What is an occupancy period?
The occupancy period is the interval between when a buyer takes possession of a new condo and when the sale formally closes and the property is registered with the Land Registry. During this time, the buyer typically pays occupancy fees to cover utilities, property tax, and common expenses.
In new condo purchases across London, Ontario, the occupancy period is the interval between the date a buyer takes possession of a unit and the date the sale formally closes with final registration at the Land Registry Office. This interim phase can last anywhere from a few weeks to several months, depending on the builder's registration timeline and any outstanding deficiency or title issues.
During the occupancy period, the buyer gains the right to occupy and use the unit but does not yet hold legal title. The builder or previous owner retains registered ownership until closing documents are finalized. Buyers are responsible for paying occupancy fees, which cover property taxes, utilities, common area maintenance fees, and insurance costs that accumulate during this window.
The occupancy period matters because it clarifies financial responsibility and possession rights at a critical transition point. Buyers need to budget for these interim costs separately from their closing funds, and they should understand what specific expenses are included in occupancy fees. A real estate agent familiar with new-construction condos can clarify the expected occupancy timeline and fee structure before purchase to avoid surprises.