u/Sea-Set-3216

▲ 53 r/OntarioRealEstate+1 crossposts

Water Heater Rental - How is this legal?

Can someone in Ontario real estate explain how this is legal?

I'm a firm buyer on a new build. Buried in my Agreement of Purchase and Sale is a clause that binds me to assume a water heater rental

from a company that isn't named

on terms I've never seen

for a length I don't know

with a buyout amount nobody disclosed.

I'm told this holds up from the lawyer I hired to review the APS

So I'm genuinely curious:

→ How does a signed obligation to assume an unnamed contract, on undisclosed terms, survive basic contract principles?

→ Is "you'll find out after closing" actually the standard?

→ And let's name the elephant in the room - builders take a per-home payment from these rental companies. How is that not a conflict that should be disclosed to the buyer?

How, in 2026, Can a buyer can be locked into 10–15 years of payments before anyone tells them who they're paying, how much, or how to get out.

Lawyers, agents, builders, fellow buyers — What am I missing, and has anyone actually pushed back on one of these successfully?

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u/Sea-Set-3216 — 6 days ago