#VerityAnswers – How Long Can Interim Occupancy Last?
Interim Occupancy Fees can impact your cash flow projections and calculations as an investor or your monthly budget as an end user (buyer who will be occupying the property as their primary residence).
Interim occupancy can last days, weeks or months and in some cases, years. It really depends when you’re moving in (which floor you’re on), on the City of Toronto, the developer and the tradespeople doing the work on the building. The building (or builder) needs to pass a number of inspections that are completed by the City to be able to register the corporation and transfer title to the owners. Once these inspections are passed, the developer can transfer ownership and the owners can get mortgages.
If a developer is stretched thin financially, they might not be able to pay their tradespeople and because they can’t pay them, the repairs aren’t complete in a timely manner to get City approval and register the building (effectively, ending interim occupancy)
It is important to consider the history and track record of a developer and their previously completed projects before buying a new construction condo.