New homes & pre-construction in Toronto

Buying pre-construction in Toronto usually starts with registering interest, which can get you first access to pricing and floor plans ahead of a broader public launch. Once you select a unit you sign an agreement of purchase and sale and pay a deposit in stages tied to milestones — an initial amount on signing, then further installments over the coming months. With condos there's often an interim occupancy period, where you move in and pay an occupancy fee before the building is registered, followed by final closing once title can transfer.

Ontario gives new-condo buyers a specific safeguard: a 10-day cooling-off (rescission) period under the Condominium Act. Within those 10 days you can cancel the agreement for any reason and get your deposit back. Note this protection applies to new and pre-construction condominiums only — it does not apply to freehold houses, which matters if you're buying one of the townhome-style freehold products.

Pre-construction works differently from resale because you commit to a unit today with a staged deposit rather than paying the full price up front, then close once the building is complete. That structure lets a buyer control a specific unit over a multi-year build period while paying in installments — but it also means your capital is tied up and the outcome depends on what the market looks like at closing, not today.

Before buying in Toronto, weigh the things that actually move a local market: how much new supply is coming (with 61 condo projects active, the condo segment is deep), how quickly comparable units are absorbing, rental demand in the specific neighbourhood, and which home type you're buying — condo versus the scarcer townhome inventory. Read the deposit schedule, occupancy terms, and any assignment restrictions carefully, and run the numbers on carrying costs. None of this predicts appreciation; it's about understanding the risks and cash-flow realities before you sign.

For first-time buyers, the biggest surprise with pre-construction is usually the deposit structure. Rather than the roughly 5% minimum you'd see on a resale purchase, new condos in Ontario typically ask for a larger deposit paid in stages over the construction period — often totalling 15–20% by the time the building is registered. Budget for that timeline, not just the down payment.

Ontario has well-known programs first-time buyers should look into, such as the provincial and Toronto municipal Land Transfer Tax rebates and the federal First-Time Home Buyer Incentive-style supports — confirm current eligibility and amounts directly, since these change. Registering early with a project matters because the earliest buyers often get first access to floor plans and pricing before a public release, which can be the difference between getting the unit and layout you want or missing it.