YOU’VE GOT A DEAL NOW WHAT
I wanted to give you a bit of background and information that you will require for your upcoming purchase/sale. If you are obtaining mortgage financing, it is essential that you notify your Bank and provide them with all of my details, as well as your lawyers so that mortgage instructions can be received forthwith. As we work towards the closing date itself, your lawyer will need to sit down with you to execute all of the closing documentation. We usually do this a day or two before closing itself.
- If we have a home inspection condition and we will be working through the condition you will be contracting a home inspector. The average cost is approx $400 on a regular sized home up to 2500 square feet. Please print and bring this home inspection checklist
- ?Ensure that your mortgage person has a complete set of the completed agreement
- Once the conditions are removed by a waiver/ notice of fulfillment you have what is called a firm deal.
You will want to make arrangements with a moving company to ensure you get out of your old home damage-free and on time
We usually try to set up the closing date 3-4 days after your purchase closes; you just have to make sure that you are allowed to bridge. ie hold 2 mortgages over that period
* Don't forget to arrange your home insurance. Usually your car insurer will provide a multi line discount, so make sure you ask for that! Also your insurance company will likely provide you a discount if you have security monitoring installed (Rogers or Bell home monitoring is a good option) See a typical questionairre your insurer will ask you
You will need to look after placing your own home insurance on the property and please have your insurance company fax your lawyer the binder letter of insurance coverage in advance of the closing date.
Also important for your consideration, is Mortgage insurance or life insurance. While mortgage insurance is a good product I don’t personally recommend it, as the premium stays consistent through the life of the mortgage while the payout is only the amount remaining owing on the mortgage.ie. If you paid down your mortgage over 15 years and only have $100,000 balance remaining the policy will only pay off the balance. Term life insurance is better. If this isn’t to clear call me and I can explain. If you would like to talk to a professional about this I have one that I can recommend to you. See the benefits of Life insurance vs Mortgage insurance here
With regard to utilities, you will need to set these accounts up yourself. Your lawyer can no longer do that due to new privacy laws in the Province of Ontario. It may be possible if you already hold accounts with any of these companies that they just transfer your account, that way you dont have to pay their new account set up fee.
OPEN / CLOSE all appropriate accounts for services. I.e. Cable/internet, Gas, Hydro (incl Electricity), Home alarm system, Hot water tank rental, ect. See here for a list of the service providers in your city (good idea to download a copy for yourself) You need to make the contact to set up your accounts.
Typical accounts include: Hot water tank rental, Water utility, electrical utility, gas, cable/ internet. Your lawyer will take care of setting up your tax acct with the city.
With respect to the funds required on closing, in addition to the balance due on closing taking into account your deposit and there will be a realty tax adjustment, there are the lawyer's fees, disbursements and land transfer tax.
I will send your mortgage person everything that is required. Just let me know who this is ASAP. I have contacts with each of the banks, just ask me for this.
As mentioned I have many mortgage partners who can get you the deal you deserve.
Let us know right away which lawyer you will use to represent you. We have a few great options, including a mobile signing service that comes to you.
Here’s what you can expect between the time the contract is accepted and subject-free (this means firm with no conditions) and the time the transaction completes:
UPON ACCEPTANCE OF OFFER:
- Deposit cheque given to Sellers listing agent for deposit in trust account - this deposit cheque is applied by your lawyer towards your total down payment towards the deal.
- We work diligently to successfully complete the conditions, within the accepted timelines
ONCE THE DEAL IS FIRM (CONDITIONS ARE REMOVED)
- Buyer & Seller choose lawyer/notary public to handle preparation of transfer and/or mortgage documents
- Royal LePage Realty Plus Conveyancing Department will forward fully-accepted Contract of Purchase & Sale to the lawyer/notary
- OPEN / CLOSE all appropriate accounts for services. I.e. Cable/internet, Gas, Hydro (incl Electricity), Home alarm system, Hot water tank rental, ect.
- I have a checklist of items that we will work together on as we prepare to close ?
1 WEEK PRIOR TO COMPLETION:
- Make appointment with your chosen lawyer/notary to complete the required transfer and/or mortgage documents
- Lawyer/notary will advise the buyer of the exact amount of funds required for closing on a statement of adjustments (purchase price, adjustments, property transfer tax)
- Lawyer/notary will advise the seller of the net proceeds to be received on a statement of adjustments and how to obtain their excess deposit cheque (from the lawyer/notary or from my real estate office)
- At your appointment with your lawyer/notary, review the Statement of Adjustment to determine that you are receiving the correct amount of money
- ARE YOU MOVING TO A CONDO? make sure to call the property management company to get all of your direct deposit forms, and resident information forms
- Transfer documents registered at Land Title office
- Respective lawyer/notary will call their clients to advise of completed deal
- Typically buyer goes to their lawyers office to pick up the keys - we can pick up for you
- Typically deals close between 2-4pm
- Excess deposit cheque will be issued to the sellers by the buyer’s real estate company or the buyer’s lawyer/notary (an amount equal to the amount of the buyer’s deposit less the realtor’s commission + GST). If issued by the buyer’s real estate company, this may take a few days to receive, depending on the company’s procedures
- Cheque for interest, if any, on the buyer’s term deposit will be issued to the buyer
- Seller will leave their extra keys, garage door remotes and any instructions and / or manuals on the kitchen counter
- Send any deficiency photos/ concerns to your agent+lawyer immediately
Lastly, please let your lawyer know that on closing day you give me permission to pick the keys up on your behalf.
I think that covers everything. Please let me know if you feel I’ve missed anything as this is now a new email template, and I’m always looking for new ways to improve my systems/ processes.
Also Remember to:
- Change your driver’s license
- Update your bank/ the CRA with your new address
- Canada post - you will want to redirect your mail. COST $$49.95 for 3 months $16.65 per month thereafter. As you get mail call these companies to update your mailing address.
When you move in make sure to:
- Buy a fire extinguisher to keep under the sink
- Clean out the lint trap for the dryer
- Get an Air duct cleaning
- With the events surrounding covid you may want to look at having
- Check expiry date and update fire alarms / change batteries
- home comfort plan
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List: Buschteam.ca Connections List , The Builders Broker
Also see the list here, know anyone we could add?
Make sure to print or save the maintenance checklists for your new home here: http://www.buschteam.ca/blog/maintenance-checklists/