What Does a Real Estate Lawyer Actually Do?
Here’s Why Their Role Matters in Your Transaction
Whether you’re buying, refinancing, or selling a home in Canada, having a real estate lawyer on your side is not just helpful — it’s essential. They do much more than paperwork. Your lawyer is there to:
- protect your interests
- make sure the legal process goes smoothly
- and ensure that funds and documents are handled properly
So you can move forward with peace of mind.
Let’s break down an overview around what your lawyer typically does in each type of transaction. Keeping in mind that every transaction can also be unique and may require additional support from your law team.
When You’re Buying a Home
Buying a home is one of the biggest investments you’ll ever make, and your lawyer plays a key role in making sure everything is in order.
They will:
- Conduct a title search to confirm the seller owns the property and that there are no outstanding liens, claims, or issues that could affect your ownership
- Review and prepare all legal mortgage documents based on your lender’s instructions
- Register your ownership with the provincial land titles office, officially making the home yours
- Prepare the Statement of Adjustments, which outlines the closing costs including legal fees, along with the credits and debits between you and the seller, things like property taxes, deposits and remaining down payment funds. It will also include the balance of funds due on close.
- Ensure property taxes are up to date and help calculate what’s still owing between both parties
- Confirm the seller’s mortgage is properly discharged so there are no claims left on the title
- Arrange title insurance for your lender (which is typically required), and can also set up optional owner’s title insurance for you — a smart layer of protection against title issues
- Some lenders instruct your lawyer to complete the payment frequency and account which your mortgage, payment is to be paid from
- Collect and handle the transfer of funds on closing day (possession day), so that payment goes to the seller and keys come to you.
When You’re Refinancing Your Home
Refinancing can help you access equity or secure a better rate — but it still needs to be legally registered and processed.
Your lawyer will:
- Perform a title search to make sure there are no problems with ownership or claims against the property
- Coordinate the payout of your current mortgage and any other debts being settled as part of the refinance
- Review and prepare all legal mortgage documents based on your lender’s instructions
- Manage the transfer of funds, ensuring all amounts are properly paid and recorded
- Register the new mortgage on title through the land registry system
Some lenders may use legal service providers like FCT or FNF for refinances. These companies do much of the same work as a lawyer but are often a more budget-friendly option ; just be sure you’re comfortable with the level of service and support they provide.
When You’re Selling Your Home
When it’s time to sell, your lawyer helps wrap everything up and ensures your sale is finalized properly.
They will:
- Review the property title to make sure it’s clear and ready for transfer
- Draft the deed that officially transfers ownership to the buyer
- Calculate your closing costs, including legal fees, commissions, property tax adjustments, and mortgage payouts
- Prepare and Estimated Funds Summary and the Statement of Adjustments for the buyer’s lawyer to review and approve
- Discharge your mortgage (and any other liens) so the title is clear
- Transfer the funds on closing day and pay out any debts from the proceeds.
They will make sure you receive your net funds, including what’s left after all costs are covered
Final Thoughts
Real Estate Lawyers aren’t just there to sign papers and transfer funds, they’re also your legal safety net. Whether you’re buying your first home, refinancing for renovations, or selling to move on, a good lawyer makes all the difference. If you need a great lawyer, we can refer fantastic Real Estate Lawyers to you that we work with and trust. If you ever have questions about what your lawyer is doing (or should be doing), don’t hesitate to ask them, they’re there to help you understand the process every step of the way.
Mortgage Sisters West are licensed mortgage brokers who serve all of Alberta, with a focus on our local Edmonton, Sherwood Park, St. Albert, Fort Saskatchewan, Spruce Grove, Stony Plain, Beaumont, Leduc and surrounding areas!
We are mortgage brokers franchised with our National Brokerage Mortgage Architects and can broker your mortgage in other provinces as well. We would love to work with you!