STEPS TO BUILDING YOUR URBANDALE HOME

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2 THE STEPS TO BUILDING YOUR URBANDALE HOME 1 2 Signing Agreement of Purchase and Sale Mortgage and Lawyer Selection Purchasing a new home is an investment of your money, emotions and time. It is an exciting experience but the road makes many turns and requires your participation and decision making. This simple Seven Step Roadmap will help you navigate the home construction process with greater ease and less stress. 3 Personalizing Your Home 4 Construction Process STRUCTURAL SELECTIONS DESIGN CENTRE PROCESS KITCHEN APPOINTMENT FRAMING AND ELECTRICAL WALK THROUGH QUALITY CONTROL INSPECTIONS 5 Tarion and Pre- Delivery Inspection 1 ST DC APPOINTMENT 2 ND DC APPOINTMENT WIRING APPOINTMENT 6 Closing 3 RD DC APPOINTMENT (Singles only) SIGNING FINAL AMENDMENT 7 Warranty After Closing STATEMENT OF ADJUSTMENTS POSSESSION OF KEYS AND PDI FOLLOW UP SUBMIT 24 HOUR LIST 30 DAY 1 YEAR

3 Urbandale Construction Limited 2193 Arch Street Ottawa, ON K1G 2H5 Tel: (613) Fax: (613) Congratulations on the purchase of your new home from Urbandale Construction. We share your excitement about your new residence and look forward to working closely with you to build and deliver a complete, high quality home. The information presented in this guide will help you prepare for each step of the new home experience, making this exciting time more enjoyable. It will guide you through the process of designing, building and the closing of your new home. Please review this manual thoroughly and keep it handy as you may wish to reference it occasionally. If you require clarification or additional information about any of the topics discussed in the following pages, please contact your Urbandale Sales Consultant. At Urbandale Construction, we appreciate that you may want to visit your new home during the construction process. A new home construction site is an exciting place but it can also be a dangerous one. You will have an opportunity to do a walk-through during the construction of your home. We request that you visit the home site only with an Urbandale representative. On behalf of the Urbandale team, I welcome you to our family of homeowners and look forward to building your new home. Sincerely, Peter Weiss General Manager

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5 Table of Contents Introduction...1 Who are some of the people I will be dealing with?... 1 Purchaser responsibilities... 2 STEP 1 - Purchasing Your Home...3 Agreement of purchase and sale & related schedules / addenda... 3 STEP 2 - Your Mortgage & Lawyer...5 Mortgage application & approval confirmation... 5 Selecting a real estate lawyer... 6 STEP 3 - Personalizing Your New Home...7 Structural selections... 7.Urbandale design centre... 8 STEP 4 - Construction of Your New Home...11 The construction process Your framing/electrical tour Safety Plans & specifications Regulatory changes Topography and home site conditions Utilities and mailboxes Model homes Trade contractors Ugly duckling stages Quality control inspections Certified ENERGY STAR participant Private home inspectors Your questions Construction schedules & your delivery date Nothing is happening! Winter home construction i

6 STEP 5 Tarion Warranty Corp. & Your Pre-Delivery Inspection...19 Who is the Tarion Warranty Corporation? Tarion Warranty Corporation s homeowner s information package Scheduling of the Pre-Delivery Inspection (PDI) Pre-closing construction activity Preparation Allow enough time Uninterrupted attention required Cosmetic surfaces Attire Get involved Overall quality review Completion of outstanding items STEP 6 - Closing on Your Home...23 Taking possession of your home Keys Closing date Location The final number the statement of adjustments Utilities Building lot survey STEP 7 - Warranty Service Procedures...26 Urbandale warranty Urbandale s 24-hour notice warranty Emergency service request Exterior lists and ongoing spring work How to contact us regarding your warranty items Voic Fax Head office hours Tarion warranty day form Year-end form Appendix A Glossary Closing Referral and Loyalty Programs ii

7 INTRODUCTION Who are some of the people I will be dealing with? These are the key members of the Urbandale team you will deal with: Sales Consultant --- Provides detailed information on the features and benefits of Urbandale Construction s homes, assisting you to make the best purchase decision. Your Sales Consultant will be your key Urbandale contact throughout, from your initial purchase to the date you move into your new home. Design Centre Consultant --- Assists you in the exciting process of personalizing and customizing your new home. You will have the opportunity to choose cabinetry, flooring, countertops, tile, paint colours, and many more interior finishes. INTRODUCTION Site Superintendent --- Responsible for managing the construction of your home. Pre-Delivery Inspection (PDI) Consultant --- Walks you through your home, demonstrates the features, explains the systems and reviews general maintenance procedures prior to closing. Customer Service Coordinator --- Your contact to communicate any post-possession service issues. Warranty Supervisors --- Will meet you at your house to complete service repairs and to oversee the work of the trades. These are other parties you may deal with outside of the Urbandale team: Lender/Mortgage Broker --- Responsible for providing you with financial advice and arranging your mortgage. Real Estate Lawyer --- Reviews the legal elements of purchasing your new home. Tarion Warranty Corporation --- Administers the Ontario New Home Warranties Plan Act, which outlines the warranty protection that new home and condominium builders must provide, by law, to their customers. info@tarion.com 1

8 Purchaser Responsibilities Purchasing a new home is a very exciting experience, however the process is also complex - with many details to be decided and arranged. While Urbandale Construction is building your new home, you are directly involved by deciding upon many important aspects of your purchase. Many of the tasks will require your attention during regular business hours, between 9:00am and 4:00pm. If your schedule will not allow for this, please let us know as soon as possible so that we can make alternate arrangements. INTRODUCTION You will be asked to sign off on any structural or design selections before pre-determined cut-off dates. Although there may seem to be a lot of time for changes before construction begins, we need this time to prepare your plans and order materials. Delays to the construction schedule can have a domino effect, which could cause a delay in your home. We ask you to please respect all cut-off dates. 2

9 STEP 1 Agreement of Purchase and Sale & Related Schedules/Addenda The Agreement of Purchase and Sale and accompanying documents represent legal agreements between you and Urbandale Construction regarding the purchase of your new home. It is important to read carefully and fully understand these documents. We encourage you to have your Real Estate Lawyer review them within the allotted conditional time period. Once all the paperwork is signed and completed, we suggest you file all new and future documentation with this manual for easy reference. The Agreement of Purchase and Sale is the key document for the purchase of your new home. It is binding when all parties have signed all forms, attachments and all conditional periods have expired or have been waived. Typically, this process occurs at the Urbandale Sales Centre and is overseen by your Sales Consultant. The Agreement of Purchase and Sale and other forms are described below. STEP 1 PURCHASING YOUR HOME If you are new to Ontario, Urbandale recognizes that you may be unfamiliar with our industry s business procedures and traditions. We will gladly discuss any questions you may have about the provincial and municipal legislated business practices concerning new homes. The Agreement of Purchase and Sale is the legal document that represents your decision to purchase a home. It describes your home (both a legal description and the civic address), financing information, the timeline related to certain activities and additional legal provisions. Review each document with your Real Estate Lawyer to ensure you understand the intent of each clause. If you have questions following your review of these documents, please do not hesitate to ask your Urbandale Sales Consultant. Several documents are attached to the Agreement of Purchase and Sale. Although these may vary, the list detailed below is typical. Schedule A & A-1 - Includes information about where your home will be located and the various items that are situated on the property. Examples include access easements, above ground furniture, infrastructure features such as streetlights, postal box locations, sidewalks and underground services. Schedule B & B-1 - Relate to the exterior elevations and/or interior floorplan of your new home. 3

10 Schedule C - Lists the various materials and methods to be used in the construction of your home (Materials and Specifications). Schedule D - Describes the items not covered under warranty and defines normal industry practices. Schedule E - Details the inclusions, personalization details, specific exterior elevation selection, interior floorplan option selected and orientation/garage side of your home on the specific lot chosen. STEP 1 PURCHASING YOUR HOME Schedule F & F-1 - Details site plan conditions, restrictions and covenants and purchaser acknowledgements that apply to the community where your home will be built. These elements are included as required by the Subdivision Agreement, which is formalized early in the land development planning process. They are defined according to the municipality s requirements. Schedule G - Lists the items you set as conditions for the finalization of your home purchase. For example, you may include a condition that your financial institution must approve a mortgage. You may also make the purchase of the new home conditional on the sale of an existing home. Schedule H - Outlines Urbandale s Privacy Policy, its implications and our contact information. In the event you desire further clarification or information regarding Urbandale s Privacy Policy, please visit our website at or contact your Sales Consultant. Tarion Addendum The Ontario New Home Warranty Program Addendum outlines information that the Tarion Warranty Corporation considers to be of great importance to new homebuyers, including the Statement of Critical Dates. Tarion provides Ontario homebuilders with this information for inclusion in every Agreement of Purchase & Sale. It is not intended to be edited by either party (purchaser nor vendor). Condominium related agreements contain additional documents intended for your review and understanding. These include Estimated Annual Condominium Budget & Expense Summaries, Declarations, Disclosure Statements and other Bylaw details specific to the particular location as required by the Condominium Act (2003). 4

11 STEP 2 Mortgage Application & Approval Confirmation The next step is finalizing the details for financing within the allotted conditional time period. You are free to choose your own Lender, or if you wish, we can suggest Lenders that have worked with past purchasers. Plan to accomplish this step within five business days of signing your Agreement of Purchase and Sale. Take the completed Agreement of Purchase and Sale with you on your visit to the Lender. (Note: many homebuyers will have already selected a Lender and arranged pre-approved financing.) Your Lender s role is to understand your particular financial circumstances and provide you with financial advice. Do not hesitate to discuss any questions you have regarding your assets, liabilities, income, or credit. By providing complete information, you prevent potential last minute complications or extra trips to deliver documents. STEP 2 YOUR MORTGAGE & LAWYER The amount of documentation and information required for a mortgage can seem overwhelming. You can facilitate the application process by collecting some of the required information prior to your appointment. If you qualify for an amount that is less than you need, ask your Lender what changes might be required to qualify you for a larger loan. You may wish to shop around your mortgage needs to another Lender with different programs and different requirements. Feel free to contact your Urbandale Sales Consultant for additional assistance. Between the period of time your loan is approved and the date of your closing remember that any significant changes in your financial circumstances could impact your loan approval. Check with your Lender to learn about these circumstances and how they could affect you. For example, changes in a buyer s financial circumstances due to a car purchase or a higher charge card balance, will appear as new liabilities on a credit report. In light of the new information, some Lenders may reconsider a loan s approval. It is prudent to discuss any pending significant changes in your financial situation upfront with your Mortgage Officer. Alternatively, delay making changes or large purchases until after the home closes. In order to streamline the legal aspects throughout the process, you must forward copies of all legal documentation to your Real Estate Lawyer and Lender. 5

12 Occasionally, as the process nears the closing date, a problem related to your financing arrangements could arise. This could result in a last minute delay affecting your closing date. Unforeseen occurrences may result from your Lender s inability to advance the funds necessary to close the transaction. Please be aware that in such circumstances, an administration fee and interest charges can apply. These fees and charges will be added to, and collected as adjustments at the time of closing. STEP 2 YOUR MORTGAGE & LAWYER Urbandale is a Certified ENERGY STAR Participant. Consequently, many first-time buyers who have CMHC-approved mortgages may receive a reduction on their CMHC mortgage insurance premiums. Some Lenders also provide favourable Green Mortgages for the purchase of energy efficient homes. Selecting a Real Estate Lawyer As with the selection of a Lender, you will also need to choose a Real Estate Lawyer. Your Real Estate Lawyer plays an important role in relation to your new home purchase. The following list indicates the key tasks typically included in a contract for legal services for a freehold home purchase: Review your Agreement of Purchase and Sale and all applicable Schedules. Investigate title and make requisitions on title and/or other matters recited in the Agreement. Review all documentation and adjustments received from Urbandale s Solicitor. Obtain mortgage instructions from your financial institution and correspond with them to obtain mortgage funds on closing. Arrange title insurance (if applicable). Review the survey with you. Attend closing of the transaction. Report to you after the transaction is complete. For condominium purchases add the following: Explain interim occupancy (if applicable). Attend to completion of interim occupancy (if applicable). Obtain and review the status certificate from the Condominium Corporation. Examine condominium unit plan (if available). Ensure compliance with the Condominium Act. 6

13 STEP 3 Structural Selections Shortly after the completion of your Agreement of Purchase and Sale, you will meet with your Urbandale Sales Consultant to discuss and determine structural revisions; windows, doors, stair types and other primary floorplan layout changes. Purchasers of detached single family homes will select exterior finishings; brick, siding, stone, shingles, exterior paint colours, exterior door styles, etc. Please be certain to discuss these structural and exteriors decisions as well as timelines immediately with your Sales Consultant. Later in the process, each homebuyer has ample opportunity to carefully personalize their home s interior utilizing the resources and selections available through the Urbandale Design Centre. Once the structural selections are complete, Urbandale orders the necessary materials and schedules the various professional contractors working with the Urbandale team to build your home. It is for this reason administrative fees apply to any requested changes to your plans and specifications after this point. STEP 3 PERSONALIZING YOUR NEW HOME Once all the necessary paperwork is completed and processed you will be contacted to schedule your first visit to our Design Centre. This may occur within two to three weeks following the execution of the Agreement of Purchase and Sale documentation. (In the event of a later closing date this contact may not occur until a later date.) The Urbandale Design Centre Consultants will assist you in personalizing your new home to your taste and lifestyle. You will have the opportunity to customize your home with several choices of cabinetry, floor coverings, plumbing, fixtures, lighting, paint colours and upgrades. 7

14 Urbandale Design Centre Each purchaser will visit the Design Centre several times during the construction of their home. Appointments are scheduled in order to meet your home s construction schedule and targeted delivery date. These appointments will occur at the Urbandale Design Centre located at 2193 Arch Street in Ottawa. STEP 3 PERSONALIZING YOUR NEW HOME Our Design Centre is open: Monday - Thursday: by appointment Friday & Saturday: CLOSED Sunday: 12:00pm - 5pm (Open House)* * Take the opportunity to explore our Design Centre samples on our Open House Sundays. Design Centre Consultants are not available for one on one consultations during our Open House hours. The Design Centre timeline for Singles are different than those of Townhomes, as Single Family Home plans take longer to prepare. Kitchen Appointment When: After your Orientation (2 to 3 weeks for Towns / 5 to 7 weeks for Singles) Time Required: 2 Hours What to Expect: Your Kitchen Contractor will meet with you to discuss options for customizing your kitchen cabinetry. Where: At your Kitchen Contractor s Office. You will be contacted by the Kitchen Contractor to schedule this appointment. Review the list of standard specifications (Schedule C) prior to this appointment to help familiarize yourself with the interior finishes included in your contract. Kitchen appliances vary in types and makes, some require special attention to electrical, gas roughin, plumbing, kitchen floorplans and other related aspects of your home. Communication of these details is crucially important during this appointment. 1 st DC Appointment When: 3 to 4 weeks after purchase for Towns / 6 to 8 weeks for Singles Time Required: 3 Hours What to Expect: 8

15 You will meet with your Design Centre Consultant to make interior colour selections and ask for upgrade options. Most upgrade items will require 2 weeks to receive pricing. Where: The Urbandale Design Centre 2 nd DC Appointment (Kitchen Layout, Wiring & Colours Sign Off Sign Off) When: 3 to 6 weeks after your 1 st DC Appointment Time Required: Up to 3 hours What to Expect: The opportunity to review your selections of interior finishes and make any necessary changes. You need to finalize your selections and sign off on all interior colours and upgrades as well as wiring, security and plumbing locations. At this time you must sign off on your kitchen cabinetry layout as well as your Appliance Specifications Sheet. Where: The Urbandale Design Centre Wiring Appointment When: 2 to 3 weeks after your 2 nd DC Appointment. Time Required: 2 Hours What to Expect: Your electrical contractor will meet with you to discuss the location of potlights, outlets, switches, as well as any electrical upgrades. Where: Electrical Contractors Office. You will be contacted by the Electrical Contractor to schedule this appointment. Select your appliances prior to the appointment to ensure the layout of your kitchen accommodates the type and size of your selections. Review your kitchen layout in advance to ensure you are happy with your modifications. Review your wiring plans carefully and ask questions if you need to before signing off on them. STEP 3 PERSONALIZING YOUR NEW HOME 3 rd DC Appointment (Singles only) When: 3 to 4 weeks after your 2 nd DC Appointment. Time Required: 1 Hour What to Expect: You need to finalize your selections and sign off on all interior colours and upgrades as well as wiring, security and plumbing locations. 9

16 Where: Urbandale s Design Centre In order to meet construction deadlines it is critical to sign off on all DC selections by this cut-off date. Postponing or missing this appointment may affect your closing date. STEP 3 PERSONALIZING YOUR NEW HOME Signing the Final Amendment When: 2 to 3 months before closing Time Required: 1/2 Hour What to Expect: You will receive a summary of your final total which you will need to show to your Lender to finalize your mortgage amount. Where: Sales Centre Please review all your upgrade options for accuracy as these selections will be sent to site following your sign off. In the event that you are unable to attend the signing of the final amendment, please advise your Sales Consultant in order to sign off electronically through DocuSign. 10

17 STEP 4 The Construction Process The construction process of any new home involves a wide variety of activities. To the homebuyer, progress in the construction of a home is not always readily visible. Behind the scenes there is usually considerable activity underway. This includes the coordination and preparation of the building s working drawings and location sitings by Urbandale s Architectural Department and Structural Engineer. Next, the drawings and sitings, along with other miscellaneous items and forms, as required by the City, are submitted by Urbandale for a building permit application. Once the City receives this package, they begin their own review and approval process. The time period in which these activities occur is subject to the demand faced by the groups involved. It can take two to three months before Urbandale receives the City s building departmental approvals. As per Tarion guidelines, you will receive a notice when we have begun construction on your home. Your Framing/Electrical Tour Many buyers take this opportunity to tour their home just after the rough mechanical stage. Rooms have begun to take shape but the inner workings are still visible. This is a chance for you to see the quality that goes inside the walls of every Urbandale home. Before the drywall is installed, you will be invited to meet with our Construction Site Superintendent at your new home. The site Superintendent will guide you through your home to confirm that items such as telephone and cable jacks, wall switches, lights and outlets are installed in the correct location according to your preferences. You will also review your exterior colour selections and any other personalizations that were previously decided, approved and documented. We encourage you to review your structural and electrical selections in advance as a reminder of what you have previously requested. STEP 4 CONSTRUCTION OF YOUR NEW HOME The Framing/Pre-Drywall Tour is scheduled by the on-site construction staff. It occurs during daylight hours between 8:00am and 3:00pm over a period of about an hour. In the event you can not attend this tour we will proceed with construction in order to stay on schedule and you will have deemed to have waived your right to the Pre-Drywall Tour. 11

18 Safety Homebuyers occasionally wish to visit their new home while under construction. A new home construction site is an exciting place but it can also be a dangerous one. For this reason, you must contact your Sales Consultant to schedule any visits. STEP 4 CONSTRUCTION OF YOUR NEW HOME Granting access to the site for the customer is at the discretion of the homebuilder (who is legally the owner of the home and surrounding property until the date of final closing). When/if your on site approval is granted, we ask that you remember that entry upon the construction site and surrounding areas have hazards such as uneven roads, protruding drain pipe covers, dispersed nails and storage of construction materials. Any unfortunate circumstances that may arise are at the sole responsibility and accountability of the purchaser. The purchaser waives Urbandale and its agents from any potential liability. The Ontario Safety Board mandates that you wear a hard hat and closed-toe shoes, and that a member of Urbandale s staff accompany you on any visit to your home while under construction. We ask that you make arrangements for the care of children and pets off-site while visiting. Representatives of the Ontario Safety Board conduct periodic site visits to ensure that all required safety bylaws and regulations are followed. On-site visits by unauthorized personnel are of concern to the Safety Board. If infractions are witnessed and noted by their representatives, hefty fines could be levied on the homebuilder, and specific staff such as the Site Superintendent. Please observe common sense safety procedures at all times: Do not walk backwards. Look in the direction you are moving at all times. Watch for boards, cords, tools, nails or construction materials that might cause tripping, puncture wounds or other injury. Do not enter any level of a home that is not equipped with stairs and rails. Stay a minimum of six feet from all excavations. Give large, noisy grading equipment or delivery vehicles plenty of room. Assume that the driver can neither see nor hear you. Avoid mud, paint, drywall compound and other construction materials which may damage your footwear and clothing. Plans and Specifications The City s building department reviews and approves the plans and specifications for your home. The specifications become part of Urbandale s agreements with the trade contractors and suppliers. Only written instructions from Urbandale Construction can change these contracts. Many factors can cause variations between the model home you viewed and the home that is delivered to you. We are constantly updating our home designs, therefore the model you viewed may be different from the current design being built. Other factors may include some of the following: Regulatory Changes Occasionally city or provincial agencies implement new codes or regulations that can affect your home. Such changes are usually adopted in the interest of safety and are legal requirements with which builders must comply. Builders may construct the same floorplan slightly differently in two different jurisdictions, or at two different times within the same jurisdiction, or may install finishes (ie. spindles, railings/steps) in a manner different from that shown in a model home. 12

19 Topography and Home Site Conditions Each home site may be shaped differently. Therefore, the position of your home on the site may vary from others in the community. In addition, exterior elevations of each home design may be affected by the topography or surface contours of your homesite. For instance, the slope on the site may affect the number of porch steps, configuration of the driveway and walkways, the need for porch railings and the height of a rear deck. In some cases, railings may not be required. Exterior finishes also vary in accordance with the slope on the site. Swales or retaining walls are sometimes deemed necessary in order to adhere to the City s approved grading plans. Urbandale identifies existing trees on your homesite that must be removed to create space for the home, driveway, etc. Our construction practices include steps intended to preserve other trees that are in healthy condition. However, we cannot guarantee the health or survival of existing trees because their reaction to construction activities is outside our control. The lot s grading has been designed by independent specialists and approved by the municipal authorities prior to the construction of your home. Urbandale is required to adhere to these City approved grading plans with no variance allowed. We require approval from a municipal authority, following the grading of your lot, in order to ensure the overall plan is being adhered to. Grading plans are designed with the entire community in mind. Potential revisions to one lot s grading can have a dramatic affect upon the performance of the overall pre-designed plan and pre-approved plans. Utilities and Mailboxes The location of meters, phone boxes, electrical junction boxes, hydro transformers, street lights and mailboxes are other examples of items outside of Urbandale s control. The Sales Consultant will indicate these locations to you. If you have any questions about these items, do not hesitate to ask your Consultant. Utility companies and Canada Post have the authority to determine the placement of these items and to also make revisions to actual installation locations. Municipal officials also review and approve these required service related features prior to granting approval to a builder to commence construction. Model Homes Model homes are equipped with larger capacity air conditioners to accommodate high traffic. They also display many upgraded features and decorated items such as window coverings and furnishings that are not intended to be deemed as standard inclusions. Mature landscaping, extra walks, fences, lighting, fountains, signs and flags are other examples of items that are not part of the home we will be building for you. Please review your home s specifications and the displays indicating optional items displayed in the models carefully to avoid misunderstandings. STEP 4 CONSTRUCTION OF YOUR NEW HOME In order to maximize overall aesthetic streetscape appeal and to address other warranty related concerns, townhome and condominium exterior elevations may vary from that of model homes and are under complete control of Urbandale s Architectural Department. Contact your Sales Consultant for additional details. Trade Contractors Your home is built through the combined efforts of specialists in many trades from excavation and foundation, through framing, mechanicals, insulation, drywall, trim and finish work. The same individuals rarely work on every home and even if they did, each home would still be unique. The exact placement of switches, outlets, registers, etc. will vary slightly from the model and other homes with the same floor plan. 13

20 In order to adhere to our high standard of construction, only suppliers and trade contractors authorized by Urbandale employees are permitted to perform work on your home. Since each trade contractor works on a limited portion of the home, they may not be aware of all the details that affect the construction. They are not in a position to offer judgments on other aspects of the home. All questions, or requests for changes, must go through Urbandale Construction. We will obtain input from trade contractors when it is appropriate. STEP 4 CONSTRUCTION OF YOUR NEW HOME Suppliers and trade contractors have no authority to enter into agreements for Urbandale Construction. For your protection and theirs, the terms of our trade contractor agreements prohibit alterations without our written authorization. Their failure to comply with this procedure can result in termination of their contract and a potential voiding of certain warranty elements. If you are considering any changes, discuss with your Sales Consultant and/or your Design Centre Consultant. Trade contractors working with Urbandale are prohibited by legal contract from making changes to plans or specifications without written change order authorization from Urbandale s construction department. Ugly Duckling Stages During the construction process every home experiences some days when it is not at its visual best. Homes under construction endure wind, rain, water, snow, foot traffic, and activities that generate noise, dust, and trash. Material scraps are a byproduct of the process. Your new home is cleaned at the completion of certain stages of the work. Depending upon the timing of your visit, you may encounter somewhat untidy areas. Keep in mind that the beautiful model homes you toured earlier once endured these ugly duckling stages as well. Quality Control Inspections Throughout the construction of your new home numerous inspections will be done to ensure it is being built according to the Ontario Building Code and City By-laws. Certified City inspectors enforce the Ontario Building Code for the protection of the future homeowner. These inspections take place several times during construction and usually include: Foundation inspections Framing, electrical and insulation inspection Final inspection Successful completion of each individual inspection is necessary in order for Urbandale Construction to be allowed to proceed with the next phase of construction. This ensures that your home is safe for occupancy by government standards. Urbandale Construction goes beyond the mandatory government inspections by requiring additional inspections. We inspect your home to ensure that all items have been completed prior to you taking possession. Careful quality control inspections ensure your home meets our high standards and your expectations. 14

21 Certified ENERGY STAR Participant As a certified ENERGY STAR Participant, Urbandale s* ENERGY STAR homes are designed and tested to meet an exceedingly high level of energy saving performance relative to others within Canada s home building industry. It is a commitment we make to you and the environment through superior energy efficiency and lower greenhouse gas emissions. Not only does the ENERGY STAR program provide health and environmental benefits, but it also provides long and short-term cost saving features to homeowners. A key short-term benefit is the savings from the potential reduction of mortgage loan insurance premiums. The long term benefit is the ongoing reduction in energy bills by over 20%. Urbandale s* ENERGY STAR homes are initially tested by EnerQuality Corporation within a software model, based upon the home s design features, specifications, building techniques and materials. A specific rating must be achieved in order for the home to be certified. An additional on-site blower door test is completed in the home just prior to your closing date. This test ensures that the house envelope produces the rating results required in order to qualify as a certified ENERGY STAR home. An EnerQuality representative affixes a sticker to the electrical panel or furnace, confirming that the home meets their stringent standards. STEP 4 CONSTRUCTION OF YOUR NEW HOME * Not all Urbandale Homes are ENERGY STAR certified. Please check with a Sales Consultant for details. 15

22 Private Home Inspectors Although a newly constructed home receives a variety of other quality control inspections by independent regulatory parties, we understand that there may be greater peace of mind attained if you also have the home inspected by your own inspector. If you wish to employ a private home inspector to review your home during or following construction, please note Urbandale s policies regarding private home inspectors: STEP 4 CONSTRUCTION OF YOUR NEW HOME Urbandale s schedule for your home construction will not be disrupted by the involvement of an external inspector. The inspection must be approved by our construction department at least 14 days prior to the on-site visit. In order to be granted such approval, an independent inspector must: Be a member of a professional association such as the Ontario Association of Home Inspectors (visit the association s website at to review which accreditations your potential home inspector should have). Provide proof of current worker s compensation and liability insurance to Urbandale Construction. Be familiar with the building codes applicable in your jurisdiction. Be experienced with new home construction. Sign and comply with the conditions stated in the Urbandale Home Inspector form. We ask that the inspector also: Be Responsible for staying informed as to the stage of construction the home has reached. Avoid making any markings on the home itself. Provide you with a written report of any concerns so that you, as the homeowner, can provide Urbandale with a copy of the report (we only accept reports from the homeowner). Home Inspectors can attend the Pre-Delivery Inspection with the homeowner OR as the homeowner s designate if they are unavailable. The Pre-Delivery Inspection form must be used, not the Inspector s standard report. As per Tarion s construction guidelines, Urbandale will address concerns raised by the building inspector that involve building code or contract issues only. Your Questions At Urbandale Construction we value your input. If prior to closing you have any questions about your home construction, please detail the concern in writing and forward it to your Sales Consultant or Design Consultant. The Consultant will forward your written correspondence to the appropriate head office personnel for proper investigation and follow-up. Please note that looking into your concern can require consultation with a number of individuals and therefore a response to your inquiry may take a number of days. If questions arise after the closing of your home please review the procedure in Step 7 of this manual, as all after closing inquiries must be directed to our Warranty Department. 16

23 If you feel that there is a problem with your home under construction please notify our staff, however there are several reasons why the repair may not be completed right away. Work may simply be incomplete at the time. It will look as expected later. Trades and suppliers require appropriate advance notice to schedule visits to the site. For efficiency, we may simply schedule the repair for the next routine visit. Construction Schedules & Your Delivery Date The delivery date for your new home begins as an estimate based upon realistic construction periods and schedules, municipal building permit approval turnaround time and trade/material availability. Until the roof is on and the structure is enclosed, weather can dramatically affect the delivery date. Even though the actual house may be beyond the effects of weather-related delays, the environment can still severely impact installation of utility services, final grading and concrete flatwork. Extended periods of wet weather or freezing temperatures will bring work to a complete halt. When favourable conditions return, the tradespeople go back to work picking up where they left off. The construction of a home entails the coordination of a wide number of tradespeople, suppliers, manufacturers and municipal representatives. The construction process typically requires the completion of one element or stage before it can progress to the next. An uncontrollable situation can occur at one stage and have a domino effect upon the remaining stages of completion. These elements are an unfortunate reality of the industry s processes and are outside of Urbandale and the trade contractor s control. Consequently, the targeted delivery date can become unattainable. Timing is critical to planning your household move. We provide regular updates and strive to do what is necessary (within industry norm and reasonable expectation) to achieve the targeted closing date. We take great pride in our overall success in this regard. As your new home nears completion, other factors can arise which are out of Urbandale s control. For example, the entire construction schedule and your closing date can be affected by delays from only one trade contractor. Please note that although Urbandale and its agents/trades will strive to meet the previously assigned closing date, many of the finishing items of your home occur well into the construction schedule. We invite you to check in with your Sales Consultant periodically regarding the status of the previously assigned closing date. STEP 4 CONSTRUCTION OF YOUR NEW HOME Please note that insurance issues and building regulations require that your household goods be moved into the home only after the closing of the purchase transaction. Tarion Warranty Corporation provides guidelines that are associated with rescheduled closing dates. We encourage you to familiarize yourself through Tarion ( on this subject. Nothing is Happening! There will be times throughout the construction of your home when it appears as though nothing is happening. This can occur for a number of reasons. Each trade is scheduled days or weeks in advance of the actual work typically referred to as lead time. Specific amounts of time are allotted for completing each trade contractor s work on your home. Sometimes, one trade completes its work ahead of schedule. The next scheduled trade will arrive on site according to their assigned time slot. The difference between one trade and the start of another job could be days. 17

24 The schedules of building inspections by municipal authorities can also cause progress to pause temporarily. This is part of the normal sequence of the construction schedule and occurs at several points in every home building process Conversely, work progresses quite rapidly at some stages. For example, the installation of large expanses of walls, a highly visible activity, can occur very quickly. For periodic updates on the progress of your home s construction, please contact your Sales Consultant. STEP 4 CONSTRUCTION OF YOUR NEW HOME Winter Home Construction Winter can create some unique challenges for both the builder and the homeowner. Uncontrollable factors like snow or freezing rain can delay construction. During the winter months, Urbandale may have been unable to complete some of the exterior elements of your home. These items may include the final grading and sod, parging, exterior painting, etc. In the spring and early summer, the Site Superintendent will want to complete these exterior finishes as quickly as possible. Certain construction activities such as sodding and paving are scheduled, moving sequentially through the neighbourhood. This approach enables the builder to complete a greater volume of work, on more homes, in a shorter amount of time. Nature is often the deciding factor in the timing and planned sequence of events. The exterior finishing and completion of your home can be affected by sun exposure, frost depth and soil conditions. For example, the depth of frost in the ground is dependant on winter weather severity, snow coverage, soil type and moisture content. The deeper the frost, the longer it takes to thaw in the spring. During winter, spring and fall, a home under construction may be exposed to days of rain and snow. The materials used in the construction of your home are designed to withstand this type of exposure. The intended use or durability of the material will be unaffected. We modify our construction methods for winter months: using a specific type of oriented strand board designed for cold and wet conditions, as well as a concrete mixture formulated specifically to cure in colder conditions. 18

25 STEP 5 What is the Tarion Warranty Corporation? Tarion Warranty Corporation (formerly known as the Ontario New Home Warranty Program) is responsible for administering the Ontario New Home Warranties Plan Act, which outlines the warranty protection and performance standards guidelines that new home and condominium builders must provide, by law, to their customers. The primary purpose of Tarion is to ensure that builders abide by this legislation, and to step in to protect consumers when builders fail to fulfill their warranty obligations. The PDI Form, 30-Day Form and Year-End lists are Tarion documents that must be submitted to Tarion as well as Urbandale. Tarion Warranty Corporation s Homeowner s Information Package The Tarion Warranty Corporation mandates that every new homebuyer receive specific documentation and homeowner information. The Tarion Homeowner s Information Package (HIP) provides a general overview of the warranty coverage that is in accordance with the Ontario New Home Warranty Plan Act. It explains the steps you are required to take in order to obtain warranty service on your new home. You will sign for and receive the package during one of your Design Centre appointments. Scheduling of the Pre-Delivery Inspection (PDI) (Approximately 2 to 4 hours) The Pre-Delivery Inspection takes place approximately one week prior to closing. Appointments with the PDI Inspector are available Monday through Friday, based on site availability. Review your Design Centre selection documents and any Change Order forms beforehand, so that questions about the items installed in your home can be dealt with more efficiently during this appointment. STEP 5 TARION WARRANTY CORP. & YOUR PRE-DELIVERY INSPECTION The Inspector will tour the new home with you, recording any outstanding work to be completed on Urbandale s Tarion-approved Pre-Delivery Inspection form. This inspection also serves as an orientation and a demonstration of your new home. 19

26 Following a pre-planned agenda, your PDI Inspector will: Explain the systems in your home. Demonstrate and explain the quality features of your new home. Review general maintenance procedures and requirements for both your home and site. Answer any questions about your home. Review each item on the PDI list form. STEP 5 TARION WARRANTY CORP. & YOUR PRE-DELIVERY INSPECTION Following the inspection, the homebuyer receives a package including an original copy of the completed Tarion Certificate of Completion and Possession form, and a copy of the PDI list form as well as other Urbandale documents. We encourage you to store these documents with this manual and other home related documentation. If you cannot attend and complete the PDI, Tarion requires that you designate another individual for this function. Complete the Designate Form located in the Tarion Homeowner Information Package. Deliver this form to the Urbandale Sales Centre or directly to the Site Office at least two business days prior to the scheduled PDI. Note that if your designate at the PDI fails to complete and sign the form properly, the Inspection appointment cannot proceed and must be rescheduled, potentially affecting the closing date of your home. If you can not attend your PDI, Urbandale will complete the PDI on your behalf. Please plan on spending 2 to 4 hours for your PDI. Unfortunately we cannot accommodate PDI s longer than 4 hours. After the PDI is complete, the Site Superintendent will issue work orders to each required trade contractor. Every effort will be made to complete all outstanding items prior to your possession. The Site Superintendent will contact you to schedule a date for the PDI follow-up, typically four days after closing. At the PDI follow-up we will review and complete any outstanding work. Depending on the season, it may be necessary to delay the completion of some exterior items until a later date. If necessary, you can review your home s exterior elements once the weather improves. Record your list of concerns and forward the document to Urbandale s Warranty Department. Certain items may not get completed at the PDI follow-up due to trade scheduling or ordering of materials. These items should be resubmitted on your 30-Day form. In order to familiarize yourself with the warranty coverage details, we suggest you review the Tarion Homeowner s Information Package prior to the PDI meeting. If you are unfamiliar with the English language, we encourage you to bring a translator to assist us in filling out our extensive Pre-Delivery Inspection form to ensure all your concerns are correctly noted. Pre-Closing Construction Activity If you visit your home a day or two prior to the PDI, you may notice a number of details that require attention. Many trades people and Urbandale employees will be making final adjustments and finetuning items in your home. These finishing touches cannot be performed until all items have been installed. What seems like a rush of activity is a normal part of the construction process. 20

27 Preparation Following these hints will ensure that you get the maximum benefit from your Pre-Delivery Inspection. Please note that this time is not scheduled to measure for blinds or placement of furniture. Allow Enough Time Arrange your schedule so you can use the full amount of time allotted. (2 to 4 hours) Uninterrupted Attention Required Our experience shows that the Pre-Delivery Inspection is most beneficial when buyers focus all their attention on their new home and the information we present. Although we appreciate that friends and relatives are eager to see your new residence, it would be best if they visit at a later date. For safety reasons, and in order to maximize your concentration, we ask that children and pets not accompany you at this time. If a Real Estate Agent has helped you with your purchase, he or she is not required to attend. Cosmetic Surfaces Cosmetic surface damage caused during construction is sometimes readily noticeable during the Pre-Delivery Inspection. Such damage can also occur during the move-in process or through daily activities. Therefore, during your PDI, we will confirm whether all surfaces are in good and acceptable condition. Any details that need attention will be listed. After items noted during the inspection are corrected, future repairs of any cosmetic surface damage that occur after closing are your responsibility. We are always available to assist you with information about any cosmetic repairs you may choose to undertake. Attire Wear closed-toe shoes that are convenient to take off and on. Weather permitting; the tour will include the exterior and interior of your home. Anticipate dust, bending, kneeling and reaching. Please dress accordingly. Get Involved Listen carefully and take a hands-on approach. Push buttons, lock locks, and flip breakers. This helps you remember the dozens of details that will be covered in the inspection. Overall Quality Review The overall level of quality of your new home should match that demonstrated in the model homes and described in your purchase documents. Items requiring further attention are documented, and subject to follow-up work. PDI items can fall into several categories: Incomplete or missing (i.e. cabinet knob not installed) Incorrect (i.e. porch light should be polished brass, not antique) Below company standard (i.e. mitered corner rough) Damaged (i.e. scrape on wall from carpet installation) Uncleaned (i.e. mud on the garage floor) STEP 5 TARION WARRANTY CORP. & YOUR PRE-DELIVERY INSPECTION 21

28 Completion of Outstanding Items Urbandale takes responsibility for resolving warranted items noted during the Pre-Delivery Inspection. We will attempt to complete most items prior to your move-in or during the PDI follow-up appointment. If additional work needs to be performed after your move-in, please notify the Warranty Department. We will advise you of delays, which may be caused by back-ordered materials or trade contractors schedules. Please note that we will correct only warranted items recorded in the PDI document. Verbal commitments regarding the completion of items are not legally binding. STEP 5 TARION WARRANTY CORP. & YOUR PRE-DELIVERY INSPECTION Access to occupied homes in order to complete PDI items is a concern to the homeowner and the homebuilder. When appointments are made, a person over the age of 18 must be present on site to sign off on the repairs. 22

29 STEP 6 Taking Possession of your Home This section describes the documents you will sign and other important details about the closing process. Guidelines have been included to assist you in preparing for closing and move-in. At closing the ultimate goal of your Agreement of Purchase and Sale is fulfilled, that being the transfer of ownership of the new home from Urbandale Construction to you. Once Urbandale Construction s Lawyers are in possession of the unconditional Agreement of Purchase and Sale, they arrange for the exchange of documentation with your Real Estate Lawyer and respond to any title questions. Urbandale s Lawyer will also register on title any rights-of-way, easements or joint use agreements that may be applicable to the property. STEP 6 CLOSING ON YOUR HOME Keys On the day of closing, Urbandale s Lawyer will exchange with your Real Estate Lawyer the documentation necessary to close the transaction, including the closing proceeds. The keys to the property and the occupancy permit are then forwarded to your Real Estate Lawyer, and held in trust, along with the closing proceeds until the deed is registered. Closing Date When the deed is registered, your Real Estate Lawyer will give you the keys to your new home. That is the point at which you obtain the ability to access the home for movers, deliveries etc. The on-site personnel can no longer open the home locks. Timing is crucial in planning your move and locking in your loan. We can re-confirm an exact delivery/closing date when construction reaches a point where uncompleted work is unlikely to affect completion of your home. The closing takes place shortly after your Pre-Delivery Inspection. Urbandale s Solicitors set the specific appointment time with at least three day s notice. The closing process takes about an hour. 23

30 Location The closing on your new home typically takes place at the title company, although it occasionally occurs at your Lawyer s office. We will confirm the location with you when arranging the appointment. The Final Number The Statement of Adjustments The final cost of your home is available near to the actual closing date via a Final Amendment document that summarizes the transactions to date. Although a reasonably close estimate may be determined before the date of closing, the detail is found in the Final Amendment document. STEP 6 CLOSING ON YOUR HOME The Statement of Adjustments summarizes the financial transactions relating to the sale/purchase of your home and calculates the final amount to be paid on closing. It is prepared by an Urbandale Construction Accountant and is typically forwarded to our Lawyers the week preceding the closing date. Urbandale s Lawyers forward a copy to your Real Estate Lawyer who will review the statement, follow up on any items requiring clarification, and advise you of the exact amount due on closing. This final amount due on closing is generally higher than the amount listed on the final amendment to the Purchase Agreement. Reason being, the Statement of Adjustments contains items the purchaser is responsible for paying which are in addition to the actual cost of the home itself. Typical examples of this would be property tax adjustments and land transfer tax amounts. The cost of annual property taxes are allocated between you and Urbandale based on the number of days within the tax payment period each party owned the property. In most cases, we will have paid the full taxes at the beginning of the year and will be entitled to recover the portion relating to the days following the closing date. Some lots are also subject to a provincial registration fee, currently less than $100, which is another additional cost to the purchaser. The Statement of Adjustments may also contain corrections to the purchase price and/or HST calculations as stated on the Final Amendment. If this occurs, it is generally due to last minute changes. Although great care is taken in preparing the Final Amendment, the possibility of clerical error also exists. Should such corrections become necessary, Urbandale will provide full supporting documentation. The Statement of Adjustments is a standard document used in all real estate transactions. Your Real Estate Lawyer and Lender are familiar with the process. While it is important to have financing arrangements in place well in advance of the closing date, your Lender should not actually prepare the final cheque until your Real Estate Lawyer has: Reviewed the Statement of Adjustments Advised you as to the exact amount that is payable on closing Utilities Urbandale will advise the utility companies two weeks before closing that you will take over payment on the closing date. You will need to notify all applicable utility companies of your move so that service will continue in your name. We suggest that you contact these companies well ahead of your closing date to avoid any interruption in service. If you ordered a security system for the home, you can arrange to activate that system by contacting the monitoring service for a connection appointment. 24

31 Building Lot Survey You will receive a copy of a survey showing your lot and the location of your home on the lot. The survey is provided to your Lawyer prior to closing. Urbandale s surveyors established the property boundaries and corners prior to beginning construction and the survey document is often kept in possession by your Lawyer or Lender. The above and below ground monuments are for Urbandale s use only. They may be displaced or covered up by grading, excavation, installation of utility lines and other typical construction activities. If you wish to install a fence, swimming pool, deck or patio, or otherwise establish a permanent structure, you should hire a professional surveyor to locate and mark the property boundaries as well as underground utilities. STEP 6 CLOSING ON YOUR HOME 25

32 STEP 7 STEP 7 WARRANTY SERVICE PROCEDURES Urbandale Warranty Urbandale s 24-Hour Warranty Surface damage may occur during the period following your Pre-Delivery Inspection, but prior to possession. In the interests of maintaining excellent customer relations and quality service levels, Urbandale offers a value-added opportunity to identify surface damage that goes beyond the Tarion Warranty requirements. We recommend that immediately upon receiving of your keys, prior to your actual move-in, you complete a brief inspection of those items that can be damaged during movein; items such as flooring, countertops, kitchen and bathroom cabinets/doors, bathtubs, sinks and toilets. Surface damage reported within the 24-Hour period, though not previously reported on the PDI form, will be accepted under Urbandale s warranty. For Urbandale homeowners, the Urbandale 24-Hour Warranty provides an important advantage over standard Tarion coverage. Tarion warranty policies stipulate that surface damage that is not reported during the Pre-Delivery Inspection is not accepted as a warranted defect on the Tarion 30- Day form (as described on page 28). This 24-Hour list is not part of Tarion s warranty. A special form is not required. Simply your list to warranty@urbandale.com or fax to (613) The items reported on your 24-Hour list are not considered part of your PDI Form. If submitted on time, the 24-Hour list is provided to the construction office for review and any repairs are addressed during the PDI follow up. Any outstanding items from the 24-Hour list and PDI are to be transfered to your 30-Day list. The 24-Hour list is not scheduled seperately for completion and is used as a reference for surface damage reported on your 30-Day list. After the closing of your home all questions or concerns must be directed to our Warranty Department as outlined above. Your Sales and/or Design Consultant can not assist you with after closing concerns. 26

33 Emergency Service Request An Emergency Service Request is considered to be a request where the homeowner and home is in immediate danger or harm. Homeowner emergencies include failures in the heating/water systems or a continual leak that will not stop. During normal business hours, emergency items are dealt with immediately upon receipt of your call, voic or . A list of Emergency Numbers for assistance after hours, on weekends and holidays are included in your PDI Package and are available on our website. An Emergency Service Request does not include emergency situations due to the failure of municipality or utility services as they are not within the builder s control. Exterior Lists and Ongoing Spring Work Occasionally, weather prevents the completion of an exterior inspection. For homeowners whose closing has been affected by these conditions, the construction site office will schedule an exterior inspection date when more temperate weather permits. The Site Superintendent will issue work orders and ensure all defects are completed in a reasonable time frame. In most cases, a driveway is not paved until it has been allowed to settle through one complete winter season, in order to avoid abnormal settling. Items such as exterior painting, exterior window cleaning, completion of parging, grading, sod and planting of trees/shrubs commences no sooner than May 1 st. For Tarion timeline requirements please visit How To Contact Us Regarding Your Warranty Items The best way to reach our Warranty Department is by . By submitting your issues in writing we can avoid verbal misunderstandings and provide more efficient service. Often we need to consult internally or with trades before preparing a response - receiving your issues through allows us to do so. You may also submit items or inquiries through fax or voic message. When reporting items, regardless of the method used, it is important that you clearly identify yourself, and provide us with your lot number, civic address and telephone numbers where we can contact you. STEP 7 WARRANTY SERVICE PROCEDURES Homeowners with emergency service requests will be contacted within 24 business hours. Your request is considered an emergency, if your home or its residents are in immediate danger, such as failure in heating/water systems or a continual leak that will not stop. For further clarification on emergency procedures please refer to the Homeowner Information Package provided on Tarion s website at warranty@urbandale.com. Voic (613) When leaving a voic , briefly specify the type of emergency, ensuring you provide your civic address. We appreciate your assistance in advising us of any outstanding issues. Our Warranty staff will follow-up promptly with your concerns. Fax: (613) Urbandale Construction Head Office hours: Monday to Thursday 9:00am to 4:00pm, Friday 9:00am to 3:00pm (Summer 2:00pm) To receive warranty service, you will need to provide access to your home during normal working hours, 7:00am to 4:00pm Monday through Friday, excluding holidays. Under no circumstances will Urbandale accept house keys or garage codes. 27

34 The homeowner, or his/her designate, must inspect the completed work and sign our confirmation of defects/repairs form during the appointments scheduled for 30 day and year end. Tarion Warranty STEP 7 WARRANTY SERVICE PROCEDURE All Ontario builders and the homes they construct are required to be registered with Tarion. Tarion s goal is to provide superior customer service to both builders and homebuyers and to continue to better the new home buyer s experience. Urbandale s warranty service procedures incorporate the standards as set by Tarion. Our quality service level exceeds the basic construction performance guidelines established by Tarion as well as the Ontario Building Code. Before move-in day, site staff will do their best to address the items noted on your PDI form. After the possession date of the home, new service requests and follow-up inquiries on any outstanding PDI items, should be directed to the Urbandale Warranty Department. 30-Day Form: Reporting Deficiencies Within The First 30 Days Of Occupancy Please visit and register for MyHome. This will allow you to obtain your necessary warranty forms. Please ensure that you fill out this form, reporting all new items of concern and any outstanding PDI & 24 hour items. Submit this list to Tarion AND Urbandale, within the FIRST 30 days of occupancy. In doing so, we will ensure that all warranted items on your list are resolved in a timely manner. If, after we have repaired all of warranted items on Tarion s 30-Day form (list), you are concerned or uncertain about another issue in your home, please advise the Warranty Service Department in writing. We will confirm: If this problem is acceptable after submission and completion of the 30-Day form. Whether the item should be reported on the Year-End form Whether it will be addressed immediately as it could cause additional problems or inconvenience Year-End Form: Reporting Deficiencies Within The Last 30 Days Of The First Year This form is also available through the Tarion MyHome portal. Please ensure that you fill out this form, reporting all items of concern and submit this list to Tarion AND Urbandale within the LAST 30 days of occupancy within the first year. 28

35 APPENDIX A The following terms are used in the selling, building and buying of homes. This glossary does not offer technical or legal definitions. It provides background information for customers seeking to know more about the home-buying process. Amortization Period: The number of years you must make mortgage payments. At the end of the period your mortgage is gone and the bank no longer has a claim to your property. Builder: The company responsible for the construction of the houses in any particular subdivision. The builder buys the serviced lots from the land developer. The builder is then responsible for digging and pouring the foundation, construction, and finishing the home. In most cases, the builder does not subdivide the land, bring in services or grade the land. The developer does this, although some builders are also developers. APPENDIX A GLOSSARY Closing Date: The date upon which title to the house and property is transferred from the builder to the buyer. On this day, the house is legally yours and you can move in. Deed: The written legal document by which title to land is transferred between two parties. Deposit: The sum of money given to the builder to hold your lot and begin construction on your new home. Developer: The company responsible for taking raw land, subdividing it into lots, bringing in the services (sewers, water, etc.) building the road and grading the land to ensure sufficient and proper draining of surface water. The developer then sells the serviced lots to the builder. Sometimes, the same company takes on the dual role of developer and builder. Design Centre / Design Centre Consultant: With the assistance, direction and knowledge of our Design Centre Consultants, Urbandale s Design Centre is the primary location where your interior selections and personalizations will occur. A wide variety of selections are offered. Homebuyers can choose from products, materials, suppliers and manufacturers that have gained our trust. Indeed, Urbandale has maintained positive working relationships with many of the suppliers and manufacturers for decades. Down Payment: The total amount of money you put down on the home when you take ownership. Draft Plan Approval: The subdivision must have this approval in order for the builder to legally sell lots. Draft plan approval means the municipality has approved the developer s plan for the community, subject to the developer fulfilling certain obligations set down by the municipality. Easement: A right belonging to someone other than the landowner to enjoy a section of property. The easement could give an individual company or government the right to access the land; it could give them the right to dig up the land; or it could prevent the landowner from building on the easement area. Before purchasing the property, your Real Estate Lawyer should detail all easements on the property. Minor easements allow your local hydro company access to meters and allow Bell Canada to dig up buried lines. 29

36 Eaves: An eave is the edge of a roof. Eaves usually project beyond the side of the building. Freehold: A form of land ownership which gives the purchaser exclusive title to the land they have purchased. Exclusive ownership means exclusive responsibility for the maintenance and expenses of the property. APPENDIX A GLOSSARY Interest: The lending institution will quote you a percentage rate. Whatever rate you are given, you must pay this portion in addition to the principal to the institution each year. These payments are what you give the institution in exchange for it lending you money. The amount is calculated into monthly payments and added to the amount of principal you must pay off each month. The total is your monthly payment. Mortgage: The amount of money you borrow from a financial institution in order to buy your new home. Mortgage Payment: The amount of money you must pay the financial institution, usually on a monthly or semi-monthly basis, in exchange for the institution lending you the money you need to buy the home. Your mortgage payment is allocated by the bank to covering accumulated interest and reducing the loan principal. Parging: Parging is a thin, plaster-like coating of cement-based mortar that is often applied to exterior blocks and other foundation walls to make them look better and last longer. Pre-Delivery Inspection: This is an inspection of a new home by the purchaser in the company of the builder s representative. It should be performed three to five days before you take occupancy. Any items, which you do not deem satisfactory, should be noted on the builder s Tarion approved PDI Report Form and on the Tarion certificate. Principal: The principal is equal to the total amount of your mortgage. This portion of your monthly payment goes toward paying off your mortgage. Registered Subdivision: A builder cannot get a permit for construction of a house unless the plan of subdivision is registered. Once a plan is registered, the municipality has approved the design and standards presented by the developer. (Also see Draft Plan Approval ) Specification Sheet: New home sales agents issue this sheet to convey the standards the new home will be built to. It usually lists items as the type of flooring to be used, the electrical systems, the type of heating systems and details of the wood sizes to be used for framing the house. Subdivision: This refers to the land being developed where your home will be located. It is called a subdivision because one large piece of land will be sub-divided into smaller lots and then sold to many purchasers. Subdivision Agreement: Details site plan conditions, restrictions and covenants, and purchaser acknowledgements that apply to the community in which your home will be constructed. Sub trades: The trades often hire out to other companies to assist them in completing their work. (Also see Trades) Title: Ownership of property. Trades: The builder often hires specialists to help construct the home. 30

37 CLOSING Referral Program As an Urbandale customer you can now take part in our referral program! Its purpose is to thank you for sharing your Urbandale home buying experience with others. We encourage you to participate in this rewarding program by recommending Urbandale to your friends and family. Loyalty Program If you are an exisiting Urbandale homeowner purchasing your second, third, fourth (etc.) Urbandale home - we offer a special loyalty program for our repeat purchasers. It is our way of thanking you for your continued support and for being part of the Urbandale family of homeowners. Please ask a Sales Consultant for more information about these rewarding customer programs. CLOSING REFERRAL & LOYALTY PROGRAMS 31

38 URBANDALE CONSTRUCTION has been building high quality homes for more than 35 years. We are committed to assuring customer satisfaction. We are with you every step of the way -- before and after the sale, during construction and after you ve moved into your new home. THERE S COMFORT IN HIGHER STANDARDS