Buying a Home? What you should know before closing.

Posted: August 1, 2012 in Buyers
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Buying a home can be stressful enough and moving day should not add to the discomfort. Here’s a checklist for you to be prepared for the big day:

  • Your pre-closing visit should be schedule a few days ahead of closing to make sure that the home is in the same condition as when you signed the offer.
  • Depending on the work load at the Registry Office and the Lawyers’ offices, you may not get your key to your new home until 5 or 6 P.M. on closing day. Please consider these delays when booking your movers. Usually, you finish your last-minute packing in the morning and early afternoon and plan on moving into your new home late afternoon and early evening. If you are moving into a condo and need to use the elevator, contact the management company well in advance of closing to reserve the elevator.
  • Fire insurance must be arranged in advance for the full replacement cost of the home or content and liability for a condo.
  • Be aware of closing cost from your mortgage provider and be sure  that they have all required proof of income, or down payment. Don’t waste your money on mortgage insurance . Instead purchase term insurance (which is less costly) for the term of your mortgage and invest the rest.  This will satisfy the mortgage terms.
  • Your lawyer will be receiving a statement of adjustments just before closing. This could add to your closing costs if the seller has prepaid some expenses, especially property taxes. Find out exactly what this is as it can add up to 0.5 per cent more to what you may owe.
  • The balance of money owed will need to be delivered to your lawyer 2 days before closing by money order, bank draft or certified cheque.
  • Your lawyer should be advised as to how you will be taking title to the property. If you take as a joint tenants and one of you passes away, the other party immediately becomes the owner. If you take as tenants in common, you can transfer your interest to a beneficiary under your will.
  • Have your lawyer order title insurance for you to protect your property against survey issues, title defects, work orders and frauds while you own the property.
  • You should have advised your phone and cable or satellite providers ahead of time of  your moving so that the new service is ready to use when you move in. Some  providers will allow you to schedule changes of addresses online ahead of time.
  • You will want to contact the utility companies to make sure that the meters have been read on closing so that you are not responsible for the previous owners’ charges.

Being prepared ahead of time will certainly ease the stress of moving day and will help create enjoyable memories as you get settled in your new place. 

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