Rhonda DAHMER
RE/MAX associates
1060 Mcphillips Street
Winnipeg, MB R2X 2K9
Phone: (204)989-9000 Mobile: (204)291-6924 Fax: (204)582-4751 Email Rhonda

After all the Preparation, Paperwork, Promlotion your house has SOLD.
So now your offer is accepted and any conditions have been removed or waived, my Brokerage has obtained the buyers deposit cheque on your house and it's been placed in a trust account.

The Next Step is to fax your accepted offer to your lawyer
What you dont't need in this busy time, is worry or anxiety over things left undone. Selling a property is stressful enough as it is, You definitely need a real estate lawyer to help.
In addition to reviewing your offer and preparing legal documents, the lawyer will also meet with you prior to closing to fully execute all the documents and take the keys, and will also carry out the exchange of documents and monies.

10 Points of What your Lawyer will do for you:

1). Review and execute the offer to purchase

2). Review and respond to request submitted by the buyer's lawyer

3). Receive mortgage instructions from the sale of your property and discharge your existing mortgage if any

4). Prepare the statement of adjustments

5). Prepare the draft of transfer/deed

6). Prepare all supporting documents

7). Forward a request for mortgage discharge statement for any mortgage registered on title

8). Meet with you to execute all sale documents and get your keys for closing

9). Courier the keys to the buyers lawyer after all documentation and closing funds have been received

10). Conduct necessary correspondence and telephone conversations with any parties involved in the sale 

 

Equity is the net worth which you have in your propertyIn general, it will be the amount of the cheque your lawyer will provide to you when the transaction is complete.

In most cases it is difficult to calculate the exact amount of equity because of uncertainties as to the balance of mortgage owing, the status of any mortgage tax account, the amount of delay at land titles and so on.

The Typical Items to consider are listed below:

Legal Fees
Fee of approx. $500.00 for a standard residential house transaction (other than new home sales)

Disbursements
These items are costs which the seller of a house must pay but which, for reasons of convenience, the lawyer pays on behalf of the seller at the appropriate time and then is reimbursed by the seller.

These include: mortgage discharge fee payable to land titles, title investigation charges, couriers and other miscellaneous charges all of which generally range from $100.00 to $150.00 dedending on the specific transaction. 

Mortgage Discharge Fee
There will be a discharge fee to pay to the lender and the average amount is $300.00

Mortgage
It goes without saying that the balance of money you owe under your mortgage will reduce youe equity. Don't forget to include any mortgage penality. Unless your mortgage is at the end of term, or is an "open" mortgage, you may have to pay a penalty to the lender to have it discharged.

Usually if you are purchasing another house and are using the same mortgage lender the penality is waived.

Property Taxes
The tax period for titled property is always the calander year, however in Winnipeg, taxes are due as of June 30th. In all transactions, either the buyer or the seller pays the annual tax bill.

The paying party is then reimbursed by the other party by way of an adjustment to the sale price.

Final Water Bill
An outstanding water bill is the only utility that can be added to a properties taxes, therefor the final water read of a property is paid by the lawyer from the sale proceeds.

GST
Gst is payable on the real estate commission, Legal Fees and most disbursements

Interest
You may receive interest for the duration of the land titles delay, on the sale proceeds or part of the sale proceeds. The interest that you will earn is hard to estimate and will depend on the amount of any mortgae the purchaser is getting on the property.