Real Estate Information (Important Notes for Home Buyers)
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 to Land Transfer Tax or for the home page of the Ministry of Finance please click this link www.trd.fin.gov.on.ca
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* - your lawyer may recommend purchasing Title Insurance.
Closing adjustments with the Seller* - realty taxes and utility charges 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.
Arranging a new mortgage* - normally incur appraisal fees and mortgage application fees. Mortgages with less than 20 per cent down payment usually need to be insured, please visit Canada Mortgage and Housing Corporation (CMHC) for more information on mortgage insurance.
Other Services* - telephone, cable TV, home insurance, these other services are usually cancelled by the previous owners. You will need to arrange these services for your new home, talk to your real estate lawyer for more information.
Please be sure to take these extra costs into account when deciding on how much you wish to use for deposit and down payment on your next home.
*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.