How are the property taxes, utilities, pad rent, strata fees or other adjustments dealt with when selling a property?
These customary adjustments are done through the Vendor’s Statement of Adjustments and the Buyer’s Statement of Adjustments. The lawyers will conduct searches and confirm amounts paid or owing for taxes, strata, utilities, ect… and then allocate such amounts between the parties in accordance with the days in the month or year for which the amounts are attributable. The buyer and seller review and approve their respective statement of adjustments, and the net amounts payable between, after all adjustments, is what is transferred.
- What is a Property Condition Disclosure Statement?
- What is the difference between the completion date, possession date and the adjustment date and how does this affect me as a seller?
- I have a mortgage to pay out on closing – how do I get this done?
- What charges can I expect when paying out my mortgage?
- Why is my prepayment penalty higher than I thought?
- What are my closing costs?
- Paying the realtor – how does this occur?
- How are the property taxes, utilities, pad rent, strata fees or other adjustments dealt with when selling a property?
- What happens if I can’t afford to clear title to the property?
- What must I do if I am not a resident of Canada and I want to sell my property?