What closing costs do I need to be aware of when purchasing Pre-Construction Condos?

/in , , , /by

When you buy pre-construction, there are some additional closing costs that are not part of the unit purchase price. These additional closing costs may include the following:

  1. Development and educational levies
  2. TARION warranty enrolment fee
  3. Miscellaneous fees such as Law Society transaction levy, discharge fee, deposit administration fee, tree planting, etc.
  4. Occupancy Fees
  5. Common expenses
  6. HST
  7. Land Transfer Taxes
  8. Utility connection charges
  9. Property taxes
  10. Occupancy fees
  11. ​Contribution to reserve fund

The good news is that you can have these closing costs ‘capped’ at the time of signing the APS. Once your lawyer or real estate agent has reviewed the APS and you have an idea of what the closing costs will be, you can negotiate a cap on the closing costs, allowing you to plan ahead and budget for them.

This question was answered by Shaffiq Dar (Real Estate Lawyer)

Roy Bhandari