What are my closing costs?
Closing costs for sellers are less complex than for buyers. Sellers will have to payout any mortgages to provide clear title to the buyer. If selling prior to mid-June, the seller will have to pay the buyer an amount for the estimated property taxes from January 1 to the completion date. There may be some adjustment for utility accounts and strata fees, but these are normally amounts the seller receives from the buyer to reimburse the seller for amounts already paid. Seller legal fees are normally less too and a seller using our office can budget between about $745 cash deal and $895 (sale with one mortgage to discharge). Costs go up marginally if there are multiple mortgages to payout, or if the sale price is above $500,000. Sellers have to adjust for rents and damage deposits too if the sale property is a rental.
- 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?