When Do I Need to Pay the Deposit in Toronto Real Estate?

In Toronto, the buyer’s deposit is typically due immediately with the offer or within 24 hours of acceptance, depending on market conditions and strategy.

The deposit is a key part of your purchase agreement. It shows the seller you’re serious and committed, and it must be ready to go quickly.

How Soon Is the Deposit Due?

• Competitive markets: In downtown Toronto and other hot neighbourhoods, it’s common to submit the certified deposit cheque with your offer. This strengthens your position and reassures the seller.
• Standard scenarios: If the market is less competitive, the deposit is usually due within 24 hours of acceptance. The buyer’s agent must ensure the cheque is delivered to the listing brokerage on time.

How Should Buyers Prepare Their Deposit?

• Have funds ready: Keep the funds liquid and accessible—whether from savings, RRSPs, or investments.
• Plan with your bank: If you bank online (e.g., Tangerine, PC Financial), coordinate in advance to ensure you can produce a certified cheque or bank draft quickly.
• Show proof: In multiple-offer situations, including a photo of your certified cheque with your offer package, is a strong good-faith gesture.

Why Does This Matter So Much?

The deposit isn’t just money; it’s a signal of commitment. A prompt, substantial deposit can make the difference in winning a bidding war, while delays can weaken your position.

The Fox Marin Real Team prepares clients for this step well in advance of offering. By planning deposit logistics early, buyers working with Fox Marin can act quickly and confidently when the right property comes along.

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