Surrey Lawyer For Home Purchase
Buying a home can be both a wonderful and stressful process. For most people, it is by far their largest single investment. We can help you make your purchase as stress-free as possible by providing you with legal advice about the process of buying your home from start to finish in a cost-effective manner. Contact our Surrey Lawyer For Home Purchase today.
Before you buy:
- Determine your budget for your home.
- Speak to your banker or a mortgage broker about obtaining a mortgage including interest rate, monthly payments, term, amortization and the cost of mortgage insurance, if necessary.
- Have your deposit ready in case you find your home.
- Choose a realtor and find your home.
The Offer to Purchase:
- This is your contract to buy your home.
- It is generally prepared by your realtor and will contains terms such as the price, deposit, closing dates, and subject conditions.
- The subject conditions are terms that you put in the contract to allow you to back out of the contract if those conditions are not met. Typical conditions are:
- Arranging financing;
- Reviewing strata documents, if applicable;
- Sale of your existing home, if applicable.
- Once the contract is signed by you, it is sent to the seller for their acceptance and signature.
Your Contract has been Accepted:
- Now you must do some work to remove your subject conditions.
- If you are able to remove or waive your subject conditions, then your offer becomes “final” and your contract is now legally binding on you and the seller.
- If you are NOT able to remove or waive your subject conditions, then your offer become void and your deposit should be returned to you.
Your Contract is Final:
- You should contact a lawyer or notary public to represent you in the purchase of your home.
- Most lawyers or notaries require about 2 weeks advance notice from the closing date to complete your purchase but we strongly recommend obtaining a lawyer or notary as soon as you start your search for a home.
Closing Costs – Closing costs generally include the following:
- Legal costs – We offer competitive fees. In addition to legal fees (which are subject to GST and PST), there are disbursements for title searches, copies of charges on title, land title registration, tax search and costs to obtain strata documents (if applicable).
- Adjustments – some costs such as annual property taxes or strata fees are paid in advance or arrears as the case may be. These costs will be adjusted typically to the adjustment date.
- Property transfer tax – this tax is charged by the provincial government and is based on the purchase price of your new home and calculated as follows:
- 1% on the first $200,000;
- 2% on the portion of the fair market value greater than $200,000 and up to and including $2,000,000;
- 3% on the portion of the fair market value greater than $2,000,000; and
- If the property is residential, a further 2% on the portion of the fair market value greater than $3,000,000, and
- First time home buyers are exempt from the property transfer tax provided they meet certain conditions and the purchase price is less than $500,000 for a full exemption and less than $525,000 for a partial exemption.
- GST – if you are buying a newly constructed home or substantially renovated home, then you may have to pay 5% GST on the purchase price.
- Other costs such as fire insurance and title insurance may also be applicable.
- Once your lawyer or notary has received your final contract, you will typically have an appointment to sign documents at least 1 working day prior to your closing date.
- You will not only sign your purchase documents but also your mortgage documents, if applicable.
- You must bring at least 2 pieces of ID for the appointment, one of which must be government issued photo ID.
- You will also be required to bring a certified cheque or bank draft in the amount needed to complete the purchase. Your lawyer or notary will confirm the amount when making the appointment.
- On the closing date, your lawyer or notary will register your purchase and mortgage documents electronically at the Land Title office and upon successful registration, forward the funds to the seller’s lawyer or notary. We will also advise you and your realtor that the purchase has completed.
- On the possession date (which is generally different from the closing date), your realtor will provide you with the keys to your new home.
- We will send you a copy of the new title showing you as the registered owner of your home within 2 months.
NTD – more personal by not referring to “lawyer or notary” and just assume they are using our firm???