Your down payment is only one line of the purchase budget. Ask for a written estimate of the funds needed to close, then keep a buffer for moving and early ownership expenses.
1. Build a cash-to-close worksheet
List the down payment, deposit already paid, legal costs, taxes, property-related expenses and adjustments. Ask your lawyer to confirm the final amounts and avoid counting the deposit twice.
2. Check the property’s municipality
Toronto has its own municipal land transfer tax. Confirm the property location and ask your lawyer which taxes and rebates apply to your circumstances.
3. Track timing as well as totals
Note when each payment is due and where the money will come from. A budget can look sufficient on paper while funds are still tied up in another transaction.
Questions to bring to our conversation
- What is the total needed on closing day after my deposit?
- Which estimated costs still need confirmation?
- When do funds need to reach the lawyer?
Further reading: City of Toronto: Municipal land transfer tax. General information; lender requirements and individual circumstances vary.