OREA Residential Transactions 5

Question 1

In Ontario, what is a 'pre-delivery inspection' (PDI) for new construction homes?

Accepted Answer

A walkthrough of a newly built home by the buyer and builder before closing to identify defects, incomplete work, or items not meeting the builder's specifications

Answer

A government building inspection

Answer

A home inspection by a third-party inspector

Answer

A safety inspection by the fire department

Question 2

What is an 'interim closing' or 'interim occupancy' in Ontario new construction?

Accepted Answer

A period when the buyer occupies the new home before final closing, paying occupancy fees to the builder instead of mortgage payments

Answer

A temporary rental agreement

Answer

A construction delay penalty

Answer

A partial refund of the deposit

Question 3

In Ontario, what is the 'HST rebate' for new homes?

Accepted Answer

A partial rebate of the federal and provincial portions of HST paid on a new home, available to qualifying buyers who will use it as their primary residence

Answer

A rebate on home insurance

Answer

A tax credit for home renovations

Answer

A rebate on real estate agent commissions

Question 4

What is the 'first-time home buyer's land transfer tax rebate' in Ontario?

Accepted Answer

A rebate of up to a specified amount of the Ontario land transfer tax for eligible first-time homebuyers purchasing a qualifying home

Answer

A rebate on property insurance

Answer

A federal tax rebate for all homebuyers

Answer

A rebate on home inspection costs

Question 5

In Ontario, what is the role of the 'co-operating brokerage' in a residential transaction?

Accepted Answer

The brokerage representing the buyer that cooperates with the listing brokerage to complete the transaction, sharing the commission

Answer

A brokerage that shares office space with the listing brokerage

Answer

A brokerage that provides administrative support

Answer

A government agency that oversees the transaction

Question 6

What is 'staging' a home in Ontario real estate and why is it important?

Accepted Answer

The process of preparing and decorating a home to make it more attractive to potential buyers, potentially increasing the sale price and reducing time on market

Answer

The process of constructing a temporary stage for an open house performance

Answer

A legal requirement before listing a property

Answer

The process of building a model home in a new subdivision