Lawyer or Notary: Who Should Close Your Multiplex Purchase in BC?

Somewhere between an accepted offer and completion day, your realtor will ask a question that stops most first-time BC buyers cold: "Who is your lawyer or notary?" If you have never bought a home in this province, the fact that there are two options is news. This guide explains what each one does, where the line between them sits, and when a multiplex purchase in particular tips the decision toward a lawyer.

The short version: both can close a plain purchase. The choice matters when the purchase is anything other than plain, and multiplex purchases have a way of being anything other than plain.

What "closing" a purchase involves

Closing, in BC, means turning a signed contract into a home you own. Whoever you hire does the same list of jobs regardless of their title:

• Searches the title at the Land Title Office to confirm the seller owns what they are selling and to find any charges registered against it, such as an existing mortgage, a right of way or a covenant.
• Prepares the transfer document that moves ownership to you, and the mortgage document that registers your lender's interest.
• Prepares the statement of adjustments, which splits property tax, strata fees and utilities between you and the seller as of the completion date.
• Calculates and files the BC property transfer tax, and applies for any exemption you qualify for.
• Receives your down payment and your lender's mortgage funds into a trust account, then pays the seller, the seller's lender and the tax on completion day.
• Registers the transfer and mortgage at the Land Title Office and confirms you are the registered owner.

Our step-by-step on completion day in a multiplex walks through the last week in detail. For this post the point is simpler: this list is the same whether a lawyer or a notary does it.

What a BC notary public can do

BC is unusual in Canada. Here, a notary public is a trained legal professional who can handle a residential purchase from start to finish. The Society of Notaries Public of British Columbia lists purchase and sale of real estate, residential and commercial real estate transfers, and mortgage refinancing among the services its members provide. Notaries are commissioned by the Supreme Court of British Columbia and regulated by the Society, with their own bylaws, rules and code of conduct.

There is one line in the Society's description that decides this whole question. Notaries' activities, it says, "are restricted to non-contentious matters," meaning matters "where the parties involved are in agreement." A notary can prepare, explain and register documents when everyone agrees. A notary cannot represent you when someone does not.

What a lawyer can do

A lawyer, licensed by the Law Society of British Columbia, can do everything on the closing list above, and can also advise you when the deal goes sideways. If the seller refuses to complete, if the developer's completion date moves for the third time, if you want your deposit back, if a co-owner in your family changes their mind about the ownership split, a lawyer can write the letter, negotiate the outcome and, if it comes to it, go to court.

That does not make a lawyer the right answer for every purchase. Plenty of Vancouver lawyers run high-volume closing practices where the file is handled by a conveyancer and the lawyer signs off. The value of a lawyer is in the advice when advice is needed. If you are confident you will not need it, you are paying for a safety net you may never use.

When a multiplex purchase leans toward a lawyer

This is where multiplex buyers differ from condo buyers. A brand new multiplex home is often bought pre-sale, often bought by more than one household, and often bought in a small strata where the rules are still being written. Each of those adds a place where advice matters.

Pre-sale contracts and the seven-day window. When you sign for a home that is not finished, BC gives you seven days to cancel after signing or after receiving the disclosure statement, whichever is later. Our post on the rescission period explains how it works. That week is when the contract should be read by someone who can tell you what the deposit schedule, the assignment clause and the completion-date clause mean for you. A notary can explain a document. A lawyer can tell you which clauses to push back on and negotiate the change.

Two households, one building. Parents buying one home and their adult children buying the one next door is a common plan on this site, and it usually involves a family loan, a shared down payment or one mortgage with several names on it. Our Buying Together guide covers the options. The co-ownership or loan agreement that protects everyone is a lawyer's document. A notary can register the title in whatever shares you choose but should not be your source of advice on what those shares should be.

Disclosure statement amendments. Developers file amendments when something material changes: a layout, a completion date, a strata fee estimate. Whether an amendment gives you a right to cancel is a legal question, and the answer depends on the wording. If an amendment lands mid-purchase, you want a lawyer who has read the original.

Assignments. Buying or selling a pre-sale contract before completion has its own rules, tax consequences and developer consent requirements. Our assignment guide covers the buyer's side. This is lawyer territory.

Anything that could become a dispute. A deposit you might want back, a completion that might not happen, a rental suite you are counting on, a seller who is also the developer and is behind on the last building. If you can imagine the sentence "we may need to fight this," start with a lawyer, because a notary would have to hand the file to one anyway.

When a notary is a sound choice

A finished home, whether resale or a completed new home, with one household on title, a standard insured or conventional mortgage, a clean title search and no family money that needs its own agreement. That describes a large share of purchases, and for those a BC notary does the same work, in the same time, and is often the professional your realtor already knows.

Some buyers assume a notary will always be cheaper. Ask for a written quote from both and compare the line items, because fees vary by office, by how many documents are involved and by whether a strata is included. We do not publish fee figures here because they change and because a quote is easy to get.

When to hire, which is the part most people get wrong

The common mistake is to treat the lawyer or notary as the last step: hire them when the lender asks for a name, two or three weeks before completion. By then every document that matters has already been signed.

Our rule is that you hire before you sign anything you cannot cancel. For a pre-sale, that means during the seven-day window, so the contract and the disclosure statement get read while you can still walk away. For a resale, it means before you remove your conditions, so the title search and the strata documents get read while the offer is still conditional. Our checklist of questions to ask before buying pre-sale has a section on documents to send to your lawyer and when.

Hiring early does not cost more in most cases. It moves the same work earlier, to the point where the answers can still change what you do.

What to ask before you hire either one

• How many residential purchases did your office close last year, and how many of those were strata homes in small buildings?
• Have you handled pre-sale purchases under BC's disclosure statement rules, and will you read the disclosure statement before my rescission period ends?
• Who in your office will handle my file day to day, and how do I reach that person?
• What is your fee, in writing, and what disbursements (Land Title Office charges, title insurance, courier, search fees) come on top of it?
• If a problem comes up, such as a delay or a dispute over the deposit, can you handle it, or will you refer me to someone else?
• Have you registered titles for co-owners before, and can you draft or review a co-ownership agreement?
• How do you handle the property transfer tax exemption for a newly built home, and will you confirm whether I qualify?
• Do you accept wired funds, and what is your process for confirming wire instructions by phone so I am not caught by a fraudulent email?
• What do you need from me and when, working back from the completion date?
• Are you available in the week of completion, or will you be away?

The answer to the fifth question is the tell. A good notary will say "I would refer you to a lawyer," which is correct and honest. A good lawyer will say "I would handle it." Either answer is fine. What you want is to know before you need it.

Title insurance, and the reason it comes up

Many lenders in BC ask for a title insurance policy on the mortgage, and your lawyer or notary will offer an owner's policy at the same time. Title insurance covers you against certain problems with the title or the survey that were not found before completion, such as a previous owner's unpaid charges or a building that sits over a property line. The cost is a one-time premium paid at closing. It is worth a five-minute conversation with whoever closes your purchase: ask what the owner's policy covers, what it excludes, and whether a survey certificate would be an alternative.

How the money moves

On completion day your down payment, which you delivered to your lawyer or notary's trust account a few days earlier, and the mortgage funds from your lender are combined and paid out: to the seller, to the seller's lender to clear their mortgage, to the government for property transfer tax, and to the strata for any adjustments. Once the transfer is registered, the keys are released, usually on the possession date, which is often the next day. Our post on what your deposit is protected by explains trust accounts and why the money sits with a regulated professional and never with the seller directly.

What this comes down to

• In BC both a lawyer and a notary public can close a residential purchase, including title search, transfer, mortgage registration, property transfer tax and the movement of funds.
• Notaries are restricted to matters where everyone agrees. When there is a dispute, a lawyer takes over.
• A finished home, one household on title and a standard mortgage: a notary is a sound choice.
• Pre-sale, family co-ownership, disclosure statement amendments, assignments, or anything you could imagine fighting over: start with a lawyer.
• Hire before you sign, not before you complete. For a pre-sale that means inside the seven-day window.
• Get a written quote from both, ask who handles the file day to day, and ask what happens if a problem arises.

Questions buyers ask about lawyers and notaries

Can a notary close a house purchase in BC?

Yes. British Columbia notaries public are commissioned by the BC Supreme Court and can handle the purchase and sale of residential real estate, including title transfer and mortgage registration, according to the Society of Notaries Public of BC. Their work is limited to matters where the parties agree.

What can a lawyer do that a notary cannot?

Advise and represent you when there is a dispute. If a seller fails to complete, a completion date keeps moving, or co-owners disagree, a lawyer can negotiate, write demand letters and go to court. A notary must refer contested matters to a lawyer.

Is a notary cheaper than a lawyer for a home purchase?

Often, but not always, and the gap is smaller than people expect for a simple file. Fees depend on the office, the number of documents and whether a strata is involved. Ask both for a written quote that separates fees from disbursements before you decide.

Do I need a lawyer for a pre-sale multiplex?

We recommend one. A pre-sale contract and its disclosure statement run to dozens of pages, and BC gives you seven days to cancel after signing. A lawyer can tell you which clauses to negotiate, which a notary is not positioned to do.

When should I hire my lawyer or notary?

Before you sign anything you cannot cancel. For a pre-sale, during the seven-day rescission window. For a resale, before you remove your conditions. Hiring three weeks before completion is common and is too late for any advice to change what you signed.

Can my realtor recommend a lawyer or notary?

Yes, and a realtor who closes many multiplex sales usually has two or three names they trust. Take the recommendation, then ask the ten questions in this post. You are the client, and the professional works for you, whoever introduced you.

What is a disbursement?

A cost your lawyer or notary pays on your behalf and bills back to you at cost, such as Land Title Office registration fees, title search charges, couriers and a title insurance premium. Ask for these to be listed separately from the professional fee in any quote.

Do I need title insurance on a brand new home?

Your lender will usually require a lender's policy on the mortgage. An owner's policy is optional and covers certain title and survey defects found after completion. Ask your lawyer or notary what it covers and excludes for a new strata home before deciding.

Can two families use the same lawyer when buying two homes in one building?

They can, and often do, but the lawyer will confirm there is no conflict between the two households and may recommend each gets independent advice on the co-ownership or loan agreement. If money is moving between the families, independent advice protects everyone.

What happens if the completion date moves after I have hired a notary?

A new completion date on its own is usually handled by a notary, with a revised statement of adjustments. If you want to dispute the delay, recover costs or cancel, that becomes contested and a lawyer takes over. Ask up front how your notary handles this.

What documents should I send my lawyer or notary first?

The contract of purchase and sale, the disclosure statement and any amendments for a pre-sale, the strata's Form B and bylaws for a finished home, your mortgage commitment from the lender, and government ID. Send them the day you hire, so the review starts while you can still act on it.

How do I check that a lawyer or notary is licensed?

The Law Society of British Columbia has a public lawyer directory, and the Society of Notaries Public of BC has a public notary search. Both are free. Confirm the name and the office match the person you are dealing with before you send any money.

Line up your closing team before you shop

The buyers who have the calmest completion days are the ones who chose a lawyer or notary before they wrote an offer. If you are starting to look at multiplex homes, browse what is for sale and, when something catches your eye, talk to us. We can tell you whether a listing is pre-sale or finished, whether it involves a strata, and what that means for who you should hire.