Remember when you bought your property, the surprise of the closing cost that snuck up on you just when you thought everything was done?  There are closing costs associated with selling too.   You should be prepared to pay lawyer fees, real estate commission, and applicable GST (soon to be HST)

Receive Buyer’s Adjustments

Some of the cost of closing is offset by the adjustments that a buyer will likely pay you.  Chances are you have prepaid for some expenses for the property which the new owner will now enjoy.  As a result, the lawyers will calculate the pro-rated portions you are each responsible for.  This usually means a refund for the seller for any prepaid months that still remains after the closing date.  Property taxes are a great example.

Comes From Proceeds

The closing costs are usually covered from the proceeds of the sale.  Unlike when buying, you will not need to pay this out of your pocket.  There may be other expenses too such as any relating to your mortgage.  It’s best to take this up with your bank.

If you’re looking for a free, no obligation home evaluation, please contact me today.