Who Is the Closing Agent in Real Estate?
In Ontario, the role of “closing agent” is filled by a real estate lawyer (in some U.S. states it’s a separate non-lawyer role, but Ontario reserves residential conveyancing largely to licensed lawyers). The buyer’s lawyer registers the deed and any new mortgage in the purchaser’s name, certifies title, requisitions and reviews seller documents, receives the buyer’s mortgage funds and the buyer’s closing balance, and forwards funds to the seller’s lawyer. The seller’s lawyer prepares the deed and required statements, pays out the seller’s existing mortgage and arrears, and disburses net proceeds to the seller. Closings happen through the Teraview electronic registration system; the parties almost never need to be physically present.
What the buyer’s lawyer does
- Reviews the APS and any condo status certificate.
- Conducts title search, off-title searches (taxes, work orders, utility, hydro, gas).
- Reviews title insurance options and arranges coverage.
- Drafts and registers the transfer of title and any new mortgage.
- Calculates closing costs (Land Transfer Tax, registration fees, legal fees, adjustments) and provides a closing statement.
- Receives and disburses mortgage funds; collects the buyer’s closing balance.
- Reports to the buyer’s lender and provides closing documents to the buyer.
What the seller’s lawyer does
- Prepares the deed and statement of adjustments.
- Obtains mortgage discharge statement(s) from existing lender(s).
- Provides certified undertakings and statutory declarations.
- Receives buyer’s funds; pays out existing mortgages, property tax arrears, lien holders.
- Disburses net proceeds to the seller and accounts to them in writing.
Title insurance and the lawyer’s role
Almost every Ontario residential closing now includes title insurance — a one-time premium that protects the owner and lender against title defects, fraud, and certain off-title issues. The buyer’s lawyer arranges the policy at closing. Title insurance does not replace the lawyer’s due diligence; it backs it up. Where title-insurance coverage is broader, the lawyer can sometimes accept a slightly less exhaustive title search — but the lawyer remains responsible for the closing’s integrity.
Choosing your lawyer
Use a lawyer who does residential real estate full-time. General practitioners can complete a closing, but a real estate specialist will catch condo status-certificate issues, off-title surprises, and title-fraud red flags faster. Get a quote in writing covering legal fees plus disbursements (LTT, registration, title insurance, courier, software, HST). Average GTA cost is $1,500–$2,500+ per side depending on complexity.
Frequently Asked Questions
- Can a buyer and seller use the same lawyer?
- Generally no in Ontario residential transactions — the Law Society’s rules on conflicts of interest effectively require separate counsel except in narrow circumstances.
- Do I need to attend the closing in person?
- Almost never. Most documents are signed in advance with your lawyer; closing happens electronically through Teraview. You typically receive keys from your REALTOR® on closing day after registration is confirmed.
- What happens if closing is delayed?
- Delays past the agreed closing date can trigger interest, late closing penalties, and — in extreme cases — a default. The lawyers usually negotiate a short extension by mutual agreement; substantial delays require legal advice.
Related Reading
Primary sources for jurisdictional facts:
Work With a Top Toronto Real Estate Agent
Filipe & Isabel Ferreira and the Team Filipehave helped families across Toronto and the GTA for over 20 years. Whether you’re starting your search, we’ll walk you through every step. Call (647) 298-9299 or book a free consultation.