Buying a Pre-Construction Condo in Quebec 2026: Deposits, Warranties and Risks
Buying a condo off plan means committing to a unit before or during construction, from the plans and a model unit. The appeal is real: finish choices, a price sometimes locked early, deferred possession. But pre-construction carries specifics on deposits, warranties and taxes that are absent from a resale. To compare both routes, see our analysis of new vs resale condos in Montreal, then follow the key points below.
The preliminary contract and deposits
An off-plan purchase first goes through a preliminary contract, with a reflection period set by law. Deposits are generally staged as the project advances. The crucial point: check how those deposits are protected. For new residential condominiums covered by the new-home warranty plan, deposits are protected up to a ceiling set by the plan. Confirm the project is accredited and that the funds are held in trust or otherwise guaranteed.
The warranty plan
The new-home warranty plan covers, within specific timelines, construction defects, hidden defects and major defects after delivery. It is an important protection specific to new builds. Request the project documents, the builder's accreditation certificate, and read what is covered and what is not before signing.
GST, QST and the real price
Unlike a resale, a new condo is subject to GST and QST. Partial rebates exist for a principal residence under certain price thresholds. The question to ask the developer is simple: does the listed price include or exclude taxes net of rebate? The gap changes the real budget. Also check what is included in the base finish and what counts as a billed extra.
Timelines, rates and market risk
Delivery often comes one to three years after signing. Three risks deserve attention. First, delays, which are common and should be planned for. Second, the rate: today's pre-approval does not guarantee the rate at delivery, which is why it pays to discuss it with a mortgage broker and build in a margin. Third, the market: if prices move before delivery, real value can differ from the price paid, either way.
Checks before you sign
Read the preliminary contract in full, validate the warranty-plan accreditation, confirm how deposits are protected, estimate the projected condo fees and their realism, and clarify net taxes. A well-framed off-plan purchase remains an excellent option; a commitment signed without these checks is a gamble.
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