Short answer
Treat them as three connected deadlines. The offer deposit is usually due under the purchase agreement, the lender needs an acceptable down-payment trail during underwriting, and the lawyer needs cleared closing funds before completion.
The real concern behind the question
The buyer has enough money in total, but it is spread across an FHSA, RRSP, foreign account, gift and investment sale. Timing, access, settlement and documentation can still prevent that money from being ready for closing.
What is fact, and what is still an assumption?
- The deposit is part of the down payment, not an additional mortgage benefit.
- Lenders and insurers may require recent statements and proof of the source of funds.
- Registered-plan withdrawals, investment sales and international transfers can take time and create extra documentation.
- Closing costs are paid in addition to the remaining down payment.
A practical Ontario example
Illustration only: A buyer plans to withdraw from an FHSA two days before closing and receive a family gift the same day. The funds may be legitimate, but the lender and lawyer may not receive acceptable evidence or cleared money in time. Rajiv moves the documentation and withdrawal plan earlier.
Rajiv’s mortgage-broker view
A cash-to-close map should show the account, owner, source, expected withdrawal date, transfer route and amount for every dollar. If there is a large deposit or transfer in the recent review period, the explanation and supporting statements should be ready before the lender asks.
How the available lending routes may differ
A lending: An A lender usually expects the income, credit, debt ratios, down payment and property to fit its current policy. When mortgage default insurance is required, the insurer must also accept the file. A pre-approval or broker review does not replace the live lender and property decision.
Alternative or B lending: A B lender may consider wider income evidence, credit explanations or debt-ratio exceptions when there is enough down payment or equity. The client should see the rate, lender fee, broker fee, term, payment and planned path back to A lending before proceeding.
MIC or private lending: An MIC is an institutional lender using pooled investor capital; an individual private lender advances private funds. Either may offer short-term, interest-only, amortized, open, partially open or maturity-matched structures depending on the file. This route needs a dated exit, full cost calculation and enough equity. It should solve a defined timing problem, not hide an unaffordable purchase.
What to do now
- List every source of deposit, down payment and closing cash.
- Confirm withdrawal and settlement times with each institution.
- Keep statements before and after every transfer.
- Ask the lawyer when and how cleared funds must arrive.
Money-trail warning
Keep a clean trail for the deposit, down payment and closing funds. If a large deposit or transfer appears in the recent statements requested by the lender, preserve the source documents and explanation. Do not move money between accounts repeatedly, borrow new funds or open credit without discussing the mortgage file first.
Where professional roles meet
The mortgage broker coordinates the financing questions. The Realtor advises on the search, offer and representation. The lawyer advises on the contract, title and closing. The appraiser addresses value for the lender. The home insurer confirms insurability. One professional’s work does not replace another’s.
Source checked 2026-09-07: Read the primary guidance. The source explains the public process or insured-program guidance; individual lenders keep their own underwriting and documentation policies.
Continue the client journey
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Before the next deadline
Book a First-Home Mortgage Strategy Session with Rajiv Verma, Mortgage Broker. Send the accepted offer or proposed price, property listing, income documents, debts, down-payment statements and closing date. Rajiv can separate what is confirmed from what is still exposed before you waive a condition or commit more money.