Blog > Is There a Cooling-Off Period When You Buy a Home in Ontario?
It depends on what you are buying. On a resale home in Ontario there is no cooling-off period. Once your offer is accepted, you are in a binding agreement, and the only room you have is the room your conditions give you.
A new condo bought from the builder is different. The Condominium Act gives you 10 days to rescind after you receive the disclosure statement, the condominium guide and the signed agreement.
New freehold homes from a builder are getting a similar 10-day right, but only for purchase agreements signed on or after January 1, 2027. If you sign before then, it does not apply.
Resale homes: no cooling-off period
This is the one that catches people. There is no general cooling-off period for resale purchases in Ontario, whether it is a house, a townhouse or a condo someone else already owns. The new-condo rule applies to purchases from the builder, and the new freehold rule is written for new homes from a builder. Neither one reaches a resale deal.
So when a seller accepts your offer, you have a contract. If you change your mind the next morning and there is nothing in the agreement that lets you out, walking away can put your deposit at risk and can leave you exposed to a claim from the seller. That is a conversation for your lawyer, and it is not a good one to be having.
What you do have on a resale is conditions. They are written into the offer before you sign, and they are how you build in a way out for specific reasons:
- Financing, so you are not bound if the mortgage does not come together
- Inspection, so you can walk away or renegotiate if something serious turns up
- Status certificate review on a resale condo, so your lawyer can read the corporation's finances and rules before you are committed. More on that in what a status certificate tells you
- Lawyer's review of the agreement, when you want a professional to read it before it becomes final
Each condition has a deadline, and once you waive or it expires, that protection is gone. If you want the detail on how they work, I wrote about offer conditions in Ontario separately.
New condos from a builder: 10 days under the Condominium Act
If you buy a new condo unit directly from the developer, the Condominium Act, 1998 gives you a right to rescind. Under section 73, your notice has to reach the developer or the developer's lawyer within 10 days of the latest of three dates:
- the day you receive the disclosure statement
- the day you receive the condominium guide
- the day you receive a copy of the agreement signed by both you and the developer
The notice has to be in writing, from you or your lawyer. Once it is received, the Act requires the developer to promptly refund the money you paid toward the purchase price, without penalty, with interest at the prescribed rate.
The important part is the start of the clock. It is not the day you signed. It is the latest of those three dates, which is why your lawyer will want to know exactly when you received each document. Use those days to have the disclosure statement and agreement reviewed properly. That is what they are for.
New freehold homes: 10 days, starting with 2027 agreements
Buyers of new detached homes, semis and freehold townhouses from a builder have not had an equivalent right. That is changing. The Homeowner Protection Act, 2024 added a cooling-off period for new freehold homes to the New Home Construction Licensing Act, 2017, and Ontario Regulation 290/26, made in August 2026, sets out how it works.
The regulation says the new rule does not apply in these cases:
- purchase agreements entered into before January 1, 2027
- a new home on a unit in a vacant land condominium
- a new home on a parcel of tied land for a common elements condominium
- a construction contract, as opposed to a purchase agreement
For agreements it does cover, the 10 days run from the latest of receiving the prescribed information sheets and addendum, both you and the builder signing those documents, and receiving the signed agreement. Within that window you can cancel for any reason, and the builder has to return your deposit with interest.
If you are comparing a new build against a resale home in our area, this is one more real difference between the two. I covered the others in new construction vs resale in Eastern Ontario.
The three situations side by side
| What you are buying | Cooling-off period? | When the 10 days start |
|---|---|---|
| Resale home or resale condo | No | Not applicable. Your protection is the conditions in your offer. |
| New condo from the developer | Yes, 10 days (Condominium Act, s. 73) | Latest of receiving the disclosure statement, the condominium guide and the agreement signed by both sides |
| New freehold home from a builder | Yes, 10 days, for agreements signed on or after January 1, 2027 | Latest of receiving the prescribed information, both sides signing it, and receiving the signed agreement |
Do not count on a cooling-off period you do not have.
If you are buying resale, assume the moment the seller accepts is the moment you are committed, unless a condition says otherwise. If you are signing with a builder before January 1, 2027 for a freehold home, the new 10-day right will not apply to that agreement. Get the agreement reviewed before you sign, not after.
What I would actually do before signing
Most of the regret I see is not about the house. It is about signing before the buyer had the answers they needed. A few things help:
- Know your numbers before you write the offer, including where the deposit comes from and when it is due.
- Decide which conditions you need for this specific property, and give them enough days to actually get the answers.
- On a new build, write down the date you receive each document. Your 10 days depend on it.
- If something feels off, say so before you sign. It is much easier to pause then than to unwind a contract later.
A cooling-off period is a safety net where the law provides one. Conditions and a good review before you sign are the plan.
Thinking about writing an offer somewhere between Ottawa and Brockville, or looking at a new build and not sure what you are actually committing to?
Send me what you are looking at and I will walk you through which conditions I would want for that property. Get in touch. No pressure either way.
Sources: Condominium Act, 1998, section 73; Ontario Regulation 290/26, Cooling-off Period, under the New Home Construction Licensing Act, 2017; Miller Thomson, Homeowner Protection Act, 2024: new freehold home 10 day cooling-off period.
This is general information about Ontario rules as of September 2026, not legal advice. Your lawyer should review any agreement before you sign it.