Legal & Closing Costs

Legal Fees

Legal fees are paid to the lawyer for completing the legal work on the sale of your home. The standard fee for a residential sale is $250.00. The purchase of home, without a mortgage $250.00, the purchase of a home with mortgage is $300.00 Please call for a free quote regarding the purchase of rental property, commercial property, employee relocations and new construction.

Disbursements

Disbursements are expenses incurred in selling your home. These include land title searches, registration of discharge of mortgage, couriers and other miscellaneous charges. Disbursements are approximately $75.00 to $150.00.

Transfer Tax - Paid to the land titles Office and is based on a percentage of the purchase price. Under $30,000.00 $60.00, 30,000-90,000.00 .5%, $90,000.00 5 to $150,000.00 - 1%, Over $150,000.00-1.5%

Mortgage Registration   $60.00

Surveyor's Certificate ( If required) Approximately $300.00 (Winnipeg). This document may be provided by the seller.

Tax certificate ( If required) $35.00 Winnipeg

Zoning Memorandum ( If required) $35.60 Winnipeg. This document may be provided by the seller.

Property Taxes

The seller is responsible to pay property taxes for only the portion of the year that they own the home. Property taxes are based on a calendar year ( January 1 to December 31). Taxes are payable June 30 in Winnipeg and generally September 30 or October 31 in most rural areas. Depending on the possession date, either the seller or the purchaser will pay the annual tax bill and will be reimbursed by the party for their share.

Mortgage

The balance remaining on your mortgage must be paid at the time of your sale. You continue to be responsible to make all mortgage payments that fall due on or before possession date.Please note that your mortgage will not be paid out until Land Titles registrations are completed( approximately two to four weeks after possession date) and therefore interest will continue to accrue until paid out. Unless your mortgage is at the end of it's term or is open, a mortgage may have to be paid. The penalty may vary considerably and you should check with your financial institution.

Late Interest

If you are arranging a new mortgage, the receipt of these mortgage monies will be delayed until the transfer documents are registered and the title to the property is in your name(Approximately two to four weeks). During this period of time, you must pay interest to the seller on your mortgage amount at the same rate of interest as under your mortgage. Please remember that this does not result in any increased costs to you since you are not paying interest on the mortgage funds to your financial institution until the mortgage funds have been advanced.

Balance of Down Payment

This is the purchase price less the amount of your mortgage and your deposit.

GST

GST is payable on legal fees and some disbursements.

Home Improvement Loan

The balance on a home improvement loan obtained through a government agency or a utility company(hydro or gas) must be paid at the time of sale.

Other charges on Home

Any judgement, lien or other charge which is registered against your home must be paid at the time of sale.

Interim Financing

Interim financing is required when you are purchasing a home and using the equity in your present home towards the purchase before the monies become available on the sale of your home. Please contact your financial institution to make the necessary arrangements.