Buying a Newly Constructed Condo in Toronto? The Developer's Agreement of Purchase & Sale Must Be Reviewed By a Lawyer
Please take the Developer’s Agreement of Purchase and Sale and Disclosure Statement to your Lawyer for Review within the 10 day rescission period.
Just A few Questions to ask your lawyer regarding the agreement;
- How is the parking structured and is it in the building? Will it be owned or exclusive use?
- Who decides which parking spot and locker room the buyer gets?
- Is the condominium covered by the Tarion Warranty Program?
- What is included in the purchase price?
- Is the HST included in the purchase Price? Does the buyer qualify for the rebate?
- What additional costs does the buyer have to pay? For Example;
- Tarion Enrolment Fee,
- Utility Meters and Connection Charges
- Development Charges
- Tree Planting
- Park Levies
- Cost of Status Certificate
- Law Society Levy
- Developer’s Lawyer’s legal fees for administering deposits, for obtaining partial discharges of mortgages and Common Expenses as a Reserve Fund Contribution
- Is there a lease re HVAC or hot water tank?
- What is the occupancy closing date and procedure? And, what is the outside occupancy date?
- What are the developer’s rights to extend the closing date?.
- When do you pay for the upgrades?.
- Where is the clause explaining altering, square footage, features and materials? How is the area measured?
- What is a Pre-Delivery Inspection Procedure?
- What is included in the common expenses?
- What is the permitted use?
- When do the buyer`s obligations end?
- What remedies does a buyer have in the event of the developer`s default?
- Can the buyer assign or transfer the Agreement of Purchase & Sale before the final closing?
- Can the buyer lease out the unit before the final closing?
Eva Bonomolo, Gossip Real Estate