Updated: April 2025  |  bremo.io financial guides

Real Estate Lawyers in Canada: What They Do and What They Cost

Hiring a real estate lawyer is not optional in Canada — it is a legal requirement for completing a property purchase. Your lawyer protects your interests, ensures the title is clean, handles the mortgage registration, and makes sure the transaction closes properly. Here is what to expect.

What a Real Estate Lawyer Does for Buyers

Before Closing

• Review the Agreement of Purchase and Sale: Your lawyer reviews the contract you signed and flags any concerning terms or missing clauses
• Title search: Searches public records to confirm the seller is the legal owner and that the title is free of undisclosed liens, encumbrances, or charges
• Review existing mortgages: Confirms any existing mortgages on the property will be discharged at closing
• Review survey or title insurance: Either reviews an existing survey or arranges title insurance in lieu of one
• Tax and utility searches: Confirms no outstanding property taxes, utility arrears, or municipal charges that would transfer to you
• Condo review (if applicable): Reviews the status certificate and flags any concerns

At Closing

• Receives mortgage funds from your lender
• Pays the seller's lawyer and discharges any existing mortgages
• Registers the title transfer at the land registry office
• Registers your mortgage against the title
• Arranges key pickup or coordinates with agents
• Provides you with copies of all registered documents

After Closing

• Sends you a reporting letter summarizing the transaction
• Provides copies of the registered title, mortgage, and all relevant documents
• Holds a small amount of the purchase price in trust for a short period to handle any post-closing adjustments

Notary vs. Lawyer in BC

British Columbia allows notaries public to handle residential real estate closings. Notaries are authorized to complete title transfers and mortgage registrations but cannot provide legal advice or handle contentious matters. For straightforward residential purchases, a notary is a common and cost-effective choice. If your transaction has complications — a power of sale, a family law issue, an estate sale, or complex conditions — use a lawyer.

How Much Do Real Estate Lawyers Charge?

Condo purchases typically cost slightly more due to the added step of reviewing the status certificate. New construction purchases can cost more if there are HST issues, assignments, or complex builder contracts. Some lawyers charge a flat fee for a standard purchase; others bill by the hour.

How to Choose a Real Estate Lawyer

Real estate law is a volume business — experienced real estate lawyers handle many files simultaneously and have efficient systems in place. Look for:

• Dedicated real estate practice (not a general practitioner who does real estate occasionally)
• Clear fee quote upfront (ask for an estimate of total fees plus disbursements)
• Responsive to calls and emails during the buying process
• Experience with your specific transaction type (resale, new construction, condo, power of sale)
• Referrals from your mortgage broker or real estate agent

Can You Use the Same Lawyer as the Seller?

Using the same lawyer as the seller creates a conflict of interest and is generally not permitted for transactions with competing interests. In Ontario, it is prohibited in most cases. In some provinces under specific circumstances (particularly in smaller communities), joint representation may be possible with informed consent — but it is almost always advisable to have your own lawyer.

The Closing Statement

A few days before closing, your lawyer will provide a closing statement showing exactly how much money you need to bring to closing. This statement accounts for:

• Purchase price minus your deposit
• Down payment remaining after deposit
• All closing costs and adjustments (land transfer tax, legal fees, property tax adjustment, CMHC PST if applicable)
• Net amount due on closing day

You will typically need to send your closing funds by wire transfer to your lawyer's trust account one business day before closing. Bank drafts are also accepted — personal cheques are not.