- Sale Transaction
When you decide to sell your home, we will do a title search on your home to make sure there are no defects. We will also draft the deed of the home for the buyer, calculate any closing costs you have to pay and draft a Statement of Adjustments for you. On closing day, we’ll facilitate the financial transaction and wire you the funds for what’s leftover, after paying off anything you owed on your mortgage, your real estate agent’s fees, legal fees, etc.
- Purchase Transaction
If you’re buying a home, you’ll want to start working with a real estate lawyer as soon as you sign the agreement of purchase and sale. From thereafter, our job is to: conduct a title search, get title insurance in place, register the home in your name, draw up a Statement of Adjustments, and facilitate the financial transactions on closing day. Oh, and then we’ll give you the lockbox code to get your keys your new home!
- Refinance Transaction
If you’re refinancing, our job is to conduct a title search, to ensure it’s clear of defects; this protects both you and your lender. After that, we will register the new mortgage amount and facilitate the rest of the financial transaction. When you refinance, we draft up a Trust Ledger Statement instead of a Statement of Adjustments; it’s essentially the same financial document, but your transaction is only with the bank – not another buyer or seller.
- What are my closing costs?
One of the most common concerns for first-time home buyers is understanding the closing costs associated with purchasing a property. Closing costs typically include legal fees and disbursements, government registration fees, title insurance, and the Ontario Land Transfer Tax. It's important to have a clear understanding of these costs to budget effectively.
- Legal Fees & Disbursements: On average, legal fees range from $1000 to $1500.
- Government Registration Fees: These fees are required to register the transfer of ownership and mortgage on the property.
- Title Insurance: Title insurance protects the owner from any defects affecting the title to the land.
- Ontario Land Transfer Tax: The amount of land transfer tax payable is based on the purchase price of the home.
- What ID is required?
When you're meeting a lawyer regarding a property transaction, it's imperative to carry two forms of identification. This could be your passport, driver's license, social security card, permanent resident card, citizenship card, or birth certificate. These documents are essential for verification purposes and to ensure that the property transaction is conducted legally.
- Do I need an experienced lawyer?
Purchasing, selling, or refinancing a property is often one of the most significant transaction an individual makes. Therefore, hiring a lawyer experienced in real estate transactions is critical for a smooth process. Such a professional ensures that both parties fully understand their rights and responsibilities, thereby avoiding potential legal issues that may arise due to lack of awareness.
- Do I need a lawyer to review my Agreement of Purchase and Sale?
A real estate contract, prepared by a lawyer or a real estate agent, is a legal document that outlines the rights, obligations, and terms of the transaction binding all parties involved. It is crucial to have this document reviewed by a lawyer to ensure that the clauses accurately reflect the transaction's terms and adequately protect the client.
Before signing an Agreement of Purchase and Sale, it's wise to consult a lawyer. Adding a clause that makes your offer conditional upon your lawyer's review can provide peace of mind and ensure that necessary changes can be made based on legal advice received.
- What is a deed?
The deed is a government document that the property seller signs, acknowledges, and delivers to the buyer, effecting the property's transfer. As this document is the legal proof of the transfer, clear execution is crucial. A lawyer with real estate expertise can ensure the correct transfer occurs, thereby avoiding any ambiguity or potential liability issues in the future.
- What are the mortgage papers?
If a buyer requires a mortgage loan to complete the transaction, it's prudent to have the mortgage papers reviewed by a lawyer. These documents create a lien against the property and obligate the borrower to repay the loan. Only a lawyer can accurately explain their legal effects and ensure they are prepared correctly.
- I am eligible for land transfer tax rebate?
First-time home buyers in Ontario can qualify for a Land Transfer Tax Rebate of up to $4,000. However, determining whether you're a first-time buyer involves answering a series of questions to assess eligibility. This rebate is instantly applicable upon registration of the transfer, meaning the purchaser doesn't have to pay first and get reimbursed later.
- Why is a title review important?
A title review is a critical step in any real estate transaction. It involves examining the history of the property's ownership and verifying that the seller has clear and marketable title rights to the property. By conducting a thorough title review, an attorney can help prevent potential legal disputes or complications down the line, protecting the buyer's interests and providing peace of mind.
- What is title insurance?
Title insurance secures purchasers against certain risks such as zoning violations, municipal work orders, and encroachments. It can complement or even replace the need to conduct extensive inquiries regarding building, zoning, and municipal utility compliance matters, saving you a significant amount of money in search expenses. This is often required by your lenders
- What is home insurance?
Home insurance is an essential aspect of homeownership. While it is not mandatory by law, your mortgage lender may require it if you are buying a freehold property. Condominium properties have two layers of insurance: one provided by the condominium corporation and another obtained by the owner of the unit.
Home insurance covers loss and damage to your property, protecting you from events such as fire, theft, water damage, and more. The coverage is typically divided into three main types:
- Dwelling Coverage: This covers the actual building and protects against specific events known as insured perils, such as fire, smoke, and theft.
- Contents Coverage: This protects your personal possessions, including furniture, electronics, and clothing, against theft, damage, or vandalism.
- Personal Liability Coverage: In the event that someone gets injured on your property, personal liability coverage will cover legal defense and settlement costs.
It's important to assess your coverage needs and budget, as each coverage type has its own limits. Speak with an insurance broker or agent to find the coverage that suits your requirements.
- What is a condominium status certificate?
Purchasing or selling a condominium differs significantly from a regular home transaction due to rules, regulations, budgets, reserve funds, and statutory requirements that must be complied with. It's crucial to seek legal advice from experienced real estate lawyers to navigate the complexities of a condominium purchase or sale, including the review of the status certificate provided to you by the condominium.