Transaction Completion Process

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This post explains the legal process for the completion of the contract. It is the Buyer’s lawyer who prepares the documents for closing. Hence the reason it costs more in legal closing costs for a Buyer than for a Seller. In addition, the cost is higher if there is a mortgage involved.

  1. Search the title for any encumbrances.

    The Buyer’s Lawyer is responsible to provide a clean title with no encumbrances carried over to the Buyer.

  2. Contacts all applicable organizations as detailed in the contract, including:

    1) Ordering the strata for a Form F, which is a current financial snapshot of the unit and the strata.
    2) Tourism Whistler for TW fee status.
    3) Financial institution for mortgage details.
    4) RMOW for property tax status.
    5) Residential Tenancy Agreements of any tenants for transfer of security deposits and rents.

  3. Statement of Adjustment

    1) Buyer’s lawyer prepares a Statement of Adjustment – to calculate and show the calculations that determine the exact amount the Buyer will have to pay to the Seller on closing.
    2) Once the Buyer signs the Statement of Adjustment it is forwarded to the Seller’s lawyer who will forward it to the Seller for their signature.

  4. Consolidate Funds

    1) Retrieve the deposit funds from the Sutton Group trust account, receive the mortgage funds (if applicable) from the financial lending institution, and/or funds, or balance of funds directly from the Buyer. These funds are now all held in trust with the Buyer’s Lawyer.
    2) If the Buyer is not obtaining financing, the Buyer can send the funds directly to the Lawyer’s Trust Account.

  5. Prepare for Closing

    Collect the Statement of Adjustment signed by the Buyer and the Seller, together with the funds, and prepare the Land Title Transfer document.

  6. On Closing Day

    1) The Buyer’s lawyer sends the Land Title Transfer documents to the Land Title office.
    2) Buyer’s lawyer receives the Land Title Registration. This registration indicates that the title has transferred from the Seller to the Buyer.
    3) The Buyer’s lawyer will fax (yes, you read that correctly) a copy of the Registration to the Buyer’s Real Estate Brokerage and to the Seller’s Lawyer.

  7. Transaction Completed

    1) The Buyer’s lawyer writes a cheque for the monies due to the Seller and sends the cheque to the Seller’s lawyer, who then forwards the amount to the Seller.
    2) If the Seller is a non-resident, at least 25% of the sale price will be held back by the Buyer’s lawyer until the Clearance Certificate has been received. This can take up to 18 weeks.
    3) Buyer’s lawyer notifies the government authorities to withdraw the Property Transfer Tax and GST (if applicable) from the Trust Account of the Buyer’s lawyer.
    4) Pop the champagne.

If you think I would be a good fit to work with you and your family, and you are not already working with a Whistler realtor, please contact me.

It’s a Good Life in Whistler!

Marion

Marion Anderson Personal Real Estate Corporation

manderson@sutton.com (604) 938-3885

Marion Anderson Personal Real Estate Corporation

manderson@sutton.com (604) 938-3885