The recent wave of Ontario condo closings has revealed a tough reality for some buyers—owing up to 30% more than their unit’s current market value. This happens when the market value at closing falls below the price agreed upon years earlier, often due to long construction timelines and delays from pre-sales, permits, and labor shortages. As a result, many clients have found themselves unable to close because lenders base mortgage approvals on today’s appraised value, not the original contract price—leaving a funding gap that’s both unexpected and stressful.
If you’ve ever tried to decode a condo purchase agreement, you know how complex these contracts can be. Most only offer a 10-day window to reconsider, or an out if the developer misses the outside occupancy date. In the past, surging costs even led some developers to cancel deals, drawing attention from provincial regulators and prompting calls for stricter oversight and independent reviews.
Having spent close to a decade helping clients navigate financing, I’ve seen first-hand how crucial it is to understand the details before signing. My goal is always to provide clear, strategic guidance—so you can make confident, well-informed decisions, no matter where the market is headed.
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