What to Expect in the Closing Process: A Step-by-Step Guide

Matthew Chan • February 4, 2026

You’ve found the right home, your offer’s been accepted, and your financing is approved—congratulations! But before you can pick up the keys and celebrate, there’s one more important stage: the closing process.


Closing is the final step in your homebuying journey, where all the paperwork, legal details, and financial transactions come together. It can feel overwhelming if you don’t know what to expect, but with the right preparation, closing can be smooth and stress-free.


Here’s a step-by-step guide to help you understand the process.


Step 1: Hire a Lawyer or Notary

A real estate lawyer (or notary, depending on your province) handles the legal side of closing. They will:

  • Review the purchase agreement and mortgage documents
  • Conduct a title search to confirm the seller has the legal right to sell the property
  • Ensure the mortgage lender is properly registered on the title
  • Handle the transfer of funds between you, the lender, and the seller


Your lawyer or notary will be your main point of contact during closing, so choose one you trust and who communicates clearly.


Step 2: Finalize Your Mortgage

Your lender will send the mortgage instructions directly to your lawyer or notary. At this stage:

  • You’ll provide proof of property insurance (lenders require this before releasing funds)
  • You’ll confirm your down payment and closing costs are available in your lawyer’s trust account
  • The lawyer will prepare all documents for your review and signature


Step 3: Pay Closing Costs

Closing costs typically range from 1.5% to 4% of the purchase price. These can include:

  • Legal fees
  • Title insurance
  • Land transfer tax (where applicable)
  • Adjustments for property taxes or utilities prepaid by the seller
  • Home inspection or appraisal fees (if not already paid)

Your lawyer will provide a final statement of adjustments so you know exactly how much is due on closing day.


Step 4: Sign the Paperwork

A few days before closing, you’ll meet with your lawyer or notary to sign all the necessary documents, including:

  • Mortgage agreement
  • Title transfer
  • Insurance confirmations
  • Statement of adjustments

Bring valid government-issued ID to this appointment.


Step 5: Transfer of Funds

On the day of closing:

  • Your lender sends the mortgage funds to your lawyer
  • Your lawyer combines these funds with your down payment and pays the seller
  • Legal ownership of the property is transferred into your name
  • The lender is registered on title as a secured creditor


Step 6: Get the Keys!

Once the paperwork is filed and the funds have cleared, your lawyer will confirm that the transaction is complete. You’ll then get the keys to your new home—officially making it yours.


The Bottom Line

The closing process is a series of important steps, but with the right team in place, it doesn’t have to be stressful. By working closely with your mortgage professional and lawyer, you’ll have guidance every step of the way—from signing the documents to turning the key in the front door.


If you’d like help preparing for the closing process—or want a clear breakdown of your own closing costs—connect with us today.


CONTACT

Share

RECENT POSTS

Why a Mortgage Pre-Approval Protects Both Your Head and Your Heart

By Matthew Chan • June 17, 2026
Why a Mortgage Pre-Approval Protects Both Your Head and Your Heart There’s no denying it—buying a home is an emotional journey. In a competitive market, it can feel like you need to stretch beyond your comfort zone or bid above asking just to have a chance. That pressure can make it hard to separate what you want from what you can realistically afford. One of the biggest pitfalls buyers face is falling in love with a home that’s outside their price range. Once that happens, every other property seems like a compromise—even the ones that might have been a perfect fit otherwise. The best way to avoid this heartache? Get pre-approved before you start shopping. What a Pre-Approval Does for You A mortgage pre-approval gives you more than just a number—it provides clarity, confidence, and protection: Know your buying power : Shop within your true price range and avoid disappointment. Spot potential roadblocks : Uncover issues like credit bureau errors before you make an offer. Get organized : Learn exactly what documentation you’ll need so there are no surprises. Lock in a rate : Many lenders hold your rate for 30–120 days, giving you peace of mind if rates rise. Save yourself heartache : Protect yourself from falling for a home you can’t afford. Head vs. Heart Buying a home is about balance. Your head tells you what’s financially sound, your heart tells you what feels right—and both matter. A pre-approval helps bring those two sides together, so you can make confident choices without emotional stress clouding your judgment. The Bottom Line Looking at properties for fun is one thing—but if you’re serious about buying, a pre-approval is the smartest first step you can take. It sets realistic expectations, saves time, and protects your emotions along the way. If you’d like to explore your options and get pre-approved, I’d be happy to walk through the process with you. Let’s make sure you’re ready to shop with confidence.

Bank of Canada Holds Rate at 2.25% — June 10, 2026

By Matthew Chan • June 10, 2026
The Bank of Canada announced today that it is maintaining its target for the overnight rate at 2.25%, with the Bank Rate at 2.5% and the deposit rate at 2.20%. For Canadian homeowners, buyers, and anyone with a mortgage on the horizon — here's what you need to know.

Breaking Down the Real Costs of Homeownership

By Matthew Chan • June 3, 2026
Don’t Forget About Closing Costs When planning to buy a home, most people focus on saving for the down payment. But the truth is, that’s only part of the equation. To actually finalize the purchase, you’ll also need to budget for closing costs —the out-of-pocket expenses that come up before you get the keys. Closing costs can add up quickly, which is why they should be part of your pre-approval conversation right from the start. Lenders will even require proof that you’ve got enough funds set aside. For example, if you’re getting an insured (high-ratio) mortgage, you’ll need at least 1.5% of the purchase price available in addition to your down payment. That means a 10% down payment actually requires 11.5% of the purchase price in cash to make everything work. Let’s break down some of the most common expenses you should prepare for: 1. Home Inspection & Appraisal Inspection : Paid by you, this gives peace of mind that the property is in good shape and doesn’t have hidden problems. Appraisal : Required by the lender to confirm value. Sometimes this is covered by mortgage insurance, sometimes by you. 2. Legal Fees A lawyer or notary is required to handle the title transfer and make sure the mortgage is properly registered. Legal fees are often one of the larger closing costs—unless you’re also responsible for property transfer tax. 3. Taxes Many provinces charge a property or land transfer tax based on the home’s purchase price. These fees can range from hundreds to thousands of dollars, so you’ll want to factor them in early. 4. Insurance Property insurance is mandatory—lenders won’t release funds without proof that the home is insured on closing day. Optional coverage like mortgage life, disability, or critical illness insurance may also be worth considering depending on your financial plan. 5. Moving Costs Whether you’re renting a truck, hiring movers, or bribing friends with pizza and gas money, moving comes with expenses. Cross-country moves especially can be surprisingly pricey. 6. Utilities & Deposits Setting up new services (electricity, water, internet) can involve connection fees or deposits, particularly if you don’t already have a payment history with the utility provider. Plan Ahead, Stress Less This list covers the big-ticket items, but every purchase is unique. That’s why it pays to have an accurate estimate of your personal closing costs before you make an offer. If you’d like help planning ahead—or want a breakdown tailored to your situation—let’s connect. I’d be happy to walk you through the numbers and make sure you’re fully prepared.