Buying pre-construction means you’re buying a home (usually a condo or townhouse) before it’s built — directly from a builder. You see floorplans and prices now, and the home will be ready in a few years (e.g., 2027 or 2028). You’re locking in today’s price for a future home.

Not right away. Most builders don’t need a mortgage approval at signing, but they may ask for a mortgage pre-approval within 30 to 60 days. The actual mortgage starts closer to the final closing (when construction is done). Until then, you’re just paying the deposit in stages.

You usually need a 15%–20% deposit, paid in small parts over months (e.g., 5% now, 5% in 90 days, etc.). Plus, budget for closing costs (legal fees, taxes, etc.) when the unit is done — usually another 3–5% of the purchase price.

For example:

• $5,000 on signing

• Balance to 5% in 30 days

• 5% in 90 days

• 5% in 180 days

• 5% on occupancy

  Always confirm the exact schedule with your agent or the sales office, and know that these payments are held in trust.

The occupancy date is when you can move in (interim occupancy), and the final closing date is when ownership is officially transferred. These dates can change, so the builder usually gives an estimated range (e.g., Q4 2027). Make sure to read the Tarion Addendum for the firm and outside occupancy dates, as delays are common.