.

How a typical deposit schedule works

1. On signing: a first cheque or bank draft when you sign the agreement.
2. 30 / 60 / 90 days: further instalments on set dates.
3. Later instalments: some builders spread the deposit further.
4. Closing: the balance is paid when the home is ready, usually with a mortgage.

The UpTown Woodbridge deposit structure is included in the VIP package. Registering early gives you time to plan your cash flow before launch.

Is my deposit protected?

Ontario’s new-home warranty program, administered by Tarion, protects deposits on freehold homes up to set limits if a builder cannot complete the home. The limits depend on the purchase price, so ask your lawyer to confirm the coverage for your home. Builders must also be licensed with the Home Construction Regulatory Authority (HCRA), whose public directory lets you check a builder’s record.

No automatic cooling-off on freehold

New condominiums in Ontario come with a 10-day cooling-off period. New freehold homes do not. That makes it important to have a real-estate lawyer review the agreement — ideally before you sign, or with a lawyer-review clause written in.

Costs to budget beyond the deposit

• Land transfer tax (with possible rebates for eligible first-time buyers).
• Development charge and levy adjustments listed in the agreement.
• Utility hook-ups, Tarion enrolment and other closing adjustments.
• Legal fees and title insurance.
• Upgrades chosen at the design centre.

Eligible first-time buyers of new homes may also qualify for federal and Ontario HST/GST relief on new homes. Rules and limits change, so confirm your eligibility with your lawyer or accountant.

Tips to stay comfortable

• Get a mortgage pre-approval before launch and refresh it before closing.
• Keep the full deposit amount liquid before you sign.
• Read the extras and adjustments schedule line by line.
• Compare townhome vs detached carrying costs, not just purchase price.