Assignment: selling your pre-construction contract before closing

An assignment transfers your rights and obligations under a pre-construction agreement to another buyer before final closing. It is not automatic: your agreement must permit it, and the developer normally requires written consent, an administrative fee, and compliance with restrictions such as no public marketing or no assignment until the project is a certain percentage sold.

Practically, assignments are harder to sell than resale units. The buyer pool is smaller, financing is more complex, and they cannot see a finished home.

If flexibility matters to you, negotiate the assignment terms before signing rather than hoping for consent later, and get tax advice early - the profit and the HST treatment on an assignment are not simple.