DOCUMENTS THAT THE SELLER MUST PROVIDE IN THE COURSE OF A REAL ESTATE TRANSACTION

Saint-Sauveur, September, 2005

Dear Readers,

As a follow-up to the magazine’s most recent legal column, I thought it would be timely to provide some useful tips on the following subject:

DOCUMENTS THAT THE SELLER MUST PROVIDE IN THE COURSE OF A REAL ESTATE TRANSACTION

Whether purchasing a new home, a condominium or even a piece of property, all real estate transactions require the seller to provide certain documents to the acting notary to help him or her prepare the deed of sale before it is signed. Sometime, the vendor imposes the choice of his notary.

Once the promise of sale is accepted and the buyer has chosen his notary, the seller must submit the property titles to the notary in question.

If a real estate agent is involved, he or she looks after sending the promise of sale as well as the seller’s property titles.

Typically, the following documents are required : the deed of sale (the contract for the acquisition of the property), the mortgage deed if the property is financed by a lender (bank, Caisse populaire or other), the land survey certificate indicating the current state of the property (as referred to in the promise of sale to indicate whether it is a construction certificate or a new certificate for a fully-finished building to be furnished by the seller), as well as all documents establishing the current matrimonial status of the seller. The contractor will provide the necessary documents regarding the ACQ or APCHQ guaranty if appropriate.

The seller must also provide receipts to prove that municipal and school taxes were duly paid in accordance with the dates determined by the appropriate authorities, a water test to ensure that the water meets proper standards, and a statement from the municipality indicating that any septic installations are up to standard and are not the subject of any complaints.

In the case of a condominium, the seller will provide a copy of the declaration of co-ownership for the buyer to review, proof that monthly fees (as well as special fees) owing to the co-owners’ association have been paid. It is important to note that in most cases, credit for pre-paid funds will not be provided (in the case of an existing condo) such as those mentioned on ACAIQ documents or other forms.

Those are the basics regarding the documents needed to allow a notary to complete a real estate transaction.

For additional information do not hesitate to communicate with me at (450) 227-7077 or at (514) 745-6673 (NORD) or at (514) 688-3131.

About the Author:
Me Michel Labrèche. This column was prepared by Mtre Michel Labrèche, notary, practising in Saint-Sauveur-des-Monts and Laval for the past twenty years. Me Labrèche is also the president of Domaine le Sanctuaire des Lacs. For more information please see www.monlac.com.