Interim Occupancy and Final Closing for an Ontario Pre-Construction Condo

Published October 9, 2026 · Meysami Law Professional Corp. · Ottawa

A pre-construction condominium purchase can have two important dates: an interim occupancy date and a later final closing date. During interim occupancy, a buyer may be permitted to use the unit even though the condominium corporation has not yet been registered and title has not transferred. Ottawa buyers should budget and plan for both stages rather than treating move-in as legal ownership.

Interim occupancy is not final ownership

The Condominium Authority of Ontario explains that interim occupancy can begin before the declaration is registered and title can be transferred. The buyer may take possession of the unit but does not yet own it. Final closing occurs after registration, when title can transfer and the purchase is completed. The length of the interim period depends on the project and registration process.

Review the occupancy dates in the purchase documents

Check the Agreement of Purchase and Sale, Condominium Information Sheet and Tarion addendum for tentative, firm and outside occupancy dates, permitted extensions and notice provisions. Keep every amendment and notice from the builder. A scheduled move should not be treated as certain until the required notice and contractual conditions have been reviewed.

Budget for the interim occupancy fee

During interim occupancy, the buyer generally pays the builder an occupancy fee rather than regular mortgage payments. The Condominium Authority describes the permitted components as monthly interest on the unpaid purchase balance at the prescribed rate, estimated municipal taxes and projected common expenses. These payments are not the same as principal payments toward the purchase price.

Coordinate financing for final closing

Because title has not yet transferred during interim occupancy, the purchase mortgage generally funds at final closing rather than at move-in. Keep the lender and lawyer updated about occupancy and registration timing, rate commitments, appraisal conditions and any change to the purchase documents. A delayed final closing can affect a financing commitment or other arrangements.

Inspect, document and report deficiencies

Interim occupancy may begin while construction continues elsewhere in the building. Complete the required pre-delivery and warranty steps, keep dated photographs and written records, and follow the applicable Tarion process and deadlines. Do not assume that a closing adjustment or occupancy fee dispute replaces the warranty process for a construction deficiency.

Prepare for the final statement and title transfer

Before final closing, the buyer's lawyer reviews the builder's closing documents, title, adjustments and lender instructions. Budget for the balance due, land transfer tax where applicable, legal fees, registration, title insurance and agreement-specific adjustments. The exact charges depend on the contract, amendments, credits and transaction, so obtain the statement before sending funds and verify payment instructions by a trusted channel.

This article is general information as of October 9, 2026, not legal, tax or financial advice. Rules and circumstances can change. Contacting the firm does not create a lawyer-client relationship.