Closing Costs

Costs to remember when preparing for your home's closing.

Closing costs, which range from 1.5 to 4% of a property's selling price, include the legal and administrative costs associated with your home purchase. In addition to closing costs, there are other expenses and/or events that may require a cash outlay before, on or after your house closes. We will outline these in detail to ensure these often-unexpected costs do not sneak up on you.

Cash outlays required before you close with your low mortgage rate:

  • Home inspection fee
  • Deposit

Costs financed in your Canadian mortgage rate:

  • Mortgage default insurance (this protects the lender in the case the borrower, defaults on the loan)
    • Mandatory closing costs

Land Transfer Tax                  

  • Legal fees and disbursements
  • Title insurance
  • Taxes on CMHC insurance

The following is a list of closing costs that are incurred by some homebuyers:

  • Septic tank repairs
  • Water test
  • Estoppel certificate fee

Other costs to consider

  • Property insurance
  • Prepaid utility bills
  • Property taxes

Closing Day

On closing date, the following events will take place:

  • Your lender will provide the mortgage funds to your lawyer/notary.
  • You will be required to give your down payment less the deposit, to your lawyer/notary along with the closing costs.
  • Your lawyer/notary pays the previous owner, registers the home in your name, and gives you the deed and keys to your new home. 
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