Completing Your Real Estate Sale

The Role Of Your Lawyer

Your lawyer’s job is to certify good and marketable title to

the property, free of encumbrances, liens and judgments.

Your RE/MAX Hallmark REALTOR® will deliver all

documentation related to the sale to your lawyer.

Registering The Mortgage

The lawyer receives instructions from the mortgage

company, prepares the draft mortgage document, forwards

the draft to the lender, makes amendments if required and

arranges for you to sign the documents. The mortgage

company then releases the funds to your lawyer. Some

lenders prefer to pay the property taxes on your behalf to

ensure the taxes are never in arrears. In this case, the

mortgagee will hold back a certain amount from the

advance on closing to start a tax account. Your payment

will include the taxes in addition to the regular principal in

interest. Check with your mortgage representative to see

how your taxes will be handled.

Insurance

You are required to place fire insurance on the property.

The coverage should be for at least the amount of the

mortgage to be acceptable to the mortgagee. A guaranteed

replacement clause is usually acceptable and must take

effect on the closing date.

Statement Of Adjustments

The closing balance to be paid by the Buyer is “subject to

the usual adjustments.” The statement of adjustments is a

system of credits and debits whereby amounts are added

to or subtracted from the balance to be paid by the Buyer,

depending on whether or not the Seller has paid certain

items in advance.

Legal Fees

A lawyer will usually charge between $750 and $1,000,

plus disbursements, for a straightforward real estate

transaction. This is payable prior to closing.

Land Transfer Tax

Payable by the Buyer on closing, the tax is based on the

purchase price.

Day Of Closing

The lawyers or clerks exchange documents and funds to

close the transaction. You can expect to get access to your

new home by late afternoon on that day, but check with

your lawyer. Changing locks is recommended after closing

as a safety precaution. If you have any dead-bolt locks on

your doors, it is a simple matter to remove the cylinder and

replace it with a new one.