What’s your ideal date?

There are a number of important dates when buying a home. We have the condition removal date, completion date, adjustment date, and possession date. Below we’ll go over what each of them are and what happens as they approach.

Condition Removal Day

The condition removal day refers to the specific deadline by which the buyer and seller must address and satisfy any conditions outlined in the purchase agreement. Conditions are typically included to protect the buyer’s interests and allow them to conduct due diligence before committing to the purchase. These conditions are worded as “Subject to…” within a contract.

The condition removal day is a significant milestone in a transaction. It marks the final opportunity for the buyer to remove or waive the stated conditions. By this date, the buyer must communicate their decision to proceed with the purchase by removing the conditions or provide notice of their intention to terminate the agreement if the conditions have not been met.

Common conditions may include home inspections, arranging financing or insurance, or reviewing strata documents. Each condition typically has a designated timeframe for completion.

Completion Day

The completion date in real estate signifies the official transfer of property ownership from the seller to the buyer. It is a crucial milestone that marks the height of the transaction process. The specific date is agreed upon and stated in the Contract of Purchase and Sale. On the completion date, the buyer is responsible for paying the remaining balance of the purchase price, while the seller allows legal teams to transfer title to the buyer. This is a step dealt with by the lawyers or notaries involved in the transaction.

Adjustment Day

The adjustment day refers to the specific day on which financial adjustments are made between the buyer and the seller to account for various expenses and costs associated with the property. It will typically occur on Completion Day or Possession Day.

During the adjustment process, certain expenses, such as property taxes, utility bills, and prepaid expenses such as strata fee’s, are divided between the buyer and the seller based on the agreed-upon terms. The purpose of these adjustments is to ensure that each party is responsible for their share of the costs related to the property for the period in which they owned it.

For example, if the seller has already paid property taxes for the entire year but sells the property halfway through, an adjustment will be made to reimburse the seller for the portion of taxes that cover the period after the buyer takes ownership. Similarly, any prepaid expenses or outstanding bills are typically adjusted so that the buyer assumes responsibility for them from the adjustment day forward.

Possession Day

In real estate, the possession date refers to the agreed-upon day when the buyer takes physical possession of the property they have purchased. It is the date on which the buyer can move into and start occupying the property as their own.

The possession date is typically specified in the purchase agreement or contract between the buyer and the seller. It may coincide with the completion date, which signifies the official transfer of ownership, or it can be scheduled shortly thereafter. The specific possession date is negotiated and mutually agreed upon during the transaction process.

On the possession date, the buyer gains the right to access and utilize the property. The seller is expected to vacate the premises, allowing the buyer to take possession. This includes handing over the keys and any relevant documentation related to the property.

The possession date is important for planning purposes, as it allows the buyer to schedule their move and make necessary arrangements. It is essential for both buyers and sellers to have a clear understanding of the possession date and to communicate any specific requirements or expectations regarding the handover of the property.

In conclusion, these four days are going to be the most important days of the year, besides your birthday or anniversary. With my help, we’ll work to create a timeline to suit you and the selling side perfectly.

Let’s go find you a home!