However, with the exception of any marketing and advertising restrictions, the original buyer must make it clear in each offer that it is an assignment of a sale and sale agreement, not just an alleged sale by the original buyer. Even if the original buyer has essentially transferred his right to buy the property to the new buyer, the original buyer is not completely off the hook. On the contrary, if the new purchaser does not enter into the transaction with the owner, the original buyer may enter into agreement with the contract under the terms of the transfer document. This finding depends on whether the transfer is a “taxable benefit” under the tax legislation and whether the original purchaser can be considered the “contractor” of the house for HST purposes. This involves a series of complex legal concepts and factual findings – including the original buyer`s intention to know whether the home will be a principal residence. Does this mean that the original buyer will get away with it freely after the signing of the transfer agreement? No no. When negotiating the deal, the original buyer and the new purchaser must discuss the structure of the deal between them in order to determine the exact sale price at which the property transfer tax (and each communal tax on land transfers) must be paid. whether this is the initial purchase price at the owner (net of HST and hst New Housing Rebate, which is explained below), or if it is the newly inflated price paid by the new purchaser in connection with the sale. It is important to remember that, at first, the original buyer and the owner had a valid legal contract requiring the buyer to buy a house or condo from the owner. This original buyer, for whatever reason – whether it is a change in circumstances (for example. B a change in marital status, a transfer of employment to another city, province or other country; Birth of children who make a dwelling or property unit too small for the buyer), cold feet or simply the desire to make a profit – subsequently decided to “sell” this right to buy to the new buyer. When negotiating the task, the agent and agent must be aware of the impact of the New Home Warranty Program, as managed by Tarion.