If you are both selling a home and buying a new one, this is what you can do to get ready for closing:
Please ﬁll out both the purchase and sale INTAKE FORMS as soon as possible to help us get started. This will provide us with all the information required to open both of your ﬁles. If you are uncertain about any of the information being requested, or if any of the information requested is unavailable, simply complete the forms to the best of your ability and knowledge. You may also contact us at any time for assistance.
Your ﬁles will be assigned to one of our lawyers shortly after they have been opened. You should provide the following parties with your lawyer’s name, phone number, email address and fax number:
- your new bank, lender or mortgage broker (for your purchase transaction);
- your real estate agent(s) (for both your purchase and sale transactions);
- your new insurance company (for your purchase transaction); and
- your condominium corporation or property manager, as applicable (for both your purchase and sale transaction).
It is a good idea to make yourself a separate list of the conditions for each oﬀer (ﬁnancing, status certiﬁcate, property inspection, etc.) so that you remain aware of any time-sensitive material that could cause either offer to expire. You will also need to inform us when you waive any conditions that are part of these oﬀers.
For both your sale and purchase transactions, book your moving arrangements as soon as possible to ensure the best rates and availability of the moving company, or a truck if you are doing it yourself. Please note that real estate transactions tend to close later in the afternoon and that keys are usually only released between 1:00pm and 5:00pm.
If you are planning on moving out of your existing home and into your new home on the same day, please book your moving truck in the morning to allow sufficient time to empty and vacate your existing home. You may then need to wait a few hours to receive the keys to your new home.
You will need to meet one of our lawyers to review and sign your closing documents for each ﬁle. Ideally, this appointment would take place 2-3 business days prior to your closing date(s). Once you have completed the INTAKE FORM for each transaction, we will contact you to schedule your appointment(s).
When you are conducting a dual real-estate transaction, the purchase and the sale transactions will likely have different closing dates. To make your move less stressful in these situations, bridge ﬁnancing can help.
A bridge loan is a temporary loan made to facilitate the purchase of your new home prior to the sale of your existing home. It provides a bridge across the ﬁnancial gap between purchase and sale. When you arrange bridge ﬁnancing with your lender, we will complete the purchase and sale processes all at our ﬁxed price, with no additional cost for dealing with your bridge ﬁnancing (unless your lender requires us to register the bridge loan on title).
You are responsible to contact all utility companies (e.g.: City of Ottawa, hydro electric, gas, rental companies for hot water tank/air conditioner/furnace/etc., as applicable) to advise them of ownership changes. For rental items, an assumption agreement may need to be signed by both parties; if so, please sign and forward the document to us as soon as possible. It is highly recommended that you complete this as soon as possible as meter readings need to be arranged.
Also remember to cancel your pre-authorized payments (e.g.: condominium fees, pre-authorized property tax payments, etc.).
For your sale transaction, please ask your real estate agent to leave a key in a lockbox to facilitate closing. All other keys should be left in the property for the buyers to ﬁnd after closing (typically on the kitchen counter).
For your purchase, we will ask the sellers to leave a key in a lockbox for you to access after closing.
We will use the proceeds of your sale to complete your purchase transaction and then transfer any remaining balance to you. In the event we do not have enough funds to complete your purchase, we will ask you to bring a certiﬁed cheque or bank draft for the remainder.
For your sale transaction, property insurance should be cancelled immediately AFTER the closing. This way, should the closing of your transaction be delayed by a day or more, your property will always have appropriate coverage in place. Once the closing is completed and the title has been transferred, the new owners bear all risks from that date forward and it is then safe for you to cancel your insurance.
For your purchase, the start date of your new insurance policy should be your scheduled closing date.
Plan your move as far ahead as possible and start packing early. One of the biggest stressors during a purchase or a sale is waiting until the last minute to get packing; and this is especially true if both of your transactions are closing on the same date!