1. Review Your Mortgage and Any Encumbrances
There are various things you should prepare before jumping right into listing your home. A Brampton real estate lawyer will help you review the mortgage and title documents that you have in hand and guide you on what you can do if they affect the sale. Through their expertise, they will be able to identify issues early on rather than waiting for them in the later stages. This helps prevent further delays or disputes with your lender.
2. Gather Property Documents
Your lawyer will need several documents to complete the sale, including:
- Agreement of Purchase and Sale Commission Statement
- Land transfer documents (title/deed)
- Current mortgage statements (and if applicable, information about bridge loan)
- Recent property tax statement
- Confirmation that utilities are paid up to date
- Information about rental equipment if applicable (i.e. hot water tank, furnace etc.)
- Information about easements, rights-of-way, or condominium declarations, if applicable
- Current mortgage statements
- Recent property tax receipts
- Information about easements, rights-of-way, or condominium declarations, if applicable
Having these documents ready in the early stages of the sale can decrease waiting time and allow a smoother process of transaction process. The added presence of a lawyer is to review that the property can be bought and transferred legally.
3. Review the Agreement of Purchase and Sale
The Agreement of Purchase and Sale is a legally binding document that sets out the terms of the transaction, including the purchase price, closing date, conditions, and deposit. Your Brampton real estate lawyer can review the agreement, clarify legal language, and ensure the terms accurately reflect your intentions. They can also advise on conditions, such as financing, home inspections, or status certificates for condominiums.
4. Manage Deposits and Trust Funds
Until the sale is closed, deposits are often held in trust by the listing brokerage and in some instances by your lawyer. The advantage of having a lawyer is that they ensure the transaction is done according to Ontario real estate regulations. They will also be aware of utilizing the closing funds and distributing them properly. This includes handling outstanding mortgages or unresolved property taxes and utilities. Your lawyer will request the necessary payout statements from your lender and prepare a final trust ledger and statement of adjustments. This will allow you to have an understanding of the specific payouts and disbursements involved in your transaction and will also allow you to budget your finances in case of a shortfall.
5. Complete the Land Transfer
Changing ownership titles does not come free. When transferring it to the buyer, lawyers will prepare and register a Land Transfer Tax Affidavit and Transfer/ Deed documents with the Ontario Land Registry Office. Your real estate lawyer will then confirm that all conditions in the purchase agreement are met, that both sides are in agreement, and finally proceed to complete the registration to legally transfer ownership.
6. Plan for Taxes and Legal Fees
As the seller, you should know of potential tax obligations, including capital gains tax if the property you are selling is not a principal residence. However, your lawyer can step in to provide an idea on tax considerations. They will be able to explain what these legal fees are and why they are associated with the sale, reducing the chances of being caught off guard when closing.
Work with GS Brar for Your Home Sale in Brampton
Selling your home is no easy feat to do alone, even if you have done it in the past. You need careful attention to the multiple legal steps to be taken. However, having a Brampton real estate lawyer will help you throughout the stages to ensure you comply with Ontario law.
GS Brar Law can assist with reviewing title documents, preparing agreements, managing deposits, and completing the land transfer.
At GS Brar Law, our firm provides the necessary legal support in order for you to sell your home with confidence and peace of mind.
Services Provided
- Review Agreement of Purchase and Sale
- Conduct necessary searches and due diligence
- Request mortgage payout statements and ensure all required mortgages, liens etc. are paid out and discharged
- Communicate with the purchaser(s) lawyer throughout the transaction
- Negotiate any terms or conditions of your behalf, if applicable
- Preparing closing documents
- Ensuring all conditions of the Agreement of Purchase and Sale are satisfied
GS Brar Law works with homeowners, investors, and estate trustees to complete their real estate transactions. Contact us today to discuss your home sale and receive guidance from experienced real estate lawyers in Brampton.
