Lawyers play a very important role in real estate transactions
Their main jobs for Buyer are:
*. Review of the Agreement of Purchase and Sale and Status Certificate where applicable and note any deadlines to ensure the deal proceeds as scheduled
* Review title search
* Request other required searches – tax arrears, common expenses, zoning, work orders, etc.
* Obtain information regarding satisfaction of conditions/deliverables (i.e. invoices to show repair work completed, clean water test obtained, septic permit)
* Arrange for title insurance
* Prepare and send requisition letter and closing documents required from Sellers and Sellers counsel on or before the requisition date
* Prepare transfer for review and completion by seller’s counsel
* Prepare draft Charge as instructed by Lender for review and execution by client
* Attend with client for review and execution of closing documents and obtain remaining closing funds from client
* Enter escrow closing arrangement with the lawyer for the sellers;
* Receive mortgage funds and rest of closing funds in trust
* Review Statement of Adjustments and prepare certified cheques for sellers as directed by counsel and in keeping with the Agreement of Purchase and Sale
* Receive keys and deliver to client once released, release closing funds
* Register Transfer and Charge once released from escrow
* Follow-up with counsel for sellers to ensure that discharge of previous charge has been registered
Main jobs for Seller:
* Review the Agreement of Sale and other legal documents .
* do another title search on your home to make sure there are no defects
* Prepare the deed to your house
* Deal and remedy title issues as they occur
* calculate any closing costs you have to pay and draft a Statement of Adjustments for you
* Ensure all legal and financial conditions have been met
* Exchange legal documents and keys with the Buyer’s lawyer
* On closing day, they’ll facilitate the financial transaction and hand you a cheque for what’s leftover, after paying off anything you owed on your mortgage , your real estate agent’s fees, legal fees, etc.
you also need a lawyer's help with refinancing:
your real estate lawyer will conduct yet another title search, to ensure it’s clear of defects; this protects both you and your lender. After that, your lawyer will register the new mortgage amount and facilitate the rest of the financial transaction. When you refinance, your lawyer drafts up a Trust Ledger Statement instead of a Statement of Adjustments; it’s essentially the same financial document, but your transaction is only with the bank – not another buyer or seller.