Can a Notary Public Handle a Manitoba Real Estate Purchase?

If you have heard that notaries handle real estate closings in other places, it is natural to ask whether a Manitoba notary public can do the same for your purchase. The answer depends on who is permitted to prepare and register the documents here, and that is worth confirming before you pay anyone.

This article explains what a Manitoba purchase involves, how title to land is registered, and the questions to ask any person who offers to handle your closing. It does not replace advice from a lawyer who can look at your situation.

This article covers the law of Manitoba.

What a closing actually involves in Manitoba

A closing is more than signing a contract. The buyer becomes the owner on paper when the transfer of title is registered. Registration is completed when the certificate of registration is signed or the data is accepted in the electronic information system, and it takes effect from the day the instrument is assigned a serial number.

Manitoba uses a title registration system whose stated object is to simplify title to land, give certainty to it, make it easier to prove and speed up dealings with it. Because the register is so central, mistakes in the documents can be costly to fix.

Who registers the documents

Land titles registrations in Manitoba are electronic and run through Teranet Manitoba. The Law Society of Manitoba has eRegistration rules and requirements for lawyers who register documents.

Whether a notary public can take on any part of a purchase here turns on those registration requirements and on who is permitted to give legal services in Manitoba. The rules are not the same everywhere in Canada, so what a notary does in another province is not a safe guide. Before you hire anyone, ask them directly how the transfer will be registered and who will be responsible for it, and confirm the answer with a lawyer or the Law Society of Manitoba.

Money and tax that must be dealt with at registration

Manitoba land transfer tax is generally payable by the buyer, with some exceptions, along with a registration fee. It is due when the transfer of title is registered at the land titles office. It is calculated on the fair market value of the property on the date of registration, not simply the contract price.

The tax is graduated. For example, the rate on the amount over $200,000 is 2.0%. The government page that sets out the tax does not mention a first-time-buyer land transfer tax rebate, so do not assume one applies. Federal programs may help first-time buyers instead, such as the Home Buyers' Plan, which has a withdrawal limit of $60,000.

Extra steps for some purchases

Some purchases carry added paperwork. If you are buying a resale condominium unit, the seller must give you a current seller disclosure statement, a corporation disclosure statement signed within 90 days, the declaration and amendments, budgets, financial statements, by-laws and rules, and any reserve fund study or summary, among other forms. You then have a seven-day cooling-off period that starts on the later of signing and delivery of the disclosure documents, and you can cancel for any reason.

If you are buying from the estate of a deceased owner, a court grant is generally needed so a personal representative can apply to Land Titles. If the seller's executor holds a grant from another province, it may need to be resealed or an ancillary grant obtained in Manitoba. These are the kinds of issues that make it important to know who is checking your documents.

What to do next

• Ask anyone offering closing help exactly what they will do and who will register the transfer.
• Ask whether they are bound by the Law Society of Manitoba's eRegistration requirements.
• Find out who will calculate and pay the land transfer tax and registration fee.
• Check whether your purchase has special features, such as a condominium unit or an estate sale.
• Confirm the answers with a Manitoba lawyer before you sign or pay a deposit.

If the answers are vague, treat that as a reason to get legal advice before going further.

Frequently asked questions