Closing Day Arrangements: What to Expect
Wednesday Jan 10th, 2018
A common question that realtors often hear from their home buyers is: “When do we get our keys?” Closing day is an exciting time, so the eagerness to move in and start unpacking (or swinging the sledgehammer) is understandable.
But, there is no easy answer to this question, as a series of steps need to happen before a lawyer will release the keys:
1. First, the bank needs to transfer funds to the lawyer’s trust account. Let’s say your transaction includes the sale of your home – the bank needs to wait for the buyers of your old home to transfer the funds so that the bank can transfer these funds towards the purchase your new home. The time this takes varies based on how many closings the bank has that day and how quickly it can get processed.
2. Next, once the bank transfers the funds, your lawyer’s office needs to go to the bank to get this money so that they can pay the seller of your new home. This requires getting a certified cheque in the amount owing for either your down payment, along with any leftover monies to be given back to you.
3. Once the monies have been exchanged, your lawyer will need to register your name on the title. This includes coordinating with the registry office and ensuring that the title is clear and your name is added to the appropriate mortgage amount, if any.
As you can see, it’s hard to gauge when homeowners can expect the keys to their new house. But, one thing is certain – most banks and lawyers aim to have this process completed by late afternoon or by close of business.
Either way, plan accordingly. Consider booking your movers later in the day (versus first thing in the morning), so they aren’t left standing while you wait hours for your keys. Not only would this be a huge disappointment to you, but costly too, especially if your moving team charges hourly.
For more great tips like these, as well as up-to-the-minute real estate news in Mississauga and the Greater Toronto Area, be sure to follow along on Facebook and this blog. If you are thinking selling soon, please contact me today to schedule a free home evaluation. I also love working with home buyers too.