CLOSING COSTS TO PURCHASER
1. Deposit cheque (certified) with your offer to purchase, which becomes part of the down payment.
2. Notaries’ fees of approximately $1400 plus taxes. Could be more the larger the building.
3. Adjustment of school taxes (July to June).
4. Adjustment of municipal taxes (January to December).
5. Oil costs if applicable (One full tank approx. 909 liters at current rates).
6. Transfer tax: 0.5% on first $50,000, 1% on the difference from $50,000 to $250,000 and 1.5% on the difference from $250,000-$500,000 and 2% of any portion exceeding $500,000. Tax is based on the sale price or evaluation and is payable six weeks after signing. This could possibly change. I suggest double checking this formula.
7. Appraisal and Application fee for mortgage, which normally does not exceed $400 plus all applicable taxes, GST & QST. Banks usually waive this fee.
8. Building Inspection, if requested, which is normally around $500-1200 for written report, depending on who the inspector is and the size of the building. Apartments could be base price, plus so much per door.
9. C.M.H.C. premium for high ratio mortgage 3.50% to 4.5% of face value plus 9% tax on the premium. C.M.H.C. charge for opening of a file is approx. $450+.
10. Property insurance is mandatory and proof will be required at the signing. Protect Yourself From High Insurance Assessments is a great read as well.
11. If the purchased property is a condominium, the purchaser will have monthly condo fees to pay and might have an adjustment for reserved fund at closing.
