RESIDENTIAL SALES AND MORTGAGES BUYER S DOCUMENTS

Transcription

1 RESIDENTIAL SALES AND MORTGAGES BUYER S DOCUMENTS

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3 Saskatchewan: Bar Admission Program Real Estate - Residential Sales & Mortgages - Buyer s Documents IMPORTANT NOTE The documents that follow are samples that may be used in the Administration of a residential real estate transaction and should be considered as such. It is realized that the manner in which residential real estate transactions are administered in Saskatchewan is changing as a result of the Western Law Societies Conveyancing Protocol (also referred to as the Torrens Protocol). Please keep this in mind when reviewing these documents. For further information on the Torrens Protocol, please consult The Law Society of Saskatchewan s website at June, 2004

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5 Saskatchewan: Bar Admission Program i TABLE OF CONTENTS 1. Letter to Realtor Acknowledging Instructions Letter to Mortgage Company Acknowledging Instructions Letter to Client Acknowledging Instructions Buyer Home Buying Information Letter to Seller s Solicitor Residential Contract of Purchase and Sale Residential Contract of Purchase and Sale, Schedule A Amendment to Contract of Purchase and Sale and/or Notice to Remove Conditions Counter Offer to Contract of Purchase and Sale Property Condition Disclosure Statement Title Print Result Letter to City Requesting Tax Summary Tax Summary Tax Certificate Surveyor s Certificate/Real Property Report Letter to City Requesting Building Information Abstract Building Information Abstract Evidence of Fire Insurance Mortgage Loan Approval of Mortgage Loan Mortgage Loan Statements of Disclosure Mortgage Loan Requisition to Solicitor/Notary for First Mortgage/Hypothec Mortgage Direction for Payment Land Registry Packet (includes Land Registry Packet Cover Page, Application for Interest Registration, Begin Attachment Sheet and Add Executed Mortgage Document Here) Mortgage Loan Solicitor s/notary s Preliminary Report on Title Declaration as to Possession Buyer s Retainer Agreement Buyer s Statement of Funds Required Land Registry Packet (includes Land Registry Packet Cover Page, Application for Transfer (Single Title), Transfer Authorization (Single Title), Application for Interest Registration, Begin Attachment Sheet and Mortgage Document)...55

6 ii Saskatchewan: Bar Admission Program 30. Letter to Seller s Solicitor Paying Cash to Close Letter to Mortgage Company Requisitioning Mortgage Proceeds Letter to Seller s Solicitor Paying Balance to Complete the Transaction Interim Reporting Letter to Client Statement of Receipts and Disbursements Statement of Account Final Report to Client Final Report to Mortgage Company...73 Not to be used or reproduced without permission - Saskatchewan Legal Education Society Inc.

7 Saskatchewan: Bar Admission Program 1 Letter to Realtor Acknowledging Instructions Byer Law Office Barristers & Solicitors P.O. Box 11, Saskatoon, Sask. S7K 3L6 (306) May 1, YR0 Royal LePage Realty 1234, 8 th Street East Saskatoon, Saskatchewan S7K 2X4 Attention: Lou Worf Dear Mr. Worf: Re: Civic: 154 Wardoff Crescent, Saskatoon Seller: Connie and Doug Nixon Buyer: John and Jane Smith File: S2020 I acknowledge receipt of your instructions for the above noted transaction. Thank you for referring the buyer to my attention. I am contacting the solicitor for the seller, requesting that the title authorization be prepared, signed and forwarded to our office. Upon receipt, I will be contacting the buyer, discussing the Statement of Adjustments, collecting the balance to close and attending to registration. In the meantime, if you should have any questions concerning this transaction, please contact me. Yours truly, Ken Byer

8 2 Saskatchewan: Bar Admission Program Letter to Mortgage Company Acknowledging Instructions Byer Law Office Barristers & Solicitors P.O. Box 11, Saskatoon, Sask. S7K 3L6 (306) May 8, YR0 Scotia Mortgage Corporation c/o The Bank of Nova Scotia Wildwood Branch Saskatoon, Saskatchewan S7J 2H9 Attention: Ms. Landell Mortgage Officer Dear Ms. Landell: Re: John Smith and Jane Smith Purchase of 154 Wardoff Crescent, Saskatoon Purchase price - $81, Mortgage Reference Number This will acknowledge receipt of your instructions to prepare a Mortgage and related Security on the above property. With respect to your instructions, there will be certain limitations and qualifications on the opinion that I can give you. The reasons for such limitations and qualifications are as follows: 1. PROPERTY TAX In order to be in a position to advise you as to the status of Real Property Taxes, I rely on Tax Certificates supplied by the Municipality in which the subject property is located. Municipalities have the ability to add supplemental tax levies to the tax roll after the date of any Tax Certificate. In addition, certain rates and charges may be added to the tax roll after the date of the Tax Certificate by applicable Saskatchewan legislation. Accordingly, although, I will provide you with a Tax Certificate from the Municipality, I will only certify to you the status of the tax account as of the date of the Tax Certificate. Revised August 2001

9 Saskatchewan: Bar Admission Program 3 Letter to Realtor Acknowledging Instructions 2. ZONING BYLAWS In order to be in a position to advise you that the subject property complies with various Municipal Bylaws, I am required to rely upon a Building Information Abstract supplied by the Municipality. Certain Municipalities qualify their Building Information Abstracts by stating that the Abstract does not certify or imply that the building complies with Municipal Building and Zoning Bylaws and applicable Saskatchewan legislation. According, in lieu of giving an opinion to you on Zoning Bylaws, I will provide you with a Building Information Abstract based on the most current survey that is made available to us. I will draw your attention to any irregularities that may be disclosed in the Building Information Abstract. 3. FIRE INSURANCE I will obtain confirmation that Fire Insurance is in effect in the amount required in your instructions and that loss, if any, is payable to you as first Lender. I will also verify the name of the issuer, the policy number and the commencement and expiry date of the Insurance Policy. This information is provided to me by the insurance agent by way of cover note or written memorandum. In most circumstances you will receive a copy of the Insurance Policy directly from the insurer or its agent. As I do not usually receive a copy of the Insurance Policy, my opinion concerning Fire Insurance Coverage is based solely on the information provided by the Borrower s insurance agent and does not include a review of the Insurance Policy. 4. STATUS OF TITLE I will provide you with a Title Print Result for subject property and will certify to you that your Mortgage is or will be a first charge against the subject property subject to any easements or encumbrances registered against that Title that, in my opinion, do not adversely affect your security. Title to the subject property will, however, by implication be subject to those reservations, exceptions, qualifications or implied conditions specified in the Land Titles Act, 2000, Saskatchewan, and any and all unregistered liens, charges, adverse claims, security interests, and other encumbrances of any nature (the Unregistered Encumbrances ) now or later claimed or held by Her Majesty The Queen in Right of Canada or Saskatchewan, or Authority under any applicable legislation, statute or regulation. As the Unregistered Encumbrances are not registered on title, I am unable to give you an opinion on them and my opinion to you is qualified accordingly. 5. ENFORCEABILITY OF YOUR MORTGAGE The enforceability of your Mortgage is subject to Statutes affecting the rights and remedies of creditors, and the availability of any remedies to either the Borrower or the Lender may be subject to the discretion of the Court before which any proceedings may be brought.

10 4 Saskatchewan: Bar Admission Program Letter to Mortgage Company Acknowledging Instructions 6. CONFLICT OF INTEREST In certain circumstances, I may be acting for the Mortgagor on the acquisition of the subject property and for you in the preparation of your Mortgage and related security documents. Should a conflict of interest arise between you and the Mortgagor, I will be precluded from acting either on your behalf or on behalf of the Mortgagor and will notify you accordingly. 7. VALUATION I offer no opinion as to the value of the property or the credit worthiness of the Borrower. If you have any concerns about the matters raised in this correspondence, please contact me immediately. Otherwise, I will be proceeding with preparing and reporting on your Mortgage on the assumption that the limitations and qualifications as referenced aforementioned are acceptable to you. Yours truly, Ken Byer

11 Saskatchewan: Bar Admission Program 5 Letter to Client Acknowledging Instructions Byer Law Office Barristers & Solicitors P.O. Box 11, Saskatoon, Sask. S7K 3L6 (306) May 1, Yr 0 John and Jane Smith Apt. #432, Brown Lane Saskatoon, Saskatchewan S7K 2X4 Dear Mr. and Ms. Smith: Re: Purchase of 154 Wardoff Crescent, Saskatoon I wish to acknowledge that I received confirmation and instructions regarding the purchase of your property. Thank you for referring this matter to me. I note from the Offer to Purchase that the possession date is June 1, YR0. I will contact you in advance of this date to obtain further information from you and to discuss all necessary arrangements and documentation in order to effect a smooth transaction. In the meantime, I will be attending to all preliminary matters on your behalf. I am also enclosing a copy of the Buyer Home Buying Information that I would ask you to review thoroughly as soon as possible. If you have any questions or comments, however, please feel free to call me at any time. Yours truly, Ken Byer pc.: Lou Worf Royal LePage Realty Revised August 2001

12 6 Saskatchewan: Bar Admission Program Buyer Home Buying Information Byer Law Office Barristers & Solicitors P.O. Box 11, Saskatoon, Sask. S7K 3L6 (306) BUYER HOME BUYING INFORMATION CIVIC: POSSESSION DATE OUR FILE 154 Wardoff Crescent, Saskatoon Saskatchewan June 1, YR0 S Manner of Ownership Of Title Please telephone our office to confirm the proper spelling of your names and whether you wish to be described on your title as joint tenants, tenants in common or in a single name. 2. Utilities A. If you are purchasing a property located in Saskatoon, please make arrangements with The City of Saskatoon, SaskPower/SaskEnergy and SaskTel to have all meters read and telephones transferred into your name effective on possession date. B. If you are purchasing a property located in a Town or located on an Acreage, please make arrangements with Local Municipality, SaskPower/SaskEnergy and SaskTel to have all meters read and telephones transferred into your name effective on possession date. C. The Statement of Adjustments for this transaction will not include adjustments for telephone, gas, water or electricity. It is the responsibility of the Seller and the Buyer to have final readings taken on possession date and to adjust and settle these matters directly between themselves. 3. Taxes on Properties Located in Saskatoon If the current year s taxes are known, the tax adjustment will be based on the actual taxes for the current year. If the current year s taxes are not known, the tax adjustment will be based on the previous year s taxes. See the attached information from the City of Saskatoon concerning Tax Notices and Paying by Installment. Please advise if you will be Public School or Separate School supporters as we require this information in order to prepare and forward to the City a Notification of Change of Ownership form.

13 Saskatchewan: Bar Admission Program 7 Buyer Home Buying Information 4. Taxes on Properties Located in Towns or on Acreages If the current year s taxes are known, the tax adjustment will be based on the actual taxes for the current year. If the current year s taxes are not known, the tax adjustment will be based on the previous year s taxes. 5. Fire Insurance Particulars Fire insurance coverage must be placed on your new home and be effective as of possession date. (May we suggest that such insurance should take effect by noon on the day prior to the possession date just in case early possession can be granted.) Please verify that prior to possession, your fire insurance agent has forwarded to our office either a letter of confirmation or a certified copy of your fire insurance policy. The following are the particulars that must be in your fire insurance policy: 1. Civic address: See Civic Description Stated Above 2. Legal description: See Land Registry Search Attached 3. Amount of coverage: a) Full replacement value b) A minimum of $53, Loss payable: Scotia Mortgage Corporation 5. Mortgage Endorsement Clause: Policy must be subject to the Mortgage Corporation s specific mortgage clause. If you are purchasing a condominium, forward a copy of the Estoppel Certificate and Fire Insurance Certificate to our office as soon as possible. 6. Survey Requirements Most mortgage companies will require prior to the advancement of mortgage funds a Survey Certificate/Real Property Report on their file. We strongly recommend that you should consider the obtaining of a current Survey Certificate/Real Property Report for your new property showing the current exact dimensions of the property and the location of all improvements. The following are the survey requirements as it affects your purchase: Survey is required by your Lender Survey not required by your Lender Seller is to supply survey Survey is obtainable from Seller s Lender Affidavit updating current survey is required

14 8 Saskatchewan: Bar Admission Program Buyer Home Buying Information 7. Building Information Abstract Most mortgage corporations will require, prior to their advancement of mortgage funds, a Building Information Abstract certifying that the building conforms to all municipal, zoning and building requirements. In certain circumstances, a Mortgage Corporation could refuse to advance mortgage funds if there are violations of the municipal requirements. If you are assuming an existing Mortgage or paying cash, you may with to satisfy yourself as to zoning compliance and approved occupancy by obtaining a Building Information Abstract for the City of Saskatoon, Building Department. 8. Statement of Adjustments The Statement of Adjustments for this transaction will be prepared from information provided by provincial and municipal government offices, realtors, mortgage companies and others and although believed to be correct, its accuracy cannot be guaranteed and if the figures are in error further adjustments will be required between the Seller and the Buyer. Accordingly, the Statement when prepared should be read carefully to verify its accuracy. Errors and Omissions are excepted. 9. Items to Consider Prior to Possession A. Change all locks. B. We have not checked the zoning of the property (unless required by your Lender), or for violations of health, fire, building or municipal or provincial bylaws or ordinances. If you are concerned about any of these matters, you should check with the appropriate municipal or provincial authorities. C. Will your property be subject to any underground easements which may restrict building? 10. Costs To Be Borne By You As The Buyer A. Legal Fees, which includes searching and investigating title, preparing documents including Mortgage and Order For Payment,(if a new mortgage is being obtained by you), obtaining assumption statement from Lender if the existing mortgage is being assumed by you, obtaining transfer authorization and Certificate of Exempt Property as required by the Excise Tax Act, preparing Statement of Adjustments; attending with you to review all documents and collecting the balance of funds to close. B. Survey Certificate/Real Property Report, if required.

15 Saskatchewan: Bar Admission Program 9 Buyer Home Buying Information C. Building Information Abstract, if required by your Lender. The Municipality will only issue a Building Information Abstract upon their receiving an acceptable Survey Certificate/Real Property Report. Therefore, it is important to supply our office with a copy of the Survey Certificate/Real Property Report as soon as possible in order that mortgage funds can be advanced by your Lender without delay. D. Cost of the Mortgage, including appraisal costs, accrued interest, mortgage insurance and tax holdback. E. Fire insurance premium. F. Utility hook-ups. G. Interest to Seller if agreed to be paid by you. H. Tax Adjustments. I. Applicable Goods and Services Tax. J. Land Registry costs to register Transfer Authorization, Mortgage and Miscellaneous Interest. K. All disbursements, such as a.. postage, b. photocopying, c. office supplies, d. courier charges, and e. long distance telephone/fax charges. 11. Mortgage Life Insurance Have you considered purchasing mortgage life insurance? This type of insurance will pay off the mortgage in the event of the death of the policyholder. Remember that mortgage life insurance is not the same as CMHC mortgage loan insurance. Most mortgage companies will offer this option to you and for maximum protection, all Borrowers should be covered. 12. Inspection Of Home On Closing Date Your Real Estate Agent will obtain all the available keys for the property on possession date. You should do an inspection of the property with your agent to ascertain if it is in the same condition as it was on the date you signed your offer. If there is damage or if some items which were to remain with the property are missing, your agent will make a list of these defects and forward it on to us. If satisfactory arrangements cannot be made to have missing items returned or damage repaired, the only remedy available to you as a Buyer is to commence court action against the Seller for compensation. There can be no hold back from your purchase funds to cover damages or missing articles.

16 10 Saskatchewan: Bar Admission Program Buyer Home Buying Information 13. If You Are Obtaining a Mortgage: Items to Consider A. An Open Mortgage allows you to repay all or part of the total amount of your mortgage at any time without penalty. B. A Closed Mortgage usually has the lowest interest rate but lacks the flexible features of other mortgage options. Prepayment options are available but are subject to conditions. C. A Portable Mortgage provides flexibility if you should move. You can take this mortgage to your new property without paying a mortgage penalty for early payment. D. A Conventional Mortgage allows you to borrow up to 75% of the purchase price or the value of the property, whichever is less. In order to have a Convention Mortgage, you must pay 25% of the purchase price as a down payment. E. An Insured or High Ratio Mortgage allows you to borrow up to 90% (95% for qualifying first time home buyers) of the purchase price or the value of the property, whichever is less. The down payment can be as low as 10% (5% for qualifying first time home buyers). F. The down payment moneys and cash required to close your purchase must come from your own resources and cannot be borrowed. In certain circumstances, the down payment moneys can be paid to you by way of a gift, as long as your lending institution is fully aware of this and a proper gift letter is prepared and presented to your mortgage lender for their approval. G. The Amortization is the period of time required to reduce your mortgage debt to zero when payments are made regularly. H. The Term of your mortgage is the length of time when you will be paying a specific interest rate on your mortgage loan. You may not have paid off your entire mortgage principal at the end of the term because your amortization period will likely be longer then the term. I. An Easement is a right acquired for access to or over, another person s lands for a specific purpose. A typical example is an utility easement which allows the utility company access to your property for the purpose set out in the agreement. You may with to obtain a copy of the easement agreement, if one is registered against your property. J. Mortgage Companies may retain moneys from your mortgage funds to cover future taxes, accrued interest or repairs which may be necessary. If there will be hold backs, then these will be specified in your mortgage commitment letter. Make sure that you know what deductions your mortgage company will make upon advancing mortgage funds.

17 Saskatchewan: Bar Admission Program 11 Buyer Home Buying Information K. Does your mortgage contact allow for any prepayment options? The more money you can repay to your Lender the less interest you will pay. Know what your prepayment options are and if you are financially able to take advance of these options, do so. Remember that on a renewal of your mortgage contract the prepayment options contained in your mortgage contract will not apply unless specifically referred to in your mortgage renewal agreement. 14. If You Are Assuming a Mortgage: Items to Consider A. Must you qualify to assume the mortgage? B. Is the mortgage in a current position? C. When will you start making mortgage payments? D. Will you also be assuming a Mortgage Tax Account? E. What prepayment options are contained in the mortgage contract? Check if these options are contained in the mortgage or in a separate agreement. F. Is the mortgage which you are assuming an open or a closed mortgage? G. Does the mortgage which you are assuming contain a portable option? H. Does your mortgage contract allow you to make mortgage payments more frequently than once a month? 15. If You Are Purchasing a Condominium: Items to Consider A. Make sure you have reviewed and understand the General Bylaws for the condominium corporation, together with the rules and regulations which apply to all owners and tenants of the condominium. The Rules and Regulations will be attached to the Bylaws. These Rules and Regulations restrict what you can do in your unit. B. Do the monthly condo fees include or exclude utility charges? C. The title that you are purchasing consists of the area from wall to wall, and from ceiling to the floor. Everything else is common elements. It is important to know what you own and what, is common property especially where the issue of repairs is concerned. D. What parts of the common property do you have an exclusive right to use? This may include the backyard, the front yard, a storage locker and the parking stall. Is your parking and/or storage facilities a leasehold interest, an exclusive interest, an allocated interest or is it part of your condo title?

18 12 Saskatchewan: Bar Admission Program Buyer Home Buying Information E. Are there any Rules or Regulations which have a serious affect on you and your enjoyment of your condo? Pet Clauses are the usual restriction which may concern you. F. Remember that under the bylaws of the condominium association, you may be required to spend money on an expenditure which you oppose, such as upgrading the recreational facilities. G. Does the condominium association retain a key to your premises in order to have access in an emergency situation? Can you change the locks to your unit without first having the permission of the condo association? H. How easy is it to change a clause contained in the Bylaws? How can change be made to the Rules and Regulations? I. Know who are the directors of the Condominium Association, and attend the meetings. If there is something that you want changed or a rule or regulation that you wish to abolish, attend the meetings. You may wish to be elected to the Board of Directors. J. Prior to selling your unit, must you give a notice to the Condominium Association? Must a notice be given if you intend to lease the unit? K. Although insurance is arranged by the Condominium Association, this master policy does not protect you and what happens within the space of your unit. We strongly suggest that you speak to your insurance agent and arrange insurance which will cover your unit. Your agent should be able to suggest a condo unit package which is suitable for your needs as a condo owner. Make sure that all improvements within your unit are covered, that you have adequate liability insurance. You may also wish to have inserted in your policy protection in the case the condominium corporations insurance coverage is insufficient in the case of damage to the common property. Remember that as a member of the condo complex, you as an owner would be required to make up the shortfall by way of a special assessment. Check with your insurance agent as to Loss Assessment Coverage. L. If you are obtaining a mortgage on your condo unit, what special clauses does your mortgagee require to be inserted into the mortgage document? 16. If You Are Purchasing an Acreage: Items to Consider A. Have you checked the septic tank? Does the Seller have any maintenance records for the system? When was the last time the tank was cleaned out? B. Have you checked the condition of the septic tank and the drainage system to ensure that both function properly and are not undersized?

19 Saskatchewan: Bar Admission Program 13 Buyer Home Buying Information C. Is your offer subject to the septic tank being inspected by the Public Health Inspector? Do you wish to obtain a certificate from the Health Department stating that the system is in accordance with provincial and municipal standards? There should be no outstanding work orders, deficiency notices or complaints on file with either the Saskatchewan Department of Environment and Public Safety or Saskatchewan Rural Health Department. You may also require a certificate of approval or use permit issued for the construction, enlargement or alteration of the sewage disposal system be delivered to you by the Seller. D. You should have the pumping rate tested. Also, ask the Seller to supply you with any records or reports concerning when the well was dug, its location on the property, the method of drilling and the bedrock materials encountered, casing and open hold information, details of the plugging and sealing, plus data on the rate of water flow from the well. E. Is the water safe for drinking? You should take a sample of the water from the well for testing to see if it is safe for drinking. If the water is not safe for drinking, you may be required to install a chlorination system to continuously treat the water. If you have any questions concerning your purchase, please contact me immediately.

20 14 Saskatchewan: Bar Admission Program Letter to Seller s Solicitor Byer Law Office Barristers & Solicitors P.O. Box 11, Saskatoon, Sask. S7K 3L6 (306) May 6, YR0 Sydney Seller Seller and Associates P.O. Box 123 Saskatoon, Saskatchewan S7B 1P6 Re: Civic: 154 Wardoff Crescent, Saskatoon, Saskatchewan Seller: Connie and Doug Nixon Buyer: John and Jane Smith Our File: S2020 I am the solicitor for the buyers on the above noted real estate transaction and I understand that you represent the sellers. My clients wish to be shown on the Transfer Authorization as follows: JOHN SMITH and JANE SMITH. I would also ask that you provide me with a copy of the Survey s Certificate/Real Property Report, which is included in the Offer to Purchase, as soon as possible. I look forward to receiving the Transfer Authorization, your Statement of Adjustments, a GST Exemption Certificate, Seller s Declaration as to Possession and Surveyor s Certificate/Real Property Report on the appropriate trust conditions in due course. Yours truly, Ken Byer

21 Saskatchewan: Bar Admission Program 15 Real Estate - Residential Sales & Mortgages - Buyer s Documents Residential Contract of Purchase and Sale Saskatchewan Real Estate Commission RESIDENTIAL CONTRACT OF PURCHASE AND SALE Provided by the Saskatchewan Real Estate Association, Revised 2003 Bus: (Name of Buyer's Brokerage) (Address) (Salesperson) (Telephone) Bus: I/We Res: (Names of Buyers: herein called Buyer) (Address) (Postal Code) (Telephone) HEREBY OFFER TO PURCHASE from Bus: Res: (Names of Sellers: herein called Seller) (Address) (Postal Code) (Telephone) through Bus: (Name of Seller's Brokerage) (Address) (Salesperson) (Telephone) the following described property: (Legal description or description of mobile home on leased land) City or having the following Civic Address: RM 1. THE TRANSACTION 1.1 The Buyer offers to purchase the property from the Seller subject to the reservations and exceptions appearing in the existing Certificate of Title and free and clear of all encumbrances as contemplated in Section 4.6 save and except such encumbrances as are expressly agreed to be assumed by the Buyer, for the SUM (Purchase Price) of: dollars: 1.2. (a) $ Purchase Price to be paid as follows. (b) $ Deposit by cheque, cash, receipt of which by the Buyer s Brokerage is hereby acknowledged and to be deposited within two business days of acceptance, to be held in trust, pending completion or other termination of this contract and to be credited on account of purchase money. (c) $ by new mortgage (plus mortgage insurance fee, if required) to be arranged at the Buyer's expense. (d) $ (approx.) by assumption of the existing mortgage or agreement for sale. (e) $ by other financing or other conditions. (f) $ (approx.) balance of cash, to be paid subject to the adjustments herein provided to the Seller or the Seller s solicitor on or before the Completion Day. In closing this transaction, the Seller s solicitor and the Buyer s solicitor may by agreement between them, impose and undertake trust conditions upon each other. Buyer acknowledges that taxes, tax credits, payments and mortgage interest rate may be subject to revision. 2. CONDITIONS 2.1 This offer is subject to the following conditions: (a) The Buyer obtaining approval of a mortgage on the above property in the amount as set forth in paragraph 1.2(c) on/before the day of, 20. (b) Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

22 16 Saskatchewan: Bar Admission Program Residential Contract of Purchase and Sale 3. ADDITIONAL TERMS 3.1 For Condominiums, the attached Schedule C forms part of this contract. 3.2 Additional terms are are not set out in a schedule to this contract. 3.3 Unless otherwise stated herein, if the mineral title for mineral commodities are owned by the Seller, the title(s) is included in the Purchase Price. 4. CLOSING 4.1 The Buyer agrees to pay to the Seller interest at the Bank of Canada Overnight Rate Target at the Completion Day plus 4% per annum, on any portion of the Purchase Price, less mortgages or other encumbrances assumed, not received by the Seller, his/her solicitor or his/her Brokerage as at the Completion Day, the interest to be calculated from the Completion Day, until monies are received by the Seller or his/her solicitor. The Seller shall have a lien and charge against the property for the unpaid portion of the Purchase Price (with interest as aforementioned). 4.2 The Seller shall pay all costs of discharging any existing mortgage or other encumbrances against the property, not assumed by the Buyer. 4.3 Unless otherwise agreed to in writing, this contract will be completed, the Purchase Price will be fully paid and vacant possession will be delivered by noon on the day of, 20 (the Completion Day ). If the Completion Day is not a business day, then conveyancing matters and payment of the Purchase Price will be completed by 12:00 noon on the preceding business day. 4.4 ADJUSTMENTS re: taxes, rents, insurance, utilities, condominium fees, expenses and other income and outgoing, to be made as at Completion Day. All adjustable items are the Buyer s responsibility for the entire Completion Day. 4.5 If the property is rented and the Buyer is not assuming the tenancy, then the Seller is responsible for all costs related to ending the tenancy and to giving vacant possession to the Buyer. 4.6 Unless otherwise agreed to in writing, the Seller shall transfer title to the property to the Buyer free and clear of all encumbrances except: (a) those implied by law; (b) non-financial obligations now on the title, such as easements, utility right-of-way, covenants and conditions that are normally found registered against property of this nature and which do not affect the saleability of the property; (c) homeowner association caveats, encumbrances and similar registrations; and (d) those items the Buyer agreed to assume in this contract. Upon transfer of title to the property into the name of the Buyer, subject only to the aforementioned encumbrances, the Seller may use the proceeds of the sale from the Buyer to discharge the encumbrances not assumed by the Buyer. 4.7 The Seller agrees to prepare and execute promptly any documents required to complete this transaction. The Seller shall pay for the preparation of the Transfer Authorization and all fees in connection with the discharge of any Seller s caveat based on this contract and any encumbrances required to be removed by the Seller. 4.8 The Buyer agrees to prepare and execute promptly any documents required to complete this transaction. The Buyer shall pay for the registration costs to transfer the title into the Buyer s name. The costs related to any mortgage or other financing of the Purchase Price, other than an Agreement for Sale, shall be paid by the Buyer. Costs of any Agreement for Sale shall be borne equally by the Buyer and Seller. 4.9 The Buyer and Seller agree that time shall be of the essence of this contract Each party shall pay their own legal fees For the purpose of giving or receiving any notice referred to in this contract and for acceptance of this offer to purchase or any counter offer thereto, such notice or acceptance must be in writing and delivered. Any notice or acceptance to be given by any party to the other shall be deemed to be duly given when delivered by hand to such party or when such notice or acceptance is sent by facsimile to such party and receipt thereof is confirmed. Where a Buyer s brokerage or a Seller s brokerage is listed for the Buyer or the Seller, as the case may be, such notice or acceptance shall be delivered to the Buyer s brokerage or the Seller s brokerage and is deemed to be delivered to a party when given in the manner set forth herein to the brokerage representing the party. 5. INSURANCE 5.1 Unless otherwise stated herein: (a) The risk of loss or damage to the property shall lie with the Seller until the earlier of the Completion Day or the date possession is granted to the Buyer. (b) The Buyer shall obtain insurance coverage on the property upon the earlier of the Completion Day or the date possession is granted to the Buyer. 5.2 If loss or damage to the property occurs before the Seller is paid the Purchase Price, then any insurance proceeds shall be held in trust for the Buyer and the Seller according to their interests in the property. 5.3 If the property, prior to the Completion Date, suffers substantial damage that is not repaired to substantially the same condition the property was in prior to the damage occurring, unless otherwise agreed to by the Buyer and the Seller, this contract shall be terminated and the deposit shall be forthwith returned to the Buyer. 6. WARRANTIES AND REPRESENTATIONS 6.1 Unless otherwise stated herein, the Seller represents and warrants to the Buyer that: (a) the Seller has the legal right to sell the property; (b) the Seller is not a non-resident of Canada for the purposes of the Income Tax Act (Canada); (c) the current use of the land complies with the existing municipal land use bylaw; (d) the buildings and other improvements on the land are not placed partly or wholly on any easement or utility right-ofway and are entirely on the land and do not encroach on neighbouring lands; except where an encroachment agreement is in place; (e) the location of the buildings and other improvements on the land complies with all relevant municipal bylaws, regulations or relaxations granted by the appropriate municipality prior to the Completion Day or the buildings and other improvements on the land are non-conforming buildings as the term is defined in The Planning and Development Act, 1983; and (f) the attached and unattached goods included herein, are owned by the Seller and conveyed to the Buyer under this contract and are in normal working order and are free and clear of all encumbrances and shall be and remain as is at the date of acceptance of this contract until completion date. The Purchase Price shall include land, buildings and attached goods, unless otherwise stated herein, and including the following unattached goods: Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

23 Saskatchewan: Bar Admission Program 17 Real Estate - Residential Sales & Mortgages - Buyer s Documents Residential Contract of Purchase and Sale In addition, the Purchase Price shall also include the items as indicated below: water heater included, not included ; water softener included, not included ; sump pump included, not included ; alarm system included, not included ; storage shed included, not included ; garage door opener control(s) included, not included ; attachments for built-in vacuum included, not included ; power nozzle for built-in vacuum included, not included. 6.2 All of the warranties contained in this contract and any attached schedules are made as of and will be true at the Completion Day, unless otherwise agreed to in writing. 6.3 The Seller and the Buyer acknowledge that, except as otherwise described in this contract, there are no other warranties, representations or collateral agreements made by or with the other party, the Seller s Brokerage and the Buyer s Brokerage about the property, any neighbouring lands and this transaction, including any warranty, representation or collateral agreement relating to the size/measurements of the land and buildings or the existence of any environmental condition or problem and the Buyer hereby agrees to purchase the above described property as it stands at the price and terms and subject to the conditions above set forth. 6.4 The Seller and Buyer agree that the representations, warranties and covenants contained in this contract shall not merge with and shall survive the closing of the purchase and sale and the transfer of title to the property into the name of the Buyer and shall be enforceable by the Buyer after such transfer. 7. REMEDIES/DISPUTES 7.1 If this offer is not accepted, the entire deposit and any other monies paid, without interest, shall forthwith be returned to the Buyer. If this offer is accepted and the conditions in this offer have not been satisfied or waived in writing, the entire deposit and any other monies paid shall be forthwith returned to the Buyer. 7.2 If this offer is accepted and the Buyer fails to execute any required conveyance or formal documents when prepared, or fails to pay any required cash payment or comply with any of the terms in this contract, this contract shall be void at the Seller s option. When the defaulting party is the Buyer and upon the conditions of the offer being satisfied or waived in writing, the Buyer agrees that the Seller shall be entitled to retain the deposit, as the Seller s own property. 8. OFFER 8.1 Unless revoked sooner, this offer is open to acceptance by the Seller up to a.m./p.m. the day of, Upon acceptance of this offer within the time prescribed in Section 8.1, this contract shall constitute a binding Contract of Purchase and Sale and be binding upon the parties hereto, their respective heirs, executors, administrators, successors and assigns. SIGNED AND SEALED by the Buyer at a.m./p.m. on the day of, 20 in the presence of: WITNESS WITNESS BUYER Seal BUYER Seal 9. ACCEPTANCE 9.1 The Seller accepts the above offer together with all its terms and conditions contained therein and covenant to carry out the sale on the terms and conditions mentioned herein. I do further acknowledge my obligation to pay commissions and all applicable federal and provincial taxes to the Seller s Brokerage pursuant to the listing agreement with respect to the property. I/WE FURTHER HEREBY IRREVOCABLY AND UNCONDITIONALLY DIRECT AND AUTHORIZE MY/OUR SOLICITOR, as indicated by me/us below, or any other solicitor acting on my/our behalf in this sale, to pay the aforesaid taxes and commission, less the deposit hereby accepted, from the proceeds of the sale when releasable and this shall be and constitute my/our full and sufficient authority for so doing and appoints the Seller s brokerage as the Seller s irrevocable agent to demand and receive payment thereof. SIGNED AND SEALED by the Seller at a.m./p.m. on the day of, 20 in the presence of: WITNESS WITNESS BUYER'S SOLICITOR BUYER Seal BUYER Seal SELLER'S SOLICITOR SREA Form #100-12/03 Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

24 18 Saskatchewan: Bar Admission Program Residential Contract of Purchase and Sale, Schedule A NOTE: IF ADDITIONAL COPIES ARE REQUIRED, USE ORIGINAL FORM TO MAKE CLEAR COPIES. Saskatchewan Real Estate Commission SCHEDULE A Developed & Provided by the Saskatchewan Real Estate Association This is SCHEDULE A annexed to and forming part of that certain Residential Offer to Purchase/Listing Agreement (circle one), dated, between - as Vendor / Purchaser (circle one), and as Vendor / Purchaser /Real Estate Company (circle one). Witness Vendor s Signature Witness Vendor s Signature Witness Purchaser s Signature Witness Purchaser s Signature Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

25 Saskatchewan: Bar Admission Program 19 Real Estate - Residential Sales & Mortgages - Buyer s Documents Amendment to Contract of Purchase and Sale and/or Notice to Remove Conditions Saskatchewan Real Estate Commission AMENDMENT TO CONTRACT OF PURCHASE AND SALE AND/OR NOTICE TO REMOVE CONDITIONS Developed & Provided by the Saskatchewan Real Estate Association ATTACHED TO AND FORMS PART OF THE CONTRACT OF PURCHASE AND SALE BETWEEN BUYER AND SELLER DATED: (ORIGINAL DATE OF CONTRACT OF PURCHASE AND SALE) Address: Legal: Lot: Block/Par Plan: Further to the Contract of Purchase and Sale covering the above-mentioned property, the undersigned agree as follows: ALL OTHER TERMS AND CONDITIONS CONTAINED IN THE SAID CONTRACT/OFFER REMAIN THE SAME AND IN FULL FORCE AND EFFECT. Dated at, this day of, 20. Witness Witness Vendor s Signature Vendor s Signature Dated at, this day of, 20. Witness Witness Purchaser s Signature Purchaser s Signature Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

26 20 Saskatchewan: Bar Admission Program Counter Offer to Contract of Purchase and Sale COUNTER OFFER TO CONTRACT OF PURCHASE AND SALE Developed & Provided by the Saskatchewan Real Estate Association, Revised 1996 This Counter Offer is attached to and forms part of the Contract of Purchase and Sale made by: (Full Names of Buyers) to (Full Names of Sellers) In respect to the property known as: and dated, 20 (Original Date of Contract of Purchase and Sale) The seller accepts the attached Offer and all its terms and conditions subject to the following amendments, exceptions and/or additions: The Counter Offer shall be open for acceptance by the Buyer up to a.m./ p.m. the day of, 20 after which time if not accepted by the Buyer, this Counter Offer shall be null and void and any deposit paid shall be returned to the Buyer, without interest. If this Counter Offer is accepted by the Buyer, the Seller herby acknowledges his or her obligation to pay commissions and all applicable federal and provincial taxes to the Seller s Brokerage pursuant to the listing agreement with respect to the property. I/WE FURTHER HERBY IRREVOCABLY AND UNCONDITIONALLY DIRECT AND AUTHORIZE MY/OUR SOLICITOR, as indicated by me/us or any other solicitor action on my/our behalf in this sale to pay the aforesaid taxes and commission, less the deposit hereby accepted, form the proceeds for sale when releasable and this shall be and constitute my/our full and sufficient authority for doing so. I HEREBY CERTIFY that I am a resident of Canada as defined under the provisions of Section 116 of The Income Tax Act and that I will provide satisfactory evidence of such residency. DATED AT SIGNED, SEALED AND DELIVERED in the presence of (Witness), this day of, 20 IN WITNESS WHEREOF I have hereunto set my hand SELLER (Witness) SELLER The above Counter Offer of the Seller to my Offer dated (Original Date of Contract of Purchase and Sale) is hereby accepted. DATED AT SIGNED, SEALED AND DELIVERED in the presence of (Witness), this day of, 20 IN WITNESS WHEREOF I have hereunto set my hand SELLER (Witness) SELLER SELLER SIGNING THIS FORM SHOULD NOT SIGN ACCEPTANCE OF THE ORIGINAL OFFER Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

27 Saskatchewan: Bar Admission Program 21 Real Estate - Residential Sales & Mortgages - Buyer s Documents Property Condition Disclosure Statement Address: Property Condition Disclosure Statement General: Answer each question with "Yes", "No" or "Don't Know", as applicable: Are the improvements connected to public sewer system Yes No Don't Know Are the improvements connected to public water system Yes No Don't Know Are the improvements connected to a private or a community water system Yes No Don't Know Is the present use a non-conforming use Yes No Don't Know Does the property contain unauthorized accommodation Yes No Don't Know Are the exterior walls including the basement insulated Yes No Is the ceiling insulated Yes No Don't Know Do the improvements contain asbestos insulation Yes No Don't Know Do the improvements contain urea formaldehyde insulation Yes No Don't Know Has the wood stove/fireplace and/or insert been inspected and approved by local authorities Yes No Have you received any notice or claim affecting the property from any person or public body Yes No Don't Know Are all statements in any property information sheets used by the Vendor or their agents true and accurate to the best of the knowledge and belief of the vendors Yes No Structural: Answer each question with "Yes", "No" or "N/A" as applicable Are you aware of any additions or alterations made without a permit Yes No N/A Are you aware of any structural defects with the improvements Yes No N/A Are you aware of any problems with the heating system Yes No N/A Are you aware of any problems with the central air conditioning system Yes No N/A Are you aware of any moisture, dampness, leaking or other water problems or damage in the basement, crawl space, walls, attic, roof or elsewhere with the buildings or land? Yes No N/A Are you aware of any damage due to wind, fire, water, insects, rodents or pests Yes No N/A Are you aware of any problems with the electrical system Yes No N/A Are you aware of any problems with the plumbing system Yes No N/A Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.

28 22 Saskatchewan: Bar Admission Program Property Condition Disclosure Statement Are you aware of any problems with the swimming pool, hot tub or underground sprinklers Yes No N/A Are you aware of any problems with built-in appliances or attached fixtures. (ie: garage door opener, central vac, dishwasher, water softener, etc.) Yes No N/A Are you aware of any encroachments or unregistered rights or way Yes No N/A Are you aware of or have you been charged with any local improvement levies or taxes Yes No N/A Are you aware of any problems re: quantity or quality of well water (Gal/min if known) Yes No N/A Are you aware of any problems with the septic or sewer system Yes No N/A Are you aware or do you have suspicions that there is any environmental contamination of the property including but not limited to petroleum spills or migration onto the property, hazardous wastes stored or buried on the property or any other environmental contamination? Yes No Other Comments: The sellers state that the above information is true, based on the sellers' current actual knowledge as of this date. Any important changes made to this information made known to the sellers will be disclosed to the purchasers before closing. This statement may not be relied upon by anyone other than the purchasers. Date:, 200. Sellers' signatures Accepted by the Purchasers. (Purchasers should not sign until reviewed and satisfied with it after Vendors complete & sign first.) If the Purchasers do not agree to buy the Property after seeing this disclosure, do not sign the form. The Purchasers should understand this statement may not provide a remedy for many problems they may discover with the Property. This list is not an exhaustive list of concerns. Some of the statements only say what the Seller knows rather than being a guarantee there are no problems. The Purchasers are are advised to have the property inspected by qualified professionals. Date:, 200. Purchasers' signatures Reproduced with permission from the Saskatchewan Real Estate Commission Not to be used or reproduced without permission August Saskatchewan Legal Education Society Inc.