Dodd Team Real Estate

Office 250-479-3333 | info@doddteam.ca

Calculating the Net Proceeds

Congratulations!

 

Although your lawyer will provide you with a detailed outline of expenses incurred at the time of closing, it’s best to understand what expenses you may incur when your home closes. We work with you to create an estimate of what costs will be associated with selling your home to avoid any surprises. Some of these costs may include, but are not limited to, the following:


Estimated Selling Price

$

LESS:

Mortgage Balance

 

$

Mortgage Penalty (If applicable)

 

$

Interest Per Diem (Interest from last payment to date of closing)

$

Property Tax / Utilities Adjustments

 

$

Real Estate Commission with HST

 

$

Moving Costs

 

$

Other:

 

$

Estimated Net Proceeds of Sale

$

 

 

Closing Costs Explained

Legal Fees

Lawyer’s fees vary, but often have structured fees for the purchase and sale of homes posted on their websites. Sellers pay in the area of $1000.00 for a lawyer to look after the legal details necessary to close their home.

 

Mortgage Fees

Check with your mortgage lender to determine if any costs will occur when transferring or releasing your mortgage. There is sometimes what is referred to as a discharge fee to remove the mortgage from title that can range from $100 to $250.

 

 

Disbursements

These fees cover additional legal expenses such as travel, copies, couriers, registration fees and preparing document transfers.  Disbursements can range upwards of $500, but can sometimes be built into your legal fees.

 

 

Adjustments

It’s difficult for a home seller to calculate exactly how much money is owed to which utilities on closing day. Your lawyer will ensure that any overpayments or deficiencies on rents, mortgage interest, property tax and utility charges will be corrected, and the buyer and seller will be credited or charged accordingly.

 

 

Moving Costs

Moving costs vary based on location and the amount of possessions being moved. If you’re moving yourself, you should factor gas, rental vehicles and moving supplies.


                                                                                                   


NOTE: MLS® property information is provided under copyright© by the Victoria Real Estate Board. The information is from sources deemed reliable, but should not be relied upon without independent verification. This website may only be used by consumers for the purpose of locating and purchasing real estate.