Area of Law: Real Estate Law
Answer # 400
When can you move into your newly purchased home?Region: Ontario Answer # 400
Under normal circumstances, purchasers can move into their newly purchased homes on the closing day of the transaction. The closing date will be agreed to by both the buyer and the seller and will be set out in the Agreement of Purchase and Sale. On the closing day, the purchaser will pay the remaining balance of the purchase price in exchange for the deed to the property and, usually, the keys to the home.
The closing of the transaction will normally take place electronically with the land registry office. At that point, the buyer’s lawyer may conduct one final search on title to ensure that nothing new has been filed against the property. The buyer and seller will each need to meet with their lawyers before the closing date to complete the necessary paperwork. On the closing date, the lawyers will not be able to transfer the ownership until the purchaser’s lawyer receives the funds to pay the balance of the purchase price. Sometimes funds will be available for the lawyer to pick up from a mortgage company or a bank early in the morning, but it is often mid-afternoon or later when the funds are received and the transaction can be completed.
Sellers also often move their belongings out on the actual closing date, and may not be done until late in the day. Accordingly, purchasers should not expect to move into the new home early in the morning. Once the closing has taken place, most buyers are able to move in at some point in the afternoon. In most circumstances, your lawyer will be able to let you know in advance when your purchase or sale is likely to be completed.
For purchasers of newly built homes, delays and extensions can often arise for a number of reasons. In these circumstances, the builder will usually have a right to periodically extend the closing date.
For more information about buying a new home, contact the Ontario Real Estate Association, or visit orea.com.
If you are buying a home and want to know how much of a mortgage you qualify for, use the Scotiabank mortgage calculator .
You now haveoptions: