Close The Sale

Your negotiations were a success. But before your house is truly sold, it’s time for the vital final steps known as “closing”. Your REALTOR® and lawyer will take care of the many complicated and time-consuming legal maneuvers. That’s why you hired pros.

Canada’s money laundering reporting requirements

By the time you accept an offer, your REALTOR® will also advise you of reporting requirements by FINTRAC, the federal agency responsible for administering Canada’s Money Laundering and Terrorist Financing legislation and regulations.

Your REALTOR® is required by federal law to complete a client identification form, and must ask you as the vendor or seller for verified ID such as a driver’s license or passport. You can find out more on the FINTRAC web site.

You still have plenty to do. Your closing checklist should include:

• Advise your lawyer that an Agreement has been signed. Make sure your lawyer is ready to close the transaction.
• Immediately begin satisfying any conditions of the agreement that require action on your part before the set date of completion creeps up on you.
• Notify your lawyer and lending institution if the buyer is assuming your mortgage.
• Contact the utilities, telephone and cable companies about transferring or removing service. Your lawyer will often handle the transfer of utilities.
• Call your insurance agent and arrange cancellation or transfer of your homeowner’s insurance.
• Contact a moving company to arrange your move on or prior to closing date.
• Send out your change of address notices and advise the post office. Notify the Ministry of Transportation about your new address for driver’s license and registration.
• Notify your REALTOR® immediately if anything changes about your property or your situation.

Contact with your lawyer

• If you plan to “discharge” or pay off your mortgage with proceeds of the sale, your lawyer will obtain a statement from your lender showing your outstanding balance on the mortgage, and any penalties you’ll have to pay to discharge the mortgage.
• A few days before closing, your lawyer will ask you to sign the paperwork that enables the title to be transferred to the buyer.
• On closing day, your lawyer will receive and distribute the proceeds from the sale, pay off your mortgage and other costs, and give you a cheque for the net proceeds.

Information provided by HowRealtorsHelp.