Deposits when purchasing pre-construction

[ArcticS]

Not sure if this is the best place for this, but does anyone know if cheques that are given as a deposit when purchasing a new condo during pre-construction, are cashed immediately, or does the builder wait the 10 day grace period before cashing?

 

[Urban Newbie]

The builder should wait to cash them until the deposits are actually due. My deposits - 4 cheque of 5% each - were due at staggered dates leading up to the completion of the building. I gave the post-dated cheques to the builder/developer and, on the day the cheques were dated, the money was withdrawn from my account. If you are within your "cooling off" period, then nothing should be cashed.

 

[ArcticS]

OK, so on signing, I should be prepared to give post dated cheques for each of the deposits? I thought I'd only need to give one cheque on that day for the $5000 deposit, then at a later date, provide them with all the other cheques.

Since the $5000 is due on signing, they should still wait the 10 day cooling off period right?

 

[ArcticS]

If you are within your "cooling off" period, then nothing should be cashed.

sorry, just read this part ... thanks, that's mainly what I needed to know.

 

[avatarreb]

OK, so on signing, I should be prepared to give post dated cheques for each of the deposits? I thought I'd only need to give one cheque on that day for the $5000 deposit, then at a later date, provide them with all the other cheques.

Since the $5000 is due on signing, they should still wait the 10 day cooling off period right?

Most places will ask for all the cheques at signing. They will hold on to them and give them back to you if you change your mind during the cool off. Expect the first one to be cashed shortly after the cool off date should you not cancel within the 10 days.

 

[ArcticS]

ok, great, thanks.

 

[ducati0000]

my purchase was %10 down and another %10 at the closing date.

 

[ArcticS]

riiight