The lawyer’s office will ask you to bring the following:
2 pieces of Identification: 1 will need to be a valid government issued photo ID, the second will depend on the lender. Some lenders will require a second photo ID and others will not. The lawyer will advise. An Ontario health card is not a valid photo ID.
Void cheque: A void cheque or a pre-authorized debit (PAD) form for the account you prefer to pay your mortgage from. Some lenders require PAD forms stamped by your branch.
Insurance Policy: A copy of your home insurance policy detailing your fire replacement cost.
Debt statements: On a refinance or sale and purchase you will need to supply a current mortgage statement and statements for any debts that are to be paid from the mortgage or sale proceeds.
Bank Draft: You will need to bring a bank draft for the balance owing from your own funds for a purchase. In most cases all costs will be deducted from the mortgage proceeds on a refinance. The lawyer will advise how much the draft is to be for.
Here is a list of what costs (Closing Costs) you will need to cover in the bank draft:
-legal fees and disbursements (faxing, copying, courier charges, registration fees, etc.)
-If selling and buying, Realtor fees and penalties/discharge/porting fees for existing mortgage. Bridge finance fees if closing date of new purchase before sale date of existing property.
-title insurance (all lenders require this)
-land transfer tax – check out our calculator to see how much it will be for your purchase. In Ontario first-time home buyers can apply for a rebate of up to $4,000.
-down payment on purchase less the deposit made with the offer.
-PST on mortgage default insurance (from CMHC, Genworth or Canada Guaranty). The premium portion is added to the mortgage.
-Condo Strata Certificate – If the property is a condominium a Strata Certificate will need to be requested.
-Adjustments: If the seller has prepaid condo fees, utilities or property tax an adjustment will be charged.
-Utility fees: Utilities may charge hook-up, installation and setup fees for new builds.
-HST on a new build. If you are purchasing a new build for investment purposes (rental), you will have to pay HST on the purchase price. If it is to be owner-occupied on possession then a rebate can be applied for. Most builders build this in to the purchase price and apply for the rebate directly. Rental Properties may be eligible for a rebate of a portion of the HST after the purchase is complete.
Now get ready to sign, sign, sign!
This list is meant to be a general guideline. There may be other charges or fees not covered here or are specific to your situation.