A first-time buyer in Ontario asks what percentage of the price the law requires as a deposit with a resale offer. What is the accurate answer?
Correct Answer
D) None; the amount is negotiated with the seller
No Ontario statute, regulation or standard form fixes a deposit percentage. The amount is written into the offer and negotiated with the seller. The law regulates how the deposit is handled instead: the brokerage holding it must put it in a trust account within five business days (O. Reg. 567/05 s. 17).
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