Jan 4, 2021
Update of Condo Purchase Agreements
We hope you have had enjoyable holidays and that the New Year brings you happiness, health and success. We wanted to take this opportunity to remind you of additional disclosure requirements for new developments coming into effect in 2021.
As you are likely aware, starting January 1, 2021, all purchasers of condominium units (both residential and commercial) must be provided with “Ontario’s Residential Condominium Buyers’ Guide”. The Condo Guide provides information for purchasers of units and information about the rights and obligations of owners, occupiers and the board, and should be appended to all Agreements of Purchase and Sale (“APS”). We recommend that purchasers specifically acknowledge receipt of the Condo Guide in writing, as receipt of the Condo Guide (along with the disclosure statement and the fully executed APS) triggers the 10-day statutory rescission period.
The new disclosure requirements do not stop there, and are not limited to condominium projects. Starting February 1, 2021, Tarion’s “Warranty Information Sheet” must be attached to every new home APS. There are different versions of the Warranty Information Sheets for Freehold Homes, Condominium Units, Contract Homes, Condominium Conversion Units, Vacant Land Condominiums, and Parcel of Tied Land (POTLs), so you will need to ensure you are appending the correct version for your project.
The Condo Guide and the Warranty Information Sheet must be appended to every new APS, regardless of when the project or phase went to market. This is not to be confused with Tarion’s “Information For Buyer of Pre-Construction Condominium Homes” which is required for those projects or phases that went to market after January 1, 2020.