How much time do you need to complete a real estate purchase?

How much time is needed to complete your real estate purchase depends on the transaction and who is involved.

If you have a cash deal for the purchase of a house and everyone, Buyers and Sellers, are available to meet with their lawyers to sign the necessary documents, you may only need a few days to complete the purchase.

If you are relying on a mortgage to pay part or all of the purchase price, you will need more time to complete your purchase.  Mortgages require more time because you now have a third party involved in your real estate deal:  the Mortgage Provider.  Most mortgage providers take time to approve loans and then need more time to get the mortgage instructions to your lawyer who then needs to prepare the mortgage documents.  This process may take two to three weeks depending on your mortgage provider.

Your purchase may also be slowed down by your mortgage provider requiring proof of insurance as a condition of your mortgage or by having to wait for a tax certificate showing the property taxes levied and any payments made.  In the first instance, you will need to make sure the required insurance is in place and that your lawyer has the necessary proof of insurance from your insurance broker.  In the second instance, a week may be necessary to obtain a tax certificate especially if your purchase is in a small town or rural area.

If you are purchasing a condominium, you will likely require more time than a few days because you will want to obtain documents from the condominium or strata corporation and carefully review them.  These documents include the bylaws, confirmation of adequate insurance, the most current reserve fund study, and any rules which apply to the condominium.  If you are relying on a mortgage, your lawyer will need to get copies of these documents and review them as well.

If you have a real estate purchase with a quick closing, our office will do its best to accommodate your deadlines and help you get it done, but as a good practise, you should try to avoid giving yourself a short deadline for closing your real estate deal.  For a smooth stress free closing of your purchase, our office recommends leaving 4 full weeks between the removal of conditions to the possession date.