A lawyer colleague used to like to point to his office walls and say to his clients, "You don’t see any groceries. We don’t sell shoes, hats or cars -- all we sell is time -- so buy it wisely."

Maybe that’s putting it too bluntly, but the fact is that legal fees are really based on the time the service takes. Many lawyers, like myself, don’t charge for quick telephone advice for existing clients. After that, the cost is related to the time involved and the complexity of the matter. Frankly, when it comes to a real estate transaction, the purchase price also comes into play. This is similar to real estate agents who charge a percentage of the purchase price. While the percentage is negotiable, the real estate agents all pretty well charge the same percentage.

Lawyers are one of the few professions that are charging less than half of what the same transaction would have cost 15 years ago. There really must be something wrong with us!!!

The County and Districts Law Presidents Association has recently proposed a tarrif based on purchase price and complexity of the transaction. You can check it out at: http://www.cdlpa.org/currentissues/realestate/suggestedfeeschedule.htm 

You will find that my costs are less than the suggested tarrif for the most part. The same will be true for most lawyer, just how much less depends on the particular law office policy.

Always to be sure to clarify the costs with your lawyer and shop around - you get what you pay for!! Also, when shopping, be sure to compare total costs that include fees, office disbursements, taxes, registration fees.

For continuing litigation or advice matters, you should ask for and agree upon an hourly rate or fixed cost.

Buyers and Sellers who are trying to budget should also remember that there are often other expenses to be considered:

a) Realty Taxes:
If the vendor has paid more than his proportionate share of this year’s taxes, he will be entitled to ask you to pay him back for your share when his lawyer prepares the "Statement of Adjustments."

b) Fuel Oil:
Likewise, a vendor who leaves a full tank of oil, or propane, can charge you for it on closing.

c) Utilities
You will have to have the hydro, gas, water and sewer accounts put in your name. If some are prepaid or if you have rented equipment on the property, there may be adjustments which will add to your costs on closing.

Placing a Mortgage
If you are one of the vast majority who have to get a mortgage, you should find out from your bank, mortgage broker or lender, which of the following may be required:

a) An up-to-date- survey.
If there is not a good and recent survey plan showing the buildings and improvements as they are, then you may have to get one or get title insurance. Cost varies but for a 1 acre property budget $800-$1,000.

b) Title Insurance.
This is often accepted by lenders as an alternative to a new survey.
Budget $350. The price of title insurance is tied to the purchase price in a way. I use Stewart Title Guaranty Company almost exclusively. Check out their site, http://www.stewarttitle.ca/, for more great information. 

c) Appraisal.
Budget $350.

d) Home Inspection.
Budget $300.00-400.00 AND GET ONE!!.

For more details please look into this site   knowyourhouse. You can also check out http://www.allaroundthehouse.com/. Both of these sites are great and the inspectors will provide a service with which you will be very pleased.

e) Broker's fees, Lender's Bonus and CMHC fees may apply.
Be careful to clearly understand them before you sign a mortgage commitment.