Closing day is when the home officially becomes yours: the legal and financial transfer of ownership. Here is what happens, and what can hold it up.
The week before closing
Most of the critical work happens before closing day, not on the day itself.
| Task | When | Who Handles It | Your Action |
|---|---|---|---|
| Sign mortgage documents | 5–10 days before closing | Your lawyer sends them for review and signature | Review carefully, sign where indicated |
| Sign closing documents with your lawyer | 2–5 days before closing | Your lawyer’s office | In-person or virtual appointment (30–60 minutes) |
| Provide closing funds | 2–3 days before closing | You wire or bring certified cheque to lawyer | Your lawyer tells you the exact amount on the statement of adjustments |
| Confirm home insurance | 1–2 weeks before closing | You arrange, provide proof to lawyer | Insurance binder sent to lawyer by your insurer |
| Set up utilities | 1 week before closing | You call/set up online | Hydro, gas, water, internet — set start date for closing day |
| Arrange movers | 1–2 weeks before closing | You | Many buyers book for late afternoon or the day after closing |
The statement of adjustments
Your lawyer prepares a statement of adjustments a few days before closing. This is the final accounting of what you owe.
| Line Item | Typical Amount | Debit (You Pay) or Credit (You Receive) |
|---|---|---|
| Purchase price | $500,000 | Debit |
| Deposit (already paid, held in trust) | $25,000 | Credit |
| Mortgage proceeds (from lender) | $475,000 | Credit |
| Land transfer tax (Ontario example) | $6,475 | Debit |
| First-time buyer LTT refund (if eligible; Ontario maximum $4,000) | ($4,000) | Credit |
| Legal fees + disbursements | $2,200 | Debit |
| Title insurance | $450 | Debit |
| Property tax adjustment (seller prepaid 6 months) | $2,500 | Debit |
| PST on CMHC premium (Ontario: 8% of a $19,000 premium, 4% on a $475,000 insured loan) | $1,520 | Debit |
| Net amount due from you | $9,145 | Certified cheque or wire |
The key number is the net amount due — this is what you bring to your lawyer. It accounts for your deposit already in trust, the mortgage funds coming from the lender, and all closing costs and adjustments.
Closing day: roughly how it goes
The order and timing vary by province and lawyer; this is a typical sequence.
| Stage | What Happens | Who Does It |
|---|---|---|
| Day before or morning | Mortgage funds arrive in your lawyer’s trust account, with your own closing funds | Lender, you |
| Morning to midday | The lawyers exchange closing documents and your lawyer sends the balance of the price to the seller’s lawyer | Your lawyer → seller’s lawyer |
| Once funds are confirmed | The transfer and mortgage are registered with the land registry (electronically in most provinces) | Your lawyer |
| Afternoon | The seller’s lawyer authorizes key release | Seller’s lawyer → listing agent |
| Keys released | Your real estate agent picks up keys from the listing office or lockbox | Your agent → you |
Month-end closings are busier. Many deals close on the last business days of the month, so lenders and law offices are stretched and delays of a few hours are more likely. Some buyers choose a mid-month or mid-week closing date for that reason.
The final walkthrough
You have the right to do a final walkthrough of the property before closing. This is typically done 24–48 hours before closing.
| What to Check | Why |
|---|---|
| All included appliances are present and working | Confirms nothing was removed after your offer |
| No new damage since your last visit | Seller is responsible for the property until closing |
| Agreed-upon repairs were completed (if negotiated) | Verify work was done as promised |
| All fixtures included in the offer are present | Light fixtures, window coverings, shelving, etc. |
| Utilities are functioning (turn on taps, flush toilets, check electrical) | Ensures nothing has been disconnected or damaged |
| Property is in broom-clean condition | Standard expectation — not deep cleaned, but cleared out |
| Garage door openers, keys, alarm codes are available | You will need these on possession day |
If you find a problem during the walkthrough:
- Minor issues: Document them and notify your lawyer. The closing proceeds but you may negotiate a small holdback.
- Major issues (appliances removed, new damage, unauthorized changes): your lawyer can negotiate a larger holdback in trust, or the parties can agree to delay the closing.
Documents you sign before closing
| Document | Purpose | When You Sign |
|---|---|---|
| Mortgage commitment | Your agreement with the lender — rate, term, conditions | 5–10 days before closing |
| Transfer/deed of land | Transfers ownership from seller to you | At lawyer’s office, 2–5 days before closing |
| Mortgage charge | Registers the lender’s security interest on the property | At lawyer’s office |
| Statement of adjustments | Final financial accounting | Reviewed and approved 2–5 days before closing |
| Statutory declaration | Confirms identity, citizenship/residency, intended use | At lawyer’s office |
| Direction regarding funds | Instructs your lawyer how to handle the money | At lawyer’s office |
| Undertaking to lender | Your lawyer promises to register the mortgage and provide documents to the lender | Your lawyer handles this |
Common closing day delays and how to handle them
| Delay | Cause | What Happens | How to Prepare |
|---|---|---|---|
| Month-end volume | Many closings on one day, system issues | Delays of hours | A mid-month closing if possible |
| Lender funding delay | Missing documents, underwriting backlog | Funds arrive late | Documents submitted well before closing |
| Title issue discovered | Lien, encroachment, boundary problem | Closing may be postponed | Your lawyer does a title search well before closing — issues usually surface early |
| Chain closing (seller is also buying) | Seller’s purchase falls through or is delayed | Your closing depends on their closing | Ask about the seller’s situation before choosing a short closing date |
| Insurance confirmation not received | Insurer did not send binder to lawyer | Lender will not fund without proof of insurance | Insurance arranged early, with the binder confirmed |
| Funds not received | Buyer’s certified cheque or wire not processed in time | Closing cannot proceed | Funds sent a few business days before closing |
What to do on closing day itself
Since you signed everything days earlier, closing day is mostly about waiting:
| Time | Your Activity |
|---|---|
| Morning | Your lawyer is handling the legal work. |
| Midday | A status check with your lawyer or agent. |
| Afternoon | A call from your agent when keys are ready. |
| Late afternoon | Keys picked up; into your new home. |
| Evening | Many owners change the locks right away. |
After closing: First week checklist
| Task | When | Details |
|---|---|---|
| Change locks | Day 1 | You do not know who has copies of the previous owner’s keys |
| Set up mail forwarding | Day 1 | Canada Post mail forwarding (4 months: $66.50 within a province) |
| Property tax account | Week 1 | Check that the municipality has you as owner (your lawyer usually notifies it) |
| Update address everywhere | Week 1 | Driver’s licence, bank, CRA, employer, insurance, subscriptions |
| Test smoke and CO detectors | Day 1 | Replace batteries, verify placement meets code |
| Locate water shut-off and electrical panel | Day 1 | Know where these are before an emergency |
| Review your mortgage payment schedule | Week 1 | Confirm first payment date, amount, and payment method |
| Start a home maintenance file | Week 1 | Store appliance manuals, warranties, contractor contacts, paint colours |
Closing costs you pay at or before closing
| Cost | Typical Amount | Paid To |
|---|---|---|
| Net closing funds (per statement of adjustments) | $5,000–$25,000+ | Your lawyer (trust) |
| Land transfer tax | $0–$30,000+ | Provincial/municipal government (via lawyer) |
| Legal fees | $1,500–$3,000 | Your lawyer |
| Title insurance | $300–$500 | Title insurer (via lawyer) |
| Property tax adjustment | $0–$3,000 | Seller (via lawyer) |
| PST on CMHC premium (ON, QC, SK) | $0–$2,500 | Provincial government (via lawyer) |
Everything is handled through your lawyer’s trust account. You provide one payment — the net amount due — and your lawyer allocates it to all the correct parties.
Related pages
Sources
The figures and rules on this page come from these sources, last checked against them between September 28, 2026 and September 29, 2026. How we check facts.
- Canada Post: Forward mail when you move or relocate | Personal | Canada Post
- Government of Ontario: Land Transfer Tax Refunds for First-Time Homebuyers | Land Transfer Tax