For first-time home buyers, the amount of things to keep track of can be overwhelming. Purchasing a home is a big decision, and with it comes a slew of paperwork, meetings, arrangements for address changes, and much more. Hopefully, you are in contact with a great real estate agent that knows all the ins and outs of the process, and is willing to help you out every step of the way.
However, there are still some key dates that you should be aware of before you begin the process of purchasing a home.
SUBJECT REMOVAL DATE & DEPOSIT DATE
This is the date when the subjects of your offer are removed and the deal is considered firm. On this date, you must also pay the deposit, which is typically 5% of the purchase price and is in the form of a bank draft. Once the deal is firm, you are legally obligated to go ahead with the purchase.
This is the date that legal ownership and monies are exchanged between the old owner and you. You are now on title, which means you are the legal owner of the property.
This is the date on which the buyer assumes full responsibility for property taxes, strata fees where applicable, hydro and gas bills, etc. The lawyer or notary public will also use this date to split the costs proportionally between the buyer and seller. The Adjustment Date is typically the same day as the Possession Date.
This is the date you get the keys and gain possession of the property. This is usually the same day as the Completion Date, or 1 to 3 days after.
TIP: is to ensure your home insurance is dated from your Completion Date, not your Possession Date. This is because once the title is transferred and under your name, you are liable for the property – regardless of whether you have moved in or not. This is especially important if there is a significant gap between the Completion Date and Possession Date.
Feeling a bit overwhelmed?
Feel free to reach out to us!