Residential Property Purchase and Sale Fees
This offer is only for close friends, family, and real estate agents or their price sensitive clients
Sale of Residential Property | ||
Without Disbursement | ||
| Legal Fee* | $390 | + Tax |
With Disbursement | ||
| Legal Fee & Disbursements* | $540 | + Tax + Levey Surcharge ($65) |
Purchase of Residential Property | ||
Without Disbursement | ||
| Legal Fee* | $490 | + Tax |
With Disbursement | ||
| Legal Fee & Disbursements* | $840 | + Tax |
Definitions | ||
| APS | Agreement of Purchase and Sale, a document prepared by the Real Estate Agents, signed both the buyer and seller. | |
| A Lenders | “A” lenders includes major banks, such as CIBC, Scotia, RBC, BMO etc. | |
| B Lenders and Private Lenders | B Lenders include Street Capital, Equitable Bank, etc. Private lenders could be any body. | |
| Disbursements | Disbursements are expenses the lawyers pay from their own pocket and then bill them to their clients | |
| Instruction from the Lender | Information that the lender send to the lawyer with provide all the details about the loan or mortgage. | |
| Land Transfer Tax | Land Transfer Tax is an Ontario Tax that the buyer pays. Usually, the buyer pays 0.5% to 2.5% of the purchase price (depending on the price of house) land transfer tax, where the first time home buyer gets a maximum $4,000 discount. | |
| Levey Surcharge ($65) | An insurance cost of $65, that every lawyer pays for every purchase real estate. | |
| Lien | A debt registered against a property by someone one other than the owners or the mortgage provider – e.g. by your contractor, who build the kitchen but was not paid. | |
| PPSA | Personal Property Security Act, allows a debit to be registered against people. Such people can’t sell a property until they pay their debt. | |
| Registration Fee ($76.55) | Both Mortgage and Title are registered in the Government of Ontario Land System. For each registration, the Government charge a fee of $76.55 for each mortgage and to register the title (One Mortgage + Title Registration = $76.55 + $76.55 = $153.10). | |
| Title | Title means information about the property as registered in the Land Title Systems of Ontario. That information is usually showed in the survey of the property. Some time the buyer may not get what’s shown to the buyers. Title insurances solves such issues. | |
| Title Insurance | It is an insurance that is required by all the mortgage providers (e.g. banks). Without it, banks don’t approved mortgage. If there is a problem with the title of the property, the title insurance usually cures that. | |
Notes: | ||
| 1. This offer is only for close friends, family, and real estate agents or their price-sensitive clients. | ||
| 2. This offer only applies to real estate closings where the closing is straight forward, the mortgage is with A lenders, APS has already been signed, and all the related information are received at least 7 business days before closing (such as instructions form the lender if any, and other information requested from the buyer/seller). | ||
| 3. This offer is not for mortgages from B Lenders or private lenders; closing in emergency (information received less than 7 business days before closing); changes in closing date; lender’s condition to pay debts before closing; complications or disputes in the closing; additional issues or disputes, such as but not limited to, multiple mortgages liens, PPSA, and disputes about price, improvements, appliances, inspections, city compliances, utility bills, taxes, real estate commissions or negotiation involving lawyer for real estate commission etc.; or any other extra services required, which are not identified here, such as closing outside of normal business hours, or sign up at a location other than that of a lawyer’s office. | ||
| 4. Included Disbursements: Courier and Mail; 2. Discharge of first mortgage only; 3. Cost for Certified Cheques; 4. Phone Calls; 5. Faxes; 6. Photocopies | ||
| 5. The following disbursements are not included for the Purchase of a Property: 1. Registration of Title and Registration of Mortgage; 2. Title Insurance;. 3. Land Transfer Tax | ||
| 6. Note: There may be additional costs specific to some properties, such as but not limited to, cost of extra searches if required, a second mortgage or third mortage and so on; and discharge of liens, PPSA, or writ of execution against the seller/buyer. | ||
| 7. This is a live offer, and it may change at any time, without notice. Please check with lawyers for the most recent version of the offer. | ||
| 8. The information in the definition section for your information only, and is not a legal opinion. Please consult a lawyer for a proper legal opinion. | ||
| Version: | 09 Jul 2019 | |