Paste in the builder’s deposit schedule. See the cash you need by date, how much of it Tarion protects, and whether your savings keep up.
The schedule
Days are counted from the date you sign.
| Payment | Day | Amount | = | |
|---|---|---|---|---|
| $20,000 | ||||
| $26,250 | ||||
| $26,250 | ||||
| $26,250 |
Your ledger
Total deposit
$98,749
9.4% of $1.05M
Paid over
6 months
4 payments
Tarion protects
$98,749
Freehold limit: $100K
Above the cap
$0
Fully within Tarion’s limit
| When | Payment | Running total | Of price |
|---|---|---|---|
| On signing | $20,000 | $20,000 | 1.9% |
| 30 days | $26,250(2.5%) | $46,250 | 4.4% |
| 90 days | $26,250(2.5%) | $72,500 | 6.9% |
| 180 days | $26,250(2.5%) | $98,749 | 9.4% |
Can you cover each cheque?
Builders cash post-dated deposit cheques on schedule. A bounced deposit can put you in default.
- On signingrunning total $20,000covered
- 30 daysrunning total $46,250covered
- 90 daysrunning total $72,500short $3,618
- 180 daysrunning total $98,749short $20,986
You’d be $20,986 short at the tightest point. Ask the builder for an extended schedule — many will stretch payments to 12 or 18 months.
Deposits, plainly
- Why deposits matter more on new builds
- Resale deposits are usually 5% and paid once. Pre-construction deposits run 10–20% and are paid over months — sometimes years — before you own anything.
- What Tarion protects
- For freehold homes, up to 10% of the price to a maximum of $100,000 ($60,000 on homes $600,000 or less). For condos, $20,000 — with the rest held in trust under the Condominium Act.
- Above the limit
- Money above Tarion’s limit depends on the builder staying solvent, or on excess deposit insurance. Ask whether the project carries it, and get it in writing.
- Deposits and your down payment
- Every deposit counts toward your down payment on closing. If you’re putting 20% down and paid 15% in deposits, you bring the other 5% on closing day.
- Interest on deposits
- Condo builders must pay interest on deposits held in trust. Freehold builders usually don’t, unless the agreement says so.
- Negotiating the schedule
- Deposit structures are more flexible than prices. Builders often extend schedules or reduce the total to win a sale — ask before you sign.