Graham Edwards, Real Estate Broker.
Royal LePage Real Estate Services Ltd. Brokerage

Real Estate Information, Knowledge is Power
(Important Notes for Home Buyers)

Three minute read.
 


Closing your real estate deal should not bring about any surprises to you. In addition to the basic negotiated purchase price of the property, it is important to note that home buyers will need to set aside extra money for further costs. These further costs normally include but are not limited to:

Land Transfer Tax* - is imposed by the Ministry of Finance on the acquisition of an interest in land. Please visit this direct link www.fin.gov.on.ca/en/tax/ltt/index.html or for the home page of the Ministry of Finance please click this link www.ontario.ca/page/ministry-finance

Home Inspection* - is highly recommended by REALTORS®, in order for you to be aware of the condition of the property.

Legal fees and disbursements* - the expenses a lawyer incurs on your behalf.

Title Insurance* - please speak with your solicitor, they may recommend that you purchase Title Insurance.

Closing adjustments with the Seller* - property tax and utility charge adjustment. Closing adjustments may include the payment of the required portion of property taxes and non-metered utilities prepaid by the seller beyond the closing date. Certain transactions could generate closing adjustments for condominium maintenance fees or rental income adjustments. Please speak with your solicitor about these closing adjustments.

Arranging a New Mortage* - these normally incur appraisal fees and mortgage application fees. Mortgages with less than a given percentage down payment usually need to be insured, please visit Canada Mortgage and Housing Corporation (CMHC) for more information on mortgage insurance.

Property and Contents Insurance* - it is advised that your new property is insured for your closing date and beyond.

Other Services* - telephone, cable TV, internet, these services will be cancelled by the previous owners. You will need to arrange these services for your new home, talk to your real estate solicitor for more information.

Please be sure to take these extra costs into account. This will help you decide on how much to use for the deposit and down payment, on your property purchase.


*The above information is intended to be general in nature, although every effort was made to ensure its accuracy. Always seek professional advice specific to each situation as required.