When you’re right in the middle of the excitement of a home search, the last thing that is likely on your mind is what closing date you should choose. But there are some general rules around choosing a closing date that can drastically improve your moving experience and help you to avoid moving day delays, extra costs and stress!
Here are some great tips from prominent Toronto Real Estate Lawyer, Mark Weisleder:
General
Don’t close on a Friday at the end of the month – Although Friday may seem ideal, as you’d have all weekend to get settled into your new home, it is usually the busiest day in most real estate law offices, most especially in the summer. This can cause delays in your closing or possibly extensions, which would leave you waiting all weekend long to close.
What day should you close? What day does Mr. Weisleder recommend for a closing date? Wednesday! This way if delays or extensions do arise, it’s much easier to manage a one day extension, as opposed to waiting the whole weekend.
Sellers
If you’re selling your home, there are a couple things that you need to remember:
Plan to be out by 3 pm – Vacant possession must be given to the buyer. That means that you should plan to be out of your home by 3 pm on closing day. That is typically when the lawyer’s office will have the title transferred and the deal registered (that is unless your closing is in a Friday at the end of the month!). Sellers who are late in vacating may have to pay damages to buyers whose move in to the home was delayed, so plan ahead!
Clean up! The home also needs to be passed over in ‘broom swept’ condition, meaning no garbage left behind.
Buyers
If you’re buying a new home, consider this advice before selecting a closing date:
The Final Visit – Mr. Weisleder encourages you to schedule your final visit about 2 days before closing. This way you can check to make sure that the sellers are cleaning up properly, and that everything the sellers agreed to leave is still in the home.
Plan to move late in the day – Buyers should plan to move in either late on closing day or the day after closing. This way you won’t have to pay your movers extra if your move is delayed, or the deal is extended.
Check the home on closing day – If you are moving in the day after closing, you’ll still need to get into your new home on closing day to check the condition of the home and make sure that nothing has been broken or damaged. Often the sellers will only warrant that everything will be working on the day of closing and not afterwards, so it’s important to get in and check.
Selling & Buying
Close your purchase first – If you are selling and buying at the same time, Mr. Weisleder recommends getting bridge financing and closing your purchase approximately 2 days earlier. This gives you lots of time to move into your new place. It also prevents you from the stress of needing the money from your sale to close your purchase, and gives you a safety net of somewhere to stay if there are delays, or if you need to negotiate an extension of the closing on your sale.
Please pass this article on to any friends or family who may find it useful and as always please don’t hesitate to contact our team with any questions you may have about closing dates or the Burnaby real estate market.
For Mark’s full article in the Toronto Star please click here.
Sincerely,
The Lotus Yuen Team
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