Completion Steps for Buyers
DepositWe will forward you instructions for either a wire transfer or bank draft deposit, it will indicate on the Contract of Purchase and Sale the time frame and amount that is due. These funds will be held in a Trust account until Completion Date.
InsuranceAs of completion date you will want to have proper insurance for your new property, please communicate with your insurance broker to discuss your needs so that the policy will start on completion date.
Lawyer/NotaryYou will require a lawyer or notary to attend to the execution of documents on the purchase of your property, please advise us of your lawyer’s contact information and our administration department will forward the appropriate documents. If you wish we can supply a few lawyers/notaries for you to contact. Communicate with your lawyer/notary what they require from you (photo id, signing arrangements, etc) upon a firm deal so that you have the appropriate time to have everything organized by completion dates. Please ask your legal representative what their fee structure is, costs can vary between lawyers and notaries.
- Adjustments for Ownership: Adjustments, - prepaid or payable annual expenses will be adjusted on a prorated basis for the year and either credited or debited to the funds you will need. These generally include property taxes, condo/home ownership fees, resort fees, rental income, etc
- Property Transfer Tax – The amount of tax you pay is based on the fair market value of the land and improvements (e.g. buildings) on the date of registration unless you purchase a pre-sold strata unit. The tax is charged at a rate of:
- 1% on the first $200,000,
- 2% on the portion of the fair market value greater than $200,000 and up to and including $2,000,000, and
- 3% on the portion of the fair market value greater than $2,000,000.
- Please Note: If you are are purchasing in the Greater Vancouver Area and are a "foreign entity" or a "taxable trustee" as defined in the British Columbia Property Transfer Tax Act there is an additional Property Transfer Tax of 15% of the fair market value.
- GST-if you are buying a new residential property or a property owned by a company, or that has been used for commercial properties, the Goods and Services Tax (GST) of 5% of the purchase price may be payable. Often the responsibility for the payment of this tax is part of the negotiation. How you plan on using your property may also allow you to defer any payment owing. GST is a complex topic and applies differently from transaction to transaction, you should ask for accounting advice from a professional on how to proceed with these costs.
- Legal Fees – $2,500, depending on the lawyer and the complexity of the transaction, ask your legal representative what their fee structure is.
Other Steps to Consider:
- Notify all utility companies of your closing dates: Terasen Gas, BC Hydro, Shaw, Bell
- Contact moving companies, book one in advance
- If moving into a condo contact the strata company about booking a elevator
- Will you be renting your property out? Contact a few rental management companies to discuss options.
Completion DayThe ‘Completion Date’ is the date on which the seller is entitled to the net proceeds of the sale and you the buyer is entitled to the transfer of title. Your lawyer/notary will provide you with a Statement of Adjustments: this provides the parties with detailed information relating to the balance due from you (the buyer) and the balance due to the other (the seller). Some of the more common items that appear on the statement include the deposit, mortgages, property taxes, legal fees, strata and in Whistler the Tourism Whistler fees.
Possession DayYou take possession of your new place! We will supply the keys and you have access per the time set out on the Contract of Purchase and Sale.
Mobile: 604.935.2287 Fax: 604.962-1189 Email: firstname.lastname@example.org