Your Offer Was Accepted in Ontario. What Happens Next?

At A Glance

What usually happens after an offer is accepted?

Every transaction is a little different, but these are the areas I want organized early. Select a section for the short version, then keep reading for the full explanation.

Start Here

Read the agreement again, even though we reviewed it before the offer

For me, this process actually starts before the seller accepts anything. I want the buyer to understand the price, closing date, conditions, deposit, included items and the other terms before the offer ever goes out, because once the seller accepts the agreement we cannot assume they will agree to change it afterward.

After acceptance, I go through those details again with a different purpose. Now we are no longer deciding what we want to offer. We are making sure that everyone understands what has to happen, who is responsible for it and when it has to be done.

If a clause creates a legal question, that is where the lawyer needs to be involved. I can explain the real estate process and keep the transaction moving, but I am not going to pretend that a REALTOR® should replace legal advice.

Deposit

When is the deposit due after an offer is accepted?

The answer is in the agreement. I do not like giving buyers a generic Ontario deposit deadline because the amount, timing and delivery requirements can be written differently from one transaction to another. Once the offer is accepted, we confirm exactly what the agreement says and make sure the buyer knows where the money needs to go.

The deposit is ultimately accounted for as part of the money going into the purchase. Before acceptance, it can also have a strategic role because some sellers may look at the size and certainty of a deposit as one part of evaluating the strength of an offer. That does not mean bigger is automatically better, but it is one of the terms that can matter when an offer is being negotiated.

Conditions

What does a conditional offer actually mean?

Conditions are usually there because one of the parties needs time to deal with a specific risk before the transaction becomes firm. For a buyer, common examples include financing, a home inspection or, in some situations, insurance or the review of other property information.

This is also why I put so much emphasis on writing the condition clearly in the first place. I want to understand who is responsible for the next step, what is actually being reviewed, who is paying for it, when the deadline expires and what written step is required afterward.

What I do not tell a buyer is that a condition means they can simply change their mind for any reason. The wording of the agreement matters. If there is uncertainty about whether a buyer can terminate, waive a condition or what happens to the deposit, that needs to be reviewed with the lawyer before somebody makes a decision that creates more risk.

Financing

"I was already pre-approved. Why does the bank still need more?"

This is one of the more common misunderstandings I run into with buyers. A pre-approval is useful, but it is a general assessment of you and your borrowing range. It is not a blanket approval for every house you decide to purchase.

Not all houses are created equal. Once the offer is accepted, the lender may still need to review the signed agreement, the property itself, current financial documents and the value of the home. An appraisal may also be required. The lender has its own standards for the property, so I want the accepted agreement in the hands of the mortgage professional as quickly as possible.

This is also why I am cautious when someone says that being pre-approved means a financing condition is unnecessary. It may be the right decision in a particular transaction, but that should be a deliberate decision based on the buyer, the property, the lender and the risk involved, not an assumption that the mortgage is already finished.

Home Inspection

What am I hoping the buyer learns from the inspection?

The point of the inspection is to reduce risk. A buyer can walk through a house several times and still miss things that an experienced inspector is better equipped to identify. They have the tools and training to look more closely at the roof, foundation, plumbing, electrical components, heating and cooling systems, moisture and other major parts of the home.

I do not treat an inspection as a pass-or-fail certificate. The inspector is limited by what they can see and access, and no inspection can promise that every hidden problem will be found. What I want the buyer to come away with is a much clearer understanding of the house they are buying, what may need attention and which issues deserve a closer look by another qualified professional.

A good inspection can also help the buyer separate normal maintenance from something that may materially affect the cost or risk of owning the home. That information is far more useful than expecting a house to be perfect.

Insurance

When should the buyer start talking to the insurance company?

I do not like leaving insurance until the day before closing, especially when there is something about the house that may need a closer look. Depending on the property and the offer, we may even use an insurance condition so the buyer has an opportunity to confirm that suitable coverage can actually be arranged.

Once we have the accepted agreement and, where applicable, the inspection information, the buyer can give the insurer something concrete to review. If the insurer needs more information about the roof, wiring, heating system, previous damage or another feature of the house, I would much rather find that out while we still have time to deal with it.

The insurer decides whether and on what terms it will provide coverage. My role is to make sure the buyer knows that the conversation needs to happen and that it is coordinated with the rest of the transaction.

Legal Work

I would rather have the lawyer involved early than introduce them at the end

I try to get my buyers connected with a reliable real estate lawyer before we ever write an offer. That gives them an opportunity to get comfortable with the lawyer ahead of time and means we already know where the file is going once we have an accepted agreement.

From there, I begin forwarding the paperwork and coordinating with the lawyer while I continue handling the real estate side of the transaction. The lawyer deals with the legal closing work, including title review, lender instructions, closing funds, land transfer tax, title insurance and the registration work required to actually transfer the property.

My side is different. I continue monitoring the agreement, paperwork and deadlines, coordinating with the other professionals and dealing with the real estate issues that come up along the way. When the legal and real estate sides communicate properly, there is far less opportunity for something important to fall through the cracks.

Money For Closing

Your down payment is not the only money you need

Closing costs catch a lot of buyers off guard, especially first-time buyers who have spent most of their attention saving for the down payment. Legal fees, land transfer tax, inspections, title insurance, adjustments, moving and other expenses can add up quickly.

I would rather have a buyer keep a reasonable cushion than calculate everything down to the last dollar and hope nothing changes. Federal consumer guidance suggests preparing for closing costs in the range of roughly 1.5% to 4% of the purchase price, although the actual amount depends on the buyer and the transaction.

For a broader look at budgeting and the buying process, see my Hamilton first-time home buyer guide .

Before Closing

What do we actually check during the final visit?

I have a checklist for final visits because buyers are understandably excited and it is easy to walk through the house thinking about furniture instead of the agreement. This is our opportunity to look at the property again and make sure it appears to be in the expected condition before closing.

We are checking things like whether the agreed appliances are still present and working, whether fixtures or window coverings that were supposed to remain are still there, whether agreed work appears to have been completed and whether the seller has left behind garbage or other items that were not supposed to remain.

If something looks materially wrong, I document it and involve the lawyer rather than making assumptions about what the buyer can demand. The agreement still controls the buyer's rights and obligations.

• Are the agreed appliances and included items still there?
• Do the major systems and appliances appear to operate as expected?
• Has anything been removed that the agreement says should stay?
• Has agreed repair or other seller work been completed?
• Has the overall condition materially changed since the buyer last saw it?
• Has the property been left with unexpected garbage or abandoned items?

Closing Day

When do you actually get the keys?

This is where I sometimes have to tell excited buyers not to book the moving truck for first thing in the morning.

The lawyers and lenders still have work happening on closing day. Funds have to move, the legal transfer has to be completed and the lawyers need to confirm that the transaction has actually closed. In my experience, many residential closings are completed later in the day rather than first thing in the morning, so I encourage buyers to keep the moving plan flexible.

Once the lawyer confirms that the deal is closed, the keys are released according to whatever arrangement has been made. Sometimes they are left in a lockbox and the code is released. In other transactions, the parties arrange a more direct handoff. It is case by case.

By this point, we have done almost everything we can do. The buyer can take a breath and be excited, but I still want them to wait for that final confirmation from the lawyer before entering the property.

Accepted Offer Checklist

What should an Ontario buyer have organized before closing?

This is one place where a checklist actually helps. The exact dates still come from your agreement, but I want these pieces accounted for somewhere between acceptance and closing.

• Save the accepted agreement and every amendment.
• Confirm the deposit amount, deadline and delivery instructions.
• Send the accepted agreement to the mortgage professional and lawyer.
• Book the inspection or other review required by any buyer condition.
• Track the condition deadlines and required paperwork.
• Confirm insurance with the buyer's insurer.
• Ask the lawyer what identification and funds will be required.
• Plan utilities, movers and any buyer visits permitted by the agreement.
• Review inclusions and seller obligations before the final visit.
• Wait for the lawyer to confirm closing before entering the property.

Common Questions

Questions buyers ask me after an offer is accepted