CLOSING THE DEAL: A GUIDE TO MISSISSAUGA’S REAL ESTATE CLOSING PROCESS
CLOSING THE DEAL: A GUIDE TO MISSISSAUGA’S REAL ESTATE CLOSING PROCESS
Whether you've found your dream house in Mississauga or are finally ready to sell your property and move on to the next chapter, the real estate process can be complicated. Many people find the closing process overwhelming and may have questions and concerns. This seemingly complex set of stages completes the transfer of ownership from seller to buyer, requiring substantial documentation and legal labour to ensure a successful process. KD Lawyers the trusted real estate lawyer Brampton is here to assist you.
Several crucial measures must be taken before to the closing date to ensure that the process proceeds well. Some of these important processes are described in full below.
Review the Purchase and Sale Agreement
It is critical to review the Agreement of Purchase and Sale (OREA Form 100), sometimes known as the "APS", before to any property transaction. This legally binding contract defines the parameters of the property transaction, such as the purchase price, closing date, and any contingencies. The buyer and seller should review the Agreement of Purchase and Sale with their lawyer to confirm that nothing has been overlooked and that all responsibilities have been fulfilled. When both parties sign this agreement, it becomes a legally binding contract.
Obtain Financing Approval
If you are financing the acquisition, your mortgage must be finalised before the deal is closed. The buyer must apply for a mortgage loan through a financial lender, who will assess the buyer's financial situation, credit history, and the property in question. Your real estate lawyer will collaborate with the lender to ensure that all relevant documents are in order before the closing.
Conduct a Title Search and Get Title Insurance.
A title search is required to ensure that the seller has clear ownership of the property in question and that there are no outstanding liens or encumbrances that could jeopardise the sale. This search will be conducted by your real estate lawyer, who will discuss any difficulties with you ahead of time.
After a title search is completed, title insurance is often acquired to protect the buyer and, if applicable, the lender from title issues.
Accounting for Property Taxes and Adjustments
Property taxes are split between the buyer and seller based on the closing date. Your real estate lawyer will compute these modifications as necessary and guarantee that they are properly allocated.
Get a Property Inspection
In most circumstances, the buyer will schedule a professional home inspection before the closing date. The inspector will normally look for structural integrity in the building, electrical systems, HVAC, plumbing, roofing, and other important property elements. If the home inspection identified any difficulties, talks with the seller about repairs or holdbacks may take place before closing.
Closing the Disclosure Review
In the days preceding closing, the buyer will have the opportunity to study the relevant document disclosure, which includes financing conditions, closing expenses, and any other relevant documents. The buyer will also be asked to sign all documents provided by their lawyer, such as the mortgage agreement, transfer of title, and property tax forms.
What happens on Closing Day?
Some various essential actions and operations take place on or just before closing day, some of which are explained in greater detail below.
Final Walkthrough
The buyer will return to the property to ensure that it is in the condition agreed upon with the seller in the Agreement of Purchase and Sale. If any repairs are required, the buyer can demonstrate that these have been completed. If any concerns arise, the buyer and seller may engage in additional talks.
Payment for Closing Costs
In addition to the purchase price, the buyer must consider closing costs related with the property transaction. Closing costs may include legal fees, property taxes, and title insurance.
Transfer of Funds from Buyer to Seller
The buyer will pay the agreed-upon purchase price for the property, and the funds will be transferred to the seller, subject to any existing mortgages or other liens on the property being paid off. The lawyer ensures that the purchase amount is transferred from the buyer to the seller, after accounting for closing charges and other relevant modifications.
Document Recording
Following the closing, your lawyer will register the new ownership paperwork, including the deed, at the proper land registry office. This step makes the buyer the new legal owner of the property by making a public record of the transfer.
Keys and Possession
The buyer will receive the keys to the home after signing all documents and agreements, paying closing expenses, and completing the closing process. This is a formal transfer of property possession, allowing the buyer to take ownership and occupy the property.
Ensure a smooth closing process.
Working with a qualified real estate lawyer can provide you with peace of mind, especially during the closing process. Your lawyer will draft the relevant documents, contact with the seller's lawyer, do a title search, and ensure that all required documents are in order and registered, if appropriate. Your lawyer will also ensure that your rights and interests are protected throughout the proceedings. When working with a real estate lawyer, it is critical to keep open communication with both the lawyer and the realtor. It is critical to ask inquiries and resolve any problems swiftly.
Contact the KD Lawyers Real Estate in Mississauga for Assistance With Residential Real Estate Transactions
At KD Lawyers, our experienced real estate lawyers often assist individual and corporate buyers and sellers in residential and commercial real estate transactions in Mississauga, and throughout Mississauga. We can assist you in managing your property transaction from the start and will advise you on your rights, obligations, and options at each stage of the process. We will protect your interests and your financial investments. To speak with a member of our team about your real estate needs, please contact KD Lawyers the trusted real estate lawyer Mississauga online or call (416) 740-1414.