Guide on Remote/ Virtual Real Estate Closing in Ontario
You picture all real estate deals closing in the usual way with each party sitting across from the other with their lawyers present. But what about when the buyer or seller or anyone with a stake in the deal cannot be there? It’s not uncommon when you consider property purchase and sale for non-residents. The good news is that virtual real estate closing is now possible in Ontario when you follow all laws.
Your lawyer can steer you through much of what you need to do and sign during a transfer online. Knowing the process yourself can help you prepare better and save time and money, so let’s break down how to finalize a virtual real estate deal.
Do You Need Help Closing a Property Without Lengthy and Expensive Office Visits?
Estofa Law helps you handle remote transactions smoothly. Our real estate lawyers are well-versed in online closings for residential and commercial deals.
Why Go for Virtual Closings for Real Estate Deals?
The simplest answer: convenience. You cannot attend a closing when you are traveling. Or you need to buy a property in Ontario while being in Toronto or outside Canada. A virtual closing process is now possible as there is real estate technology. The industry is keeping up with changing times. More buyers and sellers are now choosing this path.
Secure online tools and signing, and video meetings. These are things business deals use every day. And now they are useful for real estate closing. Buyer and seller, real estate agent and lawyer, all work together and go through the property transfer final walkthrough without meeting in person. Every step from document review to signing is possible online. It occurs without hassle and makes your buying/selling stress-free.
What is the Virtual Real Estate Closing Process for Ontario?
Ontario is one of the two provinces right now (Alberta being the other) that allows real estate online closings. The guidelines by the Law Society of Ontario give you the outline for the virtual signing protocol. Knowing what should happen in your remote meeting helps you prepare and ideally get through a seamless online closing experience.
Initial Consultation
You are in another place or have a routine that does not allow a meeting, so you need your agent, broker, or lender to refer you. As with any other closing real estate attorneys need to present for virtual ones as well. Go for someone trusted with a previous track record in digital closings. It’s best to arrange a Zoom call or any other medium before closing to know what paperwork and local rules come into play.
Document Preparation
It’s up to the lawyer, lender (if any), or title company to take care of the closing papers. Everything from your purchase contract and deed to the paper with the loan terms needs checking for accuracy. Your lawyer will also make sure before you close that all terms are risk-free for you. They will send it all to all parties via email or fax to sign.
Remote Document Signing
One major aspect of your virtual closing meeting is the electronic signature that makes the deal seem different from the traditional one. E-signing platforms have made virtual meetings a breeze around the world. And the same goes for any online closing. Both buyers and sellers can check and sign the documents in their homes or from any other place on any device.
Virtual Notary Services
You signed papers go through notarization as this vital step helps certify the deed or mortgage papers. A digital closing means a remote notary who will be in touch with you through a secure video call. They’ll watch you sign your real estate papers in real time and make sure there are no mishaps.
Funds Transaction
The funds transfer is the step once you and your seller/buyer go through the signing and notary. This happens through secure wire transfers or e-payment methods only when there are digital real estate closings. The money moves safely between the buyer, seller, and any third parties like digital escrow services.
Records and Title Transfer
You can now (or your lawyer will handle this well for you) register the transfer with the land registry. It’s the part of your digital transaction where the deed and other paperwork are filed and the transfer is now legally binding. The legal ownership moves from your seller to you, or vice versa!
What Are the Benefits and Challenges of Virtual Real Estate Transactions?
You have no physical limits for your virtual closing and that is the very definition of ease. Every step of the process to have in hand that ownership transfer binding agreement or a finalized loan becomes stress-free. Virtual closings do not need parties to be present in person, which means:
Virtual property closing is a superb step in a world where remote work and pretty much digital everything else is the norm to save time and expenses and overall hassle. That said, there are still some challenges when you close virtually on a real estate transaction.
You will have to keep in mind that every legal process has issues. And a smooth online closing will need solutions to the ones that you and other parties face. Legal counsel and working with a law firm for your closing is a no-brainer. That is, if you want to make sure all the obvious issues do not happen and ones that do will be solved fast!
Let’s Make Your Online Closing Process Seamless
Long commutes and lengthy meetings are a thing of the past when you buy or sell real estate in Ontario! Of course, in-person closings still have their place. But many people now choose the online option for its ease. A virtual real estate closing means that you and all the other parties use secure online tools. You get through the negotiations and even signing and notary services from anywhere each party wants. Estofa Law has handled simple and complex remote real estate deals. And we’re prepped and ready to help you, so connect with us today to talk to a lawyer!
