Interim occupancy in Ontario condos: what you pay before closing
By Dinesh Jindal, licensed REALTOR® · Reviewed November 2026
New condo buildings are usually ready to live in before the condominium is legally registered. In between, buyers move in and pay an interim occupancy fee.
How the fee is calculated
- Interest on the unpaid balance of the price, at the rate set in the agreement
- Estimated property taxes for the unit
- Estimated common expenses (maintenance fees)
What it means for your budget
- The fee is not credited to the purchase price.
- Your mortgage starts at final closing, not at occupancy.
- Plan for several months of fees on top of your current rent or mortgage if you have not sold.
Final closing
After registration, you close: the mortgage funds, title transfers to you, and land transfer tax is paid. Your occupancy fee stops and regular maintenance fees and property taxes begin.
Dinesh gives every condo client an occupancy-fee estimate before signing. Book a call
Quick answers
Is the interim occupancy fee part of my purchase price?
No. It works like rent paid to the builder and is not credited to the price. It covers interest on your unpaid balance, estimated property taxes and estimated common expenses.
How long does interim occupancy last?
Until the condominium is registered and final closing happens. It is often a few months but can run longer on large buildings.
Can I rent my unit during interim occupancy?
Often yes, if the agreement allows it. Check the agreement and the builder's rules before signing a lease.
General information, not legal, tax or financial advice. Programs, limits and rebates change; confirm current rules with Dinesh Jindal, your real estate lawyer and your mortgage professional before you sign.