Real Estate Red Flags During COVID-19

These are interesting times for our clients.  You are certainly still able to buy and sell real estate during the Provincial state of emergency. In fact, lawyers, Realtors, and mortgage professionals have become quite creative in order to ensure that transactions happen as smoothly as possible. In many cases, virtual showings, online mortgage applications and virtual lawyer meeting are all a possibility. That said, there are some considerations when entering into an offer right now.

Buyers: 

(1) Give yourself ample time to meet your conditions for financing, inspection and insurance. The world moves a bit slower these days. 

(2) If you are coming from out of Province, understand that the Province of Nova Scotia will require you to immediately quarantine upon arrival. Consider what this may mean for your moving company, trades, and utilities. 

(3) If you are taking on an existing tenant, find out if the tenants are in arrears in advance of firming your deal up.  

 

Sellers: 

(1) Do you have tenants in the property? Discuss with these tenants in advance how property showings will work and ensure that your tenants are protected. Ensure proper notice is given. If your tenants are remaining after the sale and are in rental arrears, consider how this will be addressed.

(2) Discuss with your Realtor how property showings will work, and what procedures you can put in place to keep everyone safe. Remember that in addition to potential buyers, there may also be home inspectors, appraisers, and trades entering the property.

(3) If repairs are to be completed on the property prior to your closing day, ensure you have any required trades lined up in advance so that there are no issues on closing. Consider negotiating in advance what will happen if you can not have the work completed on time. 

 

Should you have any questions about starting (or finishing) the purchase and sale process during this (or any) time, please reach out to one of our lawyers. 

 

By: C. Danielle MacLean, LL.B., Partner

The information and materials found on this blog are provided for general information purposes only and are not intended to be legal advice. Nothing contained on this blog is legal advice or constitutes a legal opinion. You should consult a lawyer before relying on any information contained herein.