Is there a home closing protection insurance offered in Greater Toronto?
Yes, This is what we always strongly suggest our buyers & sellers clients. Home closing protection insurance can solve many of the problems associated with delayed closings.
Due to the growing possibility of buyers being declined their mortgage financing at the last minute, sellers need some protection in the event their closing is delayed or cancelled and they are forced to carry 2 homes for an extended period of time.
Canadian Home Shield provides such coverage and insurance protection. For as little as $99, sellers can purchase a $25,000 insurance policy that will cover all mortgage payments, real estate taxes, utilities and insurance premiums up to a total of $25,000 in the event that the deal does not close through for no fault of the seller.
This Insurance may be purchased by both that is Home Buyers and Sellers. In case a home buyer is unable to close the transaction/ Buy the home under contract due to refusal of mortgage financing by the lenders/banks at the last minute they may be sued by the seller for thousands of dollars in damages. Such an insurance may protect and save the buyer and seller both.
Buying a resale home in Ontario, Canada: Can the home buyers buy some insurance for the protection of home systems and appliances?
When you buy a home under resale in most cities of Ontario, Canada most real estate contracts provide that sellers only warrant their systems and appliances to the date of closing. That means if any of the heating, air conditioning system or any appliance like Fridge, Stove etc brake down even just after 24 hours of closing date the buyers have nowhere to go but get them fixed as their own or replace. The cost for such repair or replacement may be in several thousand dollars in some cases and may be big financial crises specially for first time home buyers with limited means.
Most home buyers are not aware off that Yes, Home Buyers can also purchase breakdown insurance protection for their home systems and appliances. this provides buyers with the opportunity to purchase additional insurance protection for a year after closing.
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