Making an Offer and Completion
You've finally found the perfect home and are ready to make an offer. We will now need to determine what price to offer. This is done by reviewing a Comparative Market Analysis (CMA) which summarizes the recent sales in the area so that we can make a strong, educated offer. The next step is to fill out a standard form called the Contract of Purchase and Sale. I will present your offer to the seller, who will accept, reject or make a counter-offer.
Negotiating and Acceptance
If your offer is accepted you will still need to remove the subject clauses before the sale is finalized. If your offer is rejected, there is no deal and that is the end of the transaction. If the seller presents a counter-offer in which some of the terms are changed, you are then free to accept the counter-offer, reject it or make a counter-offer.
Once the offer is accepted we're now into the "Subject Period". This is the time where you will be able to do your due diligence before making the agreement firm. If after the Subject Period all of your questions are answered and you're comfortable with moving ahead with the purchase you will remove the subjects. If not, the subjects aren't removed and the contract is terminated. Coinciding with the subject removal is the payment of the deposit which is made out in trust to my Real Estate Company and forms part of the Purchase Price.
Once you have a firm agreement you will need to carry out a number of steps and fulfill certain legal requirements before the completion of the transaction.
- Finalize your mortgage. You will need to send your lender a copy of the Contract of Purchase and Sale and an up-to-date land survey of the property. The lender will also arrange to have an appraisal of the property done
- Purchase Homeowners' Insurance
- Hire a lawyer or notary public. I will send your lawyer/notary a copy of the signed Contract of Purchase and Sale. Your lawyer/notary will:
- Search the title to make sure it is free of complications.
- Make sure the property taxes are up to date.
- Prepare all the documents to transfer ownership to you.
- Ensure that the seller's mortgage is discharged.
- Prepare a Statement of Adjustments showing the money you owe.
- Arrange for the transfer of money from your lender to the seller.
- Ensure you are registered as the owner in the Land Titles Office.
The Completion Day is the day you legally get ownership of the house. There are several things that will take place.
- Your bank will provide the mortgage money to your lawyer/notary.
- You must pay the balance owing, including the down payment, legal fees, property transfer taxes, and any other remaining completion costs. For more information read my Completion Costs Guide.
- Your lawyer/notary will pay the seller and register the home in your name with the Land Title Office.
- You will get the keys to your new home.
To get the ball rolling, all you need to do is fill out the form below or simply get in touch with me and I will help you find you dream home, loft or any style of home you are interested in:
Mobile: 604 306 1062 Phone: 604 620 6788 Fax: 604 620 7970 Email: email@example.com