What is the adjustment date on a statement of adjustments and is it always the same as the closing date?

The adjustment date is the date from which the statement of adjustments divides financial obligations between the buyer and the seller. In most Ontario real estate transactions, the adjustment date is the same as the closing date — the day that title legally transfers. This is the standard approach.

However, in some transactions, the adjustment date and the closing date can differ. For example, if the parties agree that adjustments will be calculated as of a particular date (perhaps an earlier date that is administratively simpler), but legal closing actually occurs later, the two dates may diverge. This is relatively uncommon in residential transactions but more frequently encountered in commercial or complex deals.

When the adjustment date and closing date are the same — the usual case — the seller is responsible for costs up to and including the day before closing, and the buyer takes on responsibility from the closing date. All per-diem calculations flow from that reference point. If you see different dates on your statement of adjustments and are unsure why, ask your lawyer to explain. There should be a clear reason documented in the agreement of purchase and sale or the parties' correspondence.