DEDICATED REAL ESTATE LAWYERS SERVING MILTON AND HALTON
Our dedicated and experienced real estate lawyers can help you buy, sell, or refinance your residential or commercial property anywhere in Ontario. Our diligent and professional team handles real estate transactions efficiently and affordably. We keep our clients well-informed and confident throughout the entire transaction.
Real Estate Purchases
Whether you are a seasoned investor or a first-time home buyer, buying a property can be a daunting task. Our lawyers strive to keep it simple and stress-free for our clients. It is a multi-stage process which commences when the buyers and sellers sign an Agreement to Purchase and Sell (APS).
- Review of Agreement of Purchase and Sale to understand the terms and conditions
- Title search to check that title to the property is clear and free of any encumbrance, liens etc. Along-with, writ search is performed against the buyers and sellers to ensure that there are no active writs against either party
- Requisitions to seller’s lawyer regarding any issues on the title that need to be addressed before closing. Such issues could be existing mortgages, liens, easements, notice of security interests, or any other encumbrances
- Review of mortgage documents
- Order the Title Insurance policy
- Review of Home Insurance policy
- Preparation of closing documents
- Signing of closing documents
![Real Estate Law](https://aglpc.ca/wp-content/uploads/2021/03/m-4-1024x493.jpg)
Real Estate Purchases
Whether you are a seasoned investor or a first-time home buyer, buying a property can be a daunting task. Our lawyers strive to keep it simple and stress-free for our clients. It is a multi-stage process which commences when the buyers and sellers sign an Agreement to Purchase and Sell (APS).
- Review of Agreement of Purchase and Sale to understand the terms and conditions
- Title search to check that title to the property is clear and free of any encumbrance, liens etc. Along-with, writ search is performed against the buyers and sellers to ensure that there are no active writs against either party
- Requisitions to seller’s lawyer regarding any issues on the title that need to be addressed before closing. Such issues could be existing mortgages, liens, easements, notice of security interests, or any other encumbrances
- Review of mortgage documents
- Order the Title Insurance policy
- Review of Home Insurance policy
- Preparation of closing documents
- Signing of closing documents
Review of Agreement of Purchase and Sale (APS) for Real Estate Purchases
Be it re-sale home, builder property or a condominium, we review the APS with our clients. We assist our clients in understanding the terms of their mortgage commitment and further prepare all the closing documents. We identify any issues on the title of the property such as registered mortgages, liens, easements, writs and any other encumbrances. We address these issues with seller’s lawyer, title insurance company and the mortgagee.
We understand real estate law can be overwhelming. Read through the guide below to learn more about the terms you’ll hear and read about in a real estate legal transaction.
Costs
A real estate purchase transaction involves the following costs: Legal Fee and Disbursements, Land Transfer Tax (Provincial Land Transfer Tax and Municipal Tax, where applicable), Title Insurance, Home Insurance, registration of transfer and charge, interest adjustments, incidental costs such as costs for extension etc.
Land Transfer Tax
Land Transfer Tax is applicable when you a buy a house, condominium, or land anywhere in Canada outside Alberta and Saskatchewan. In City of Toronto, Municipal Land Transfer Tax is applicable along-with Provincial Land Transfer Tax. In most provinces the tax is calculated based on the purchase price of the property. Each province sets its own land transfer tax rates, as do some municipalities.
Title Insurance
Title insurance protects lenders and buyers from financial loss due to defects in a title to a property. Any real estate transactions must have a clear title to ensure the property is free from liens. A title insurance policy will cover numerous risks like flawed records, incorrect ownership, and falsified documents. The most common claims filed against a title are back taxes, liens, and conflicting wills. Title insurance protects both lenders and homebuyers against loss or damage occurring from liens, encumbrances, or defects in a property’s title or actual ownership. Unlike traditional insurance, which protects against future events, title insurance protects against claims for past occurrences.
Having no title insurance exposes transacting parties to significant risk in the event a title defect is present. Consider a homebuyer purchasing their dream house only to find, after closing, unpaid property taxes from the prior owner. Without title insurance, the financial burden of this claim for back taxes rests solely with the buyer. They will either pay the outstanding property taxes or risk losing the home to the taxing entity. Under the same scenario with title insurance, the coverage protects the buyer for as long as they own—or have an interest in—the property. Similarly, the lender’s title insurance covers banks and other mortgage lenders from unrecorded liens, unrecorded access rights, and other defects.
Home/Fire Insurance
Fire Insurance policy is one of the most important factors in a purchase transaction. Prior to the closing date, you must arrange for fire insurance policy for the subject property as of the closing date.
If you are obtaining mortgage, the lender must also be noted as loss payee on the policy and you are recommended to ensure that the policy provides for “guaranteed replacement cost” as most lenders require this. Your insurance agent will need to provide us with a Binder Letter or Certificate of Insurance showing that the fire insurance policy is in place. Please organise this as soon as possible.
Most lenders will not advance funds in the absence of a Fire Insurance Policy. We cannot use mortgage proceeds on closing unless we first verify that the fire insurance policy is in place and the lender is listed as an additional insured on your insurance policy.
Status Certificate
Status Certificate review is important during the purchase of condominium or condominium townhouse. We conduct a review of the Status Certificate and provide our clients with a report. It is important that the Status Certificate and accompanying documents be provided as soon as possible. Most lenders require that the Status Certificate should not be more than 30 days old from the closing date. Also, lenders require that they be notified about any concerns, especially any ongoing lawsuits against the Condominium Corporation. This may affect their lending decisions. Status Certificates reveal very valuable information about the Condominium Corporation, Common Expenses, Insurance, and budget of the corporation.
Signing of closing documents
We meet our clients shortly before the closing date to review the file and to have them sign documents. In case our client is not able to sign the documents in-person, we facilitate the electronic signing via Docusign.
For more information on real estate law, or to discuss a specific current or future transaction with a real estate lawyer, please contact us.
Real Estate Sales
Selling real estate is a complex process that involves strategic planning. We assist and guide our clients at every stage of the transaction. A standard sale transaction includes preparation of Statement of Adjustments, preparation, review and signing of closing documents and finally registration of closing documentation. Be it re-sale home, builder property or a condominium, we review the APS with our clients. Often sale of property involves discharge of existing mortgage. It is also required that property tax payment is up to date. We discharge our client’s existing mortgage and any other registered debts, liens, and writs. We regularly correspond with the purchaser’s lawyer and the mortgagee to ensure smooth closing.
The following are important steps in any sale transaction:
- Review of Agreement of Purchase and Sale
- Ordering mortgage information statement for discharge purposes in case there is existing mortgage on the property
- Preparation of statement of adjustments wherein property taxes, common expenses and any other expenses are adjusted
- Preparation of closing documents
- Signing of closing documents
A real estate sale transaction involves the following costs: Legal Fee and Disbursements, mortgage payout costs, realtor commission and incidental costs incidental costs such as costs for extension, per diem costs etc.
For more information on real estate law, or to discuss a specific current or future transaction with a real estate lawyer, please contact us.
Real Estate Refinance
Refinancing is the process of renegotiating the existing mortgage loan agreement. Refinancing is done to either consolidate the debt or to use the equity in the existing property to increase mortgage loan amount for a larger expense. Clients usually refinance for debt consolidation, home renovations or for investment. Our committed real estate lawyers provide clients a hassle-free refinance experience. We diligently correspond with the mortgagee to ensure a smooth refinance closing for our clients.
The following are important steps in any refinance transaction:
- Review of Mortgage Commitment with client
- Ordering mortgage information statement for discharge purposes in case there is existing mortgage on the property
- Ordering payout statements for any loans, property taxes etc. as per the mortgagee’s instructions
- Ordering Title Insurance and revising Home Insurance to reflect the new mortgagee as loss payee
- Preparation of closing documents
- Signing of closing documents
For more information on real estate law, or to discuss a specific current or future transaction, please contact us.