Closing Costs
Quick Summary
Upfront costs you pay to complete a home purchase or mortgage closing.
ELI5 Explanation
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They’re the extra bills you pay on closing day besides your down payment.
Detailed Explanation
Closing costs can include legal fees, appraisal fees, title insurance, lender fees, land transfer tax, and adjustments. They vary by province, property type, and whether it’s a purchase or refinance, so it’s wise to budget a buffer.
Example
A buyer sets aside $8,000 for legal fees, title insurance, appraisal, and land transfer tax on closing.
Why It Matters
Underestimating closing costs can create last-minute cash shortfalls and delay funding.