LAND TRANSFER COSTS
This is a provincial tax levied when title to land is transferred. It is payable by the Purchaser upon the registration of every transfer of land. (i.e. on closing day) The calculation of this tax on a single family home is as follows:

HOME INSURANCE
Lenders will require that the home is protected against perils such as fire before the mortgage loan is advanced. Home Insurance must be arranged and in place in order to close your home.

FEDERAL & PROVINCIAL TAXES
Typically, resale homes are exempt from GST. A home that is classified as ‘Extensively Renovated’ may be subject to GST. GST is payable on the fees paid to real estate agents, mortgage brokers, appraisers, lawyers fees etc.
A new home is not exempt from GST even if the home is in an individual’s name! The GST may be paid by either the builder or the buyer, depending on what is negotiated at the time of purchase.

HOME INSPECTION
A professional home inspector may be employed by either the seller-prior to marketing the home for sale, or the buyer-prior to 'firming up' the offer. An inspection is done to ensure that no major deficiencies exist at the time of selling or buying. It is also a wonderful education for the buyers to 'learn' about their new home and some of the maintenance they can expect to look after. A list of reputable home inspectors is available.

MISCELLANEOUS
Remember the costs incurred with:

Bell Telephone Cable Companies Cable/Internet

Tax Adjustments Incidentals Post Office (redirection of mail)

LEGAL FEES
Paid by both Seller and Buyer:
A lawyer will charge a fee for his/her service plus pass on to the client all costs that are incurred in the process. A partial list of these items is as follows:

Registering transfer & mortgage Obtain tax certificate Get utility arrears certificate Estoppel certificate. (Condo)

Title Insurance Manage closing day Courier, photocopying etc. Title Insurance

ADJUSTMENTS
The funds required to complete the transaction will include adjustments for prepaid expenses.
For example, if a vendor had paid the property taxes for the entire year, the new purchaser would owe the vendor that prepayment. Other such adjustments are as follows:
Property taxes
Utility bills
Condominium fees
Interest Adjustments
Oil Furnaces are typically filled on closing and the buyer pays for the full oil tank as an adjustment on closing.

The purchaser will benefit from any other cost which the vendor has paid. Another way to explain, is to simply say that the purchaser pays for all expenses of the home starting from (and including) the day of closing.

MOVING COSTS
If you are hiring a professional mover, be sure to obtain a couple of quotes well in advance. Whether hiring professionals or calling on favours from friends and family, Remember:
boxes, packing tape, packing foam, labels
dolly and truck rental fees
pizza

Important facts about pre-approved mortgage guarantees:

This is a guarantee from the bank to you, not from you to the bank
They are usually conditional upon your credit rating, receiving letters of employment
They may be conditional upon the bank doing an appraisal
Always read the fine print on the bottom
All pre-approved mortgages have expiry dates

"I tell my clients to pick the price of which they would like buy the home - or the price of which they are willing to walk away. Let's present it and see what happens" explains Ora Ross. "All too often we see buyers back away from a multiple offer situation only to discover the home sold for less than they were willing to pay!"

There are other important factors within an offer that are not necessarily about money!

Myth: You cannot be pressured into paying more for a home than you want to. Take control and take a shot!

Structural Heating & Cooling Systems Electrical

Roof Plumbing

A good inspector offers you a written report at the time of the inspection detailing any deficiencies and/or positive qualities found in the home. The purpose of the home inspection is to give the buyer an overall blueprint on the condition of the home and it often helps the buyer plan what is to be done next. Remember, even a renovated home must be maintained on a regular basis. It is not done for the purpose of renegotiating the offer, unless something completely unexpected turns up.

The cost of a home inspection can range from $350 - $550, and is paid for by the purchaser. Under certain conditions and in some parts of the city, a termite inspection may be important. The Mulholland & Ross Group offer valuable advice when dealing with these issues.