When you are purchasing a new condo from the builder in Ontario, you have to follow the two- stage closing procedure.
What is two-stage closing? The two –stage closing means there are two closing dates:
- The first stage is an interim closing or occupancy closing- the purchaser is required to take possession of the unit purchased on the interim closing date. The pre-delivery inspection is completed at this stage and the purchaser sigs a certificate of completion and possession under the Ontario New Home Warranties Plan Act. Keys are released to the purchaser by the vendor builder on receipt of the following:
- Closing documents including interim occupancy agreement;
- Post-dated cheques for the monthly occupancy payments;
- A portion of the down payment as agreed upon in the Agreement of Purchase and Sale.
- The second stage is the final closing takes place after the condominium’s declaration and description have been registered at the concerned land titles office. The title is transferred by the vendor builder on receipt of the following:
- All closing documents;
- The balance of the purchase price and other adjustments in accordance with the statement of adjustments.
The interim closing agreement is terminated once the final closing is completed.
Call us @ 905-290-7205 for more information.
February 3 2016.