When you buy a Real Estate property, you have to pay some fees as closing cost. In general these costs can be up to 2% of the purchase price. Following is a detail of the closing cost.

Survey

If Seller does not provide you with the survey, you may have to obtain a new one.

Approximate Cost: $650

Title Insurance

An insured statement of condition of title or ownership or real property, at the time of policy is issued is called A Title Insurance.

Approximate Cost: $250 - $275 (Residential)

Land Transfer Tax

Buyer has to pay Land Transfer Tax when it purchases the property. Click here to learn more about Land Transfer Tax or Visit http://www.rev.gov.on.ca/english/taxes/ltt/rates.html

Legal Fees

Depending on the lawyer the legal fees can be as follow:

Approximate Legal Fees: $600 - $800

Disbursements

Sometimes, your lawyer has to pay your behalf for registration fees, Photocopies etc. These costs come under Disbursements.

Approximate cost: $400 - $600

Statement of Adjustments

Both Buyers and seller are responsible for their share of taxes, fuel and utilities. These costs are indicated on the statement of the adjustments that the lawyer puts together.

Approximate cost: These costs varies depending on the type of the property and time of the year

Home Insurance

Home Insurance cost varies depending on the Insurance Company and Insurance need. Building Insurance is included in the maintenance fees in case of condominiums and it is not included closing cost, as it may be the case when you buy a house.

Approximate cost: Varies with insurance company and insurance needs

Mortgage Application

The lending institution may charge mortgage application processing fee.

Approximate cost: Varies with lending institution

Mortgage Appraisal

Mortgage appraisal fee may be waived depending on how you negotiate

Approximate Cost: $200

Home Inspection

Home inspection is necessary to find any significant structural, electrical and plumbing problems with the house. Some lending institutions may require the home inspection before mortgage approval.

Approximate cost: $200 - $450 + Tax

Status Certificate

When you are buying a condo, you should request a Status Certificate. This certificate provides details on Condo Bylaws, Rules and Regulations, as well as Finances. Any in suite restrictions or common element restrictions are also indicated in the Status Certificate. It also includes information on Condo’s Reserve Fund that is the amount the condo corporation has reserve to cover unexpected expenses. The Status Certificate Fees are normally paid by Seller.

Approximate Cost: $100

CMHC Insurance Premium

CMHC Insurance Premium is applicable when you make a down payment less than 20% of the purchase price. You have the option to add the premium to your mortgage and amortize it over the term of your mortgage. If you do so, then it will not be the part of your closing cost.

MOVING COSTS

There will be some cost to move to your new home. If you are moving a long distance get a number of estimates before deciding on the moving company. Even a local move will cost you.

Approximate Cost: Varies