Our Real Estate and Land Development Group specializes in all areas of real estate law. They are seasoned lawyers who have handled some of the largest deals in Southwestern Ontario. At the same time, they've also helped thousands of families purchase or sell their homes with complete confidence and peace of mind.

All of the lawyers in our Real Estate and Land Development Group have presented at seminars, spoken on a variety of real estate topics and written in industry journals. And, as always, should the need arise, the expertise of the Lerners entire firm is ready to serve.

For assistance in any aspect of real estate law, see our real estate and land development lawyers, or contact us and we'd be happy to refer you to one.

Areas of Expertise

Buying or Selling Residential Property

Buying or Selling Commercial Properties

Buying or Selling a Condominium

Buying or Selling Farm Properties

Commercial Leases

Mortgage Financing

Mortgage Remedies

Real Estate Litigation

Backed by a diverse group of lawyers, Lerners' municipal and planning law lawyers act on behalf of landowners, developers, financial institutions, municipalities, business corporations and private citizens who need help understanding and responding to this complicated area of law.

We can provide leading legal advice on all issues relating to municipal law, including the following:

• Land development
• Planning and zoning
• Municipal land transactions
• Expropriations
• The Building Code Act
• Property standards
• Infrastructure
• Energy law, and more!

We represent clients before various tribunals, such as the Ontario Municipal Board and Environmental Review Tribunal. As well, before the courts on applications, motions, and appeals. In addition, we appear regularly before local and regional councils, and land division committees.

If you have questions or seek consultation with a Municipal Law lawyer please contact Brad Bain, Paul Brooks, Fred Tranquilli or David Woodward.

The Problem:

Our client signs an agreement to buy a cottage across the street from the beach. Other cottage properties are right on the waterfront. On searching the title, we find that our client's property has no right-of-way to get to the beach.

Our Approach:

We negotiate with the owners of properties on the waterfront for a right-of-way to the beach.

The Result:

We are able to register the negotiated right-of-way on the title to our client's property, so that even if the waterfront properties are sold, our client's right-of-way is protected.

The Problem:

Our client signs an agreement to purchase an apartment building. During financing arrangements, the bank insists on a full environmental report on the property. Suddenly, the deal looks prohibitively expensive to our client.

Our Approach:

We first negotiate with the bank to limit the extent of the report to only those factors where there is a reasonable chance of finding something that needs to be cleaned up. Then we negotiate with the seller as to who should pay for the report—and for any clean-up deemed necessary.

The Result:

Our client ends up paying only a fraction of the cost of the report. A minor environmental issue is found, and the seller agrees to pay the cost of the clean-up. Our client is back in business.

The Problem:

Our client's offer to purchase a triplex is accepted. On searching the title, we find that the property is zoned for a duplex only—the basement unit is illegal. The client is unsure how to proceed—a duplex will not be such a profitable investment.

Our Approach:

We negotiate with the sellers to get them to obtain a minor variance from the local committee of adjustment, making the basement unit legal. The committee requires certain changes to the triplex to permit the variance. The sellers want to close the deal quickly, and these changes will take too much time.

The Result:

We renegotiate the selling price at very favourable terms to our client, even after they pay for the changes required by the rezoning.

The Problem:

Our clients put down a substantial deposit to purchase a condominium. As part of our title search, we ask for a status certificate from the condominium corporation. When we review the certificate, we find that the reserve fund (funds held to cover future repairs) is very low.

Our Approach:

We include a "contingent on satisfactory home inspection" clause in the offer to purchase. When we send out our home inspector, he finds that the roofs of the condominium are 12 years old, so they will need to be replaced in three to five years. The existing reserve fund is too low to cover that cost, which would mean that our clients would have to cover most of it.

The Result:

This finding makes the condominium a very unprofitable purchase. Because of the home inspection clause we included in the agreement, our clients are able to withdraw from the deal without losing their deposit.

The Problem:

Our clients want to lease commercial premises. They find a property that's ideally located at a reasonable rent. When we review the lease, we note that tenants are responsible for all property repairs. We send out our inspector, who finds that the heating, ventilation and air-conditioning system will need to be replaced in a couple of years, and that one portion of the building needs major structural repairs.

Our Approach:

We negotiate with the leasing company so that our clients will not be responsible for replacing the HVAC system or for the structural repairs. We also add a clause that the owners will be responsible for any environmental clean-up that might be required in the future.

The Result:

Our clients are saved very substantial repair costs that could have threatened the viability of their business.

The Problem:

Our clients are negotiating a lease in a new shopping mall. They will be the largest tenant on the premises. When we ask for a list of the other tenants, we find that the second-largest prospective tenant is our clients' biggest competitor.

Our Approach:

We insert a "non-competing tenants" clause into the lease that prevents the leasing company from renting to tenants that are our clients' direct competitors.

The Result:

The leasing company agrees to the clause because our clients will be the largest tenant. Eventually, several tenants in complementary businesses to our clients lease premises in the same mall.

The Problem:

Our clients are negotiating a lease in an office building where they anticipate being able to lease more space as their business grows. When we review the terms of the lease, we discover that they would be prevented from expanding because of restrictive clauses in other tenants' leases.

Our Approach:

We negotiate with the owners for removal of the restrictive clauses when the other tenants' leases come up for renewal over the next couple of years.

The Result:

Our clients' business does very well, and they are able to take over two more floors of the building rather than have the expense and disruption of moving to another location.

Your lender will provide you with financing, your lawyer is searching title, and the biggest investment you'll ever make is protected against any unwarranted claims. Right?

Well... not exactly. Rights to real estate are not guaranteed. Unless you have title insurance, one of those things that 'only happens to other people' could happen to you. Fraud, forgery, title defects, survey problems, even human error, can delay, even prevent your home from closing... or worse, threaten your rightful ownership years later.

Title insurance protects a purchaser against loss resulting from title defects and survey defects that would have been revealed by an up-to-date survey or real property report. It can be used in lieu of a survey and can eliminate the need for costly off-title searches.

Although most Canadians have only heard about title insurance in the past few years, it has been in existence for over 100 years in the United States and is rapidly gaining popularity in Canada.

With title insurance, home buyers may have an easier time obtaining financing and the seller will have an easier time closing, even in the presence of problems with the survey or title.

Title insurance insures against past problems that could affect your ownership in the future. A low, one-time premium covers you for loss or damage up to the policy amount and/or legal costs you would have to pay to defend your title.

Once a policy is issued, a covered title problem is not your concern. The title insurance company will assume the risk.

Title insurance offers many benefits to the homebuyer:

• It may reduce expenses by eliminating some disbursement costs your lawyer might otherwise have to incur.
• It provides coverage for matters that would be excluded from a lawyer's opinion.
• All financial institutions accept title insurance in place of an up-to-date residential survey.
• If someone whose name is identical to yours has a court judgment against him or her, the bank may refuse to release funds even if you sign an affidavit confirming that you are not that person.
• If it is discovered that the garage or pool of the house you are buying extends onto a neighbouring property, municipal setback or utility right of way, title insurance will take care of the problem.

For more information on title insurance, please contact us or visit First Canadian Title.

Under the Land Transfer Tax Act, the Province of Ontario charges a tax to allow the transfer of all property purchased in Ontario. Land Transfer Tax payable on residential land is calculated as follows:

First $55,000 of the purchase price—0.5%
Next $195,000 of the purchase price—1.0%
Next $150,000 of the purchase price—1.5%
Over $400,000—2.0%

Examples

The Land Transfer Tax payable on the purchase of a $250,000 residential property is calculated as follows:

First $55,000 of purchase price x 0.5% = $275
Next $195,000 of purchase price x 1.0% = $1,950
TOTAL LAND TRANSFER TAX TO BE PAID = $2,225

The Land Transfer Tax payable on the purchase of a $450,000 residential property is calculated as follows:

First $55,000 of purchase price x 0.5% = $275
Next $195,000 of purchase price x 1.0% = $1,950
Next $150,000 of purchase price x 1.5% = $2,250
Next $50,000 of purchase price x 2.0% = $1,000
TOTAL LAND TRANSFER TAX TO BE PAID = $5,475

Click to view a Land Transfer Tax calculator

IMPORTANT NOTE:

If you are a first-time homebuyer of a newly constructed home, the Ontario government provides a rebate of up to $2,000 of the Land Transfer Tax payable.

Tarion Warranty Corporation (formerly the Ontario New Home Warranty Program) was created in 1976 by Ontario's home builders to guarantee consumers specific rights when they buy a new home or condominium constructed by a builder. Since then, Tarion has provided comprehensive warranty protection to more than 750,000 new homes and condominium units, effectively safeguarding new home buyers against many problems, including deposit loss, delayed closing, major structural defects, Ontario Building Code violations and construction defects.

All builders and vendors are required by the act to register with Tarion and, before construction begins, to enroll each home they build for sale or under contract to an owner. Tarion receives no government funding and is totally financed by registration, renewal and enrollment fees.

If problems arise, new homeowners must write to Tarion before the end of the warranty period. For more information, contact our office or visit Tarion's website.

Use this rule of thumb to see if you'll qualify for a mortgage on your dream home:

1. Calculate the combined monthly before-tax income of you and your spouse.

2. Divide by three. This figure is the monthly payment you can afford to make on your house.

3. Take the total price of the house and subtract the amount of money you expect to make as a down payment. This is the money you will have to borrow.

4. Look at the Mortgage Payment Calculation Chart below. Look down the left column and locate the interest rate you expect to pay. Line this up with the amortization period of your choice. (Most first-time buyers take the 25-year amortization.)

5. Multiply this figure by the amount you need to borrow. Divide by 1,000.

6. Add to this your estimated monthly heating costs and monthly property taxes.

7. If this figure is equal to or less than one-third of your gross monthly income (calculated in Step 2), you'll qualify for a mortgage on your dream home.

Bear in mind that this is a rough estimate. If you have several other large loans already, you may qualify for less. Also, banks and trust companies vary in their policies. The best way to know what you can afford is to go to the lending institution of your choice and get pre-qualified.

At Lerners, you get big-firm reliability at small-firm prices.

In addition to legal fees, the following are some of the normal disbursements that will be incurred by your lawyer on your behalf for the purchase of property in the City of London or Toronto.

• title search
• title insurance
• land transfer tax
• registration costs
• utility report
• miscellaneous charges (fax, photocopy, courier)

IMPORTANT NOTE:

At Lerners, there are no up-front costs—all fees and disbursements are payable on closing.

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