Let’s Talk Closing
Closing Date
When thinking about a closing date it is important to have a look down the road at your work schedule(s), conferences, family events, vacations, etc. Think over when an ideal closing date would be so that you have your ideal “move date” in mind when the time comes to make an offer (and don’t schedule it when you need to be in two places at once!) A typical closing period is 30-60 days.
If we find ourselves competing in a multiple-offer scenario, it is best to find out the preferred closing date of the seller. This will strengthen our offer by addressing a certain date the seller might be expecting.
We recommend closing on a Thursday whenever possible so that you have Friday to move and the weekend to unpack. Also, if anything strange happens on closing day, there is still one more business day to solve things (lawyers and land registry are not open on the weekend).
Movers
The beginning and end of the month is the busiest time for movers. We suggest booking them as soon as possible once you finalize your moving day, or about a month before, to ensure they have availability.
Keys
Your lawyer will call you on the day of closing to let you know that the title is transferred, and the keys are ready for pick up. On closing day we will check in with you to make sure you have closed and have the keys in hard, as some lawyers do not inform the realtor involved. Keep in mind that on your official closing date, you typically will not see your keys until between 12 and 2pm.
Insurance
After purchasing your new place, we'll make sure that you're ready to speak to your insurer by providing you with some answers to typical questions they will have about your new space.
We may not have the answers to everything, but we will provide them with what we know!
Then, you will need to arrange home insurance before closing. Your lender will expect to see a binder letter from the insurance company, or they will not release funds on closing day. It doesn’t take long to arrange, but they do require many details about the property. You’ll need to take the binder letter to the lawyer’s office typically 2-3 days before closing.
Mortgage
As you approach the closing of your new home, check in with your mortgage broker/lender to ensure that all conditions have been met on your mortgage approval. Once this step is complete, your mortgage broker/lender will connect with your lawyer and will send them a detailed documents package, referred to as your "mortgage instructions".
Within the mortgage instructions is a detailed list of the items that your lawyer will be completing in preparation for your closing date. Your lawyer will reach out to you at this stage in the process to let you know of the final funds that you will need for time of closing, as well as any necessary documents that you may need to have with you for your lawyer's signing appointment. Once you sign with your lawyer, they will then be working closely with your bank and with the sellers of your new home.
Once your lawyer receives the mortgage funds from the bank, as well as your final down payment funds- they will ensure 100% of the purchase price is transferred to the sellers. Once this step is complete... you can pick up your keys! Congratulations, you are a homeowner!
Lawyers
A heads up on a few things your lawyer will need from you later in this process…
Insurance rider for any new home. Proof of fire insurance coverage (binder letter) if the property is NOT a condominium.
Government issues IDs. Typically, two pieces of Canadian photo ID. This is mandatory for title insurance purposes.
A void cheque. This is required by the mortgage lender.
Confirmation that you have contacted and arranged a transfer of all utility accounts (water, hydro, and gas). Your lawyer is not allowed to arrange these transfers on their behalf.
Speaking of lawyers…
It is a good idea to start thinking about who you would like to use as soon as you can as things move quickly after the sale. If you do not have anyone in mind, we have contacts that we can provide you with so that you can have a conversation and get a feel for who they are and what they have to offer.
For buyers that have not gone through many buys/sells, we recommend going with a lawyer who is going to keep you involved and walk you through the process!