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Real Estate & Purchase Agreements in Ontario
Agreements of purchase and sale, deposits, conditions, closing, and the contract issues that come up buying or selling property in Ontario.
A real estate transaction is built on a contract — the Agreement of Purchase and Sale — and the fine print in that document shapes everything from your deposit to your ability to walk away if something goes wrong.
This hub focuses on the contract side of buying and selling property in Ontario: what belongs in an APS, how conditions and deposits work, what happens if a deal doesn't close, and the agreements that come up around a purchase.
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Real Estate Deposits in Ontario: Rules and Risks
Covers how deposits are held in trust rather than paid to the seller, when deposits are forfeited versus returned, and what happens when a deposit release is disputed.
Financing, Inspection and Other Conditions in an Ontario APS
Covers financing, home inspection, status certificate and sale-of-existing-home conditions, how conditions are waived, good-faith requirements, and the consequences of a missed deadline.
Assigning an Agreement of Purchase and Sale in Ontario
Explains assigning a buyer’s rights before closing, common in pre-construction condos, including builder or seller consent requirements and assignment fees.
What Happens If a Buyer or Seller Fails to Close in Ontario?
Covers remedies for the non-breaching party, including damages for a resale shortfall, specific performance, deposit forfeiture, and what happens when a buyer’s financing falls through.
Status Certificates in Ontario Condo Purchases
What a status certificate is, why it’s typically made a condition in resale condo deals, and what buyers and their lawyers look for inside one.
New Home Builder Contracts and Tarion Warranty in Ontario
How buying a new-build differs from a resale, typical builder agreement terms like delayed closing and deposits, and what Tarion’s warranty periods generally cover.
Real Estate Listing Agreements in Ontario
What a seller’s listing agreement with a brokerage typically covers, including commission, term, holdover periods and exclusivity, under Ontario’s TRESA framework.
Title Insurance in Ontario Real Estate Deals
What title insurance protects against, the difference between owner’s and lender’s policies, how it differs from a lawyer’s title search, and when it’s typically purchased at closing.
Seller Disclosure Obligations in Ontario Real Estate
Explains Ontario’s buyer-beware starting point for patent defects, the narrow exception for known latent defects, the optional SPIS and its legal effect, and a buyer’s own inspection responsibility.
Can You Back Out of a Real Estate Deal in Ontario?
Covers why there’s generally no cooling-off period once an APS is firm, the deposit-forfeiture and damages consequences of backing out without a basis, and the narrow legitimate exits available.
Co-Ownership Agreements for Ontario Property
Explains joint tenancy versus tenancy in common, why a separate co-ownership agreement is needed beyond the deed, and partition and sale as a last-resort court remedy.
Rent-to-Own Agreements in Ontario: Risks and Red Flags
Explains the lease-plus-option structure behind rent-to-own deals, the risk of forfeiting rent and option credits, common red flags, and what to check before signing.
FAQ
Real Estate: frequently asked questions
Is an Agreement of Purchase and Sale legally binding?
Yes, once both parties sign and all conditions are met or waived, an APS is a binding contract for the sale of the property — which is why it's worth understanding before you sign, not after.
Can I get my deposit back if a real estate deal falls through?
It depends on why the deal fell through and what the APS says. A deposit is often returnable if a condition genuinely wasn't met, but can be at risk if a party simply backs out without a contractual basis.
What happens if the seller or buyer doesn't close?
The other side may be able to sue for damages, and in some cases seek specific performance to force the sale through, since real estate is generally treated as unique for contract remedy purposes.
Do I need a lawyer to review an Agreement of Purchase and Sale?
Real estate transactions in Ontario are typically reviewed by a real estate lawyer before closing, and many buyers also have the agreement reviewed before signing, especially for conditions, deposits and closing terms.
Understand your agreement. Know your next step.
Ontario-wide, plain-English contract law information — built to help you make sense of your situation before you decide what to do next.