The information is provided to us by Fulham Law Offices - Purchase of a Home Brochure
Buying a Home
When buying a home, a major concern is always the final
cost. As well as the purchase price, the cost of your home will
include legal fees and various disbursements known as
closing costs that are paid by my office on your behalf. These
costs will be included in your down payment which we will
require from you before possession date. GST is payable on
most closing costs. RST is payable on Legal Fees.
Typical Closing Costs
The Manitoba Bar Association provides a suggested set of
legal fees for house sale transactions. The fees that will be
charged are dependent upon such factors as the complexity of
the transaction, whether there is a rush to process the
documents, the seasonal delays, etc.
Our flat-rate for a basic residential home purchase transaction
is $675.00 plus GST & RST.
Land Transfer Tax:
This tax is calculated as a percentage of the purchase price,
and is payable to the Land Titles Office at the time the title is
registered. Please see the included schedule for the fees that
will apply to your purchase.
These are also paid to the Land Titles Office at the time of
registration. The cost of registering a title is $85.00 and the
cost of registering a mortgage, if required is also $85.00.
Survey Certificate/Title Insurance:
If a survey certificate is not available from the seller, a new
survey is required. The cost is approximately $550.00. Title
Insurance can be purchased as an alternative to buying a new
survey at a cost of $200.00 to $250.00. If Title Insurance is
purchased, in most cases you will not have to pay interest to
the Vendor as mortgage funds can be advanced more quickly.
This document verifies that the property complies with
municipal zoning regulation. The cost is $70.00.
This refers to searching the title and ordering copies of any
encumbrances registered against it. The cost is $20.00 per tax
search and $30.00 per title search.
This document verifies whether or not there are any unpaid
property taxes. The cost is $43.00.
The cost for couriers, photocopies, faxes, postage, file
management, file storage, office supplies, and accounting fees
are approximately $200.00.
The question of interest often arises when there is a delay in
the processing of mortgage documents at the Land Titles
If you are arranging a new mortgage, the mortgage money
will not be released until the registration and lawyer's
summary are complete. There will be no interest charged
during the period, as you have not yet received the mortgage
However, it is standard practice for the home-buyer to pay
interest to the seller on the unpaid purchase price at the
mortgage rate of interest, from possession date until final
payment is made. Title Insurance may eliminate this cost.
You are responsible for the property taxes for the months that
you own the house.
In all transactions, either the buyer or the seller pays the
annual tax bill. The party who paid the taxes is then
reimbursed by the other party by way of an adjustment to the
If the purchase is made before the taxes are due, you pay the
property taxes, but will be given a credit from the seller for his
portion, and if the taxes are already paid, you will reimburse
the seller for your share.
Please note: Fees are subject to change without notice. The
general information in this brochure and examples are for the
purpose of illustration only. Various other factors may come
into play and affect the costs of any individual home
purchase. Please contact my office for details regarding your
Example of a Purchase:
Possession Date June 1
Purchase Price $200,000.00
Mortgage (10% down) $180,000.00
Interest Rate 4%
Property Taxes $2,400.00
Land Titles Delays 21 days
Land Transfer Tax $ 1,735.00
Mtg. Registration Costs 85.00
Title Insurance 250.00
Tax Certificate 43.00
Tax & Title Search 50.00
GST on $(200) 10.00
Total Disbursements $ 2,373.00
Basic Fee $ 675.00
Mortgage Fee 200.00
GST & RST on $(875) 113.75
Total Legal $ 988.75
$180,000.00 x 4% / 365 x 30 days) $ 591.78
($2,373.00 + 988.75 + 591.78) $ 3,953.53
Property Taxes Credit:
($2,400.00 ÷ 12 x 5) $ 1,000.00
Total Funds Required: $ 2,953.53