THE QUICK ANSWER
Deposits are payments made under your purchase agreement. The down payment is your equity contribution toward the price. Closing costs are additional expenses that need their own cash budget.
- Track cash by due date, not only as one total.
- Confirm how deposits are credited on the final statement.
- Keep closing costs and interim occupancy costs separate from the mortgage estimate.
Read the deposit schedule as a calendar
List every payment, its amount and its due date. Check whether later payments are fixed amounts or percentages, and what event triggers them. Keep the actual agreement beside your budget; a summary on a project website may omit conditions.
Confirm the financing plan
Discuss the purchase with your lender and ask how the deposits already paid will be accounted for at closing. Mortgage qualification and the cash you need depend on your circumstances, the property and the lender’s requirements. A deposit schedule is not a financing commitment.
More detail: FCAC: choosing a mortgage ↗
Keep a separate closing-cost budget
Ask your lawyer for a project-specific estimate covering legal fees, taxes, adjustments and other contractual charges. Request a separate breakdown for items such as parking, lockers or upgrades. Avoid assuming a promotional starting price includes every expense.
Check timing as well as totals
You need funds available when each payment falls due. Map your deposit dates, expected occupancy and final closing alongside your savings and financing plan. Ask which dates are estimates and review changes with your advisers as the project progresses.
A simple deposit-to-closing example
For an illustrative $800,000 purchase, a planned 20% down payment is $160,000. If $120,000 of deposits have already been paid and are credited toward the price, another $40,000 is needed toward that down payment at closing. That is before legal fees, taxes, adjustments and other costs.
This example does not describe a particular development or a lender approval. Your lawyer’s final statement and your lender’s instructions determine the actual amounts.
| Illustrative purchase budget | Amount |
|---|---|
| Purchase price | $800,000 |
| Planned down payment (20%) | $160,000 |
| Deposits already credited | −$120,000 |
| Down payment still to fund | $40,000 |
| Closing costs and adjustments | Additional — obtain an estimate |
Understand interim occupancy
With a new condo, you may receive the right to occupy the unit before final ownership transfers. Interim occupancy can involve a fee separate from the mortgage arrangements at final closing. Ask your lawyer to explain the occupancy budget, how fees are calculated and which costs continue until final closing.
More detail: Tarion: interim occupancy ↗
Ask about deposit protection and documents
Confirm the builder’s registration and the protection that applies to your purchase. Tarion describes deposit protection with limits and conditions; a receipt or payment schedule alone does not explain that coverage. Check the current requirements, including purchase-agreement registration, directly with Tarion and your lawyer.
More detail: Tarion: pre-possession coverage ↗
Keep a cash calendar
Create one row for every due date, including signing, later deposits, occupancy, final closing and moving. Add the source of funds beside each amount. This makes it easier to spot a timing gap even when your total savings appear sufficient.
Before a payment is due, confirm the instructions through a trusted contact and check that your funds will be available on time. Keep an emergency reserve separate from the cash committed to the purchase.
SAVE FOR YOUR SHORTLIST
Your next-step checklist
- Obtain the full deposit schedule and payment instructions.
- Confirm mortgage planning with a lender.
- Request an estimate of legal fees, taxes and contractual adjustments.
- Budget separately for any interim occupancy period.
- Update the cash calendar when project dates change.
Quick answers
Is the builder’s deposit schedule the minimum mortgage down payment?
No. They answer different questions. The contract sets deposit obligations; your lender determines financing requirements for your circumstances and the property.
Do deposits count toward my down payment?
Amounts credited toward the purchase price generally form part of your contribution. Have your lawyer and lender reconcile deposits with the closing statement so you know the remaining cash required.
General information for planning. Confirm financing, legal and tax details with the appropriate professional for your purchase.