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Pre-Construction Deposit Calculator Canada — True Cost Breakdown

Buying pre-construction means paying deposits in tranches over 12–24 months before occupancy, then occupancy fees for another 6–18 months before you own the unit. See your full deposit schedule, occupancy cost, and exactly how much cash you'll need and when.

What you'll need

  • Pre-construction purchase price
  • Deposit structure (15%, 20%, or 25%)
  • Estimated occupancy date and monthly occupancy fee

How it works

1

Enter the purchase price and deposit structure

Input the pre-construction contract price and whether your deposit structure is 15%, 20%, or 25% (standard in Toronto and Vancouver markets).

2

Set the occupancy date and monthly occupancy fee

The occupancy fee is what you pay to the builder between move-in and title transfer. It typically covers the builder's mortgage interest, your share of property taxes, and estimated maintenance fee.

3

See deposit schedule, occupancy cost, and mortgage at closing

We lay out each deposit tranche with its due date, total occupancy fees during the pre-closing period, CMHC premium if applicable, and your mortgage payment once title transfers.

Pre-Construction Condo — $750K, 20% Deposit, 36-Month Occupancy

ItemAmount
Total deposit (20%)$150,000
Tranche 1 (on signing, 5%)$37,500
Tranche 2 (90 days, 5%)$37,500
Tranche 3 (180 days, 5%)$37,500
Tranche 4 (at occupancy, 5%)$37,500
Occupancy fees (12 months × $2,800)$33,600
Closing costs estimate (~2.5%)$18,750
Total cash needed$168,750
Mortgage at closing$600,000

Occupancy fees do not contribute to your mortgage or equity. Budget for them as a sunk cost during the pre-closing period.

Frequently asked questions

What is a typical deposit structure for pre-construction condos in Canada?

In Toronto and Vancouver, typical pre-construction deposit structures are: 5% on signing, 5% at 90 days, 5% at 180 days, and 5% at occupancy — totalling 20%. Some builders now require 20–25% total with tranches spread over 12–18 months. Ontario's Tarion warranty requires deposits to be held in trust and protected up to $100,000.

What is the occupancy period for pre-construction condos in Canada?

The occupancy period is when you can move in but haven't received title yet. You pay the builder an 'occupancy fee' covering their mortgage interest, property taxes, and estimated condo fees — but no money goes toward your own mortgage or equity. This period typically lasts 6–18 months in Toronto and Vancouver. Title transfers at final closing.

Are pre-construction deposits protected in Ontario?

Yes — in Ontario, pre-construction deposits are protected under the Condominium Act. The builder must hold deposits in trust. Tarion (Ontario's new home warranty program) provides deposit protection up to $100,000 per unit if the builder defaults or the project is cancelled. Always verify the builder is Tarion-registered.

What is the risk of buying pre-construction in Canada?

Key risks include: construction delays (24–48 months is common), price increases for upgrades, interest rate changes between signing and closing (you'll qualify at closing rates), project cancellation, and occupancy fee costs during the pre-closing period. Buyers should obtain independent legal advice and review the disclosure statement carefully.

Know exactly how much cash you need and when before you sign.

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