Closing Costs and Process
"For the Buyers"
|Money needed as part of mortgage policy and qualifcations.|
VARIES MIN 5%
Typically if you put less then 20% down payment, mortgage
This depends on individual lender policy. Some lenders cover cost
Lenders may charge buyers small fees. Typically built into
|Land Transfer Tax|
Buyer has to pay upon purchase of a property. In Ontario,
The lawyer in charge of legally closing your real estate transaction;
|Miscellaneous Legals||Lawyers will charges for photocopies, mailing, faxing and other....||VARIES|
Depending on when your closing date occurred would stimulate
the need to adjust for property taxes, services or other items
related to the property. Essentially the previous owner is
responsible for these on PER DAY up to and EXCLUDING the
day of closing. Day of closing is responsibility of the buyer.
Typically lenders will demand proof of insurance before they
forward the funds or release on closing date. It is a legal
requirement is some jurisdictions.
If you are buying a new home from and builder, vacant land or
commercial property then traditionally these would qualify. New
home builders may put as term to have an H.S.T rebate back to
the builder. Either way, would be cost to the buyer. Some tax
rebates may exist.
This is always recommended but may not be practical in some
cases. Inspections are designed to identify and educate on that
particular property. In some cases items may be found that seller
not aware of and warrants further discussion between parties.
Condo Status Cert.
These are documents, if buying a condo, would be a recommended and needed condition outlining the financial status of any condo building. Typically includes: rules and regulations declarations, bylaws, insurance information, various financial information, legal description etc. It may also outline any legal judgements against the condo corporation, the possibility of common fee increases, special assessments or insurance claims, all of which could effect the condo fees and its legal responsibility. Buyers are buying the corporation as well NOT just the unit/condo.
|$200 Paid by Seller|
Some buyers need this service and varies from amount of items
to distance of move
*It is always recommended to verify true applicable costs with the lawyer, mortgage lender, insurance, inspectors, etc...as it pertains to your specific purchase
This is much less involving and less expense on the selling end...essentially you would be responsible for:
1. Lawyers Fees
2. Miscellaneous Lawyers Fees
3. Legal Statement of Adjustments
*Typically the seller(s) would be purchasing and new home at which the above would then be applicable aswell.
2. Buyers Closing Cost Worksheet: