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Agreement Of Sale With Possession Template for Canada

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Key Requirements PROMPT example:

Agreement Of Sale With Possession

"I need an Agreement of Sale with Possession for a residential property in Ontario, where the buyer needs to take possession on March 1, 2025, but the closing date will be May 15, 2025, due to mortgage financing timing."

Document background
The Agreement of Sale with Possession is a specialized legal instrument used in Canadian real estate transactions where the purchaser requires possession of the property prior to the final closing date. This arrangement is commonly needed when closing dates don't align with moving requirements, property renovations are needed before closing, or other circumstances necessitate early possession. The document must carefully balance the interests of both parties while adhering to Canadian federal and provincial property laws. It includes comprehensive provisions for property maintenance, insurance, risk allocation, and payment terms during the possession period, along with standard sale agreement elements. This type of agreement requires particular attention to detail as it creates a unique legal relationship where the purchaser occupies the property while the vendor retains legal ownership until closing.
Suggested Sections

1. Parties: Identifies and provides full legal names and addresses of the Vendor and Purchaser

2. Background: Establishes the context of the agreement, including property ownership and intent to sell

3. Definitions: Defines key terms used throughout the agreement for clarity and consistency

4. Property Description: Detailed legal description of the property being sold

5. Purchase Price: Specifies the purchase price, deposit requirements, and payment terms

6. Possession Terms: Details of possession arrangements, including dates, conditions, and interim occupancy terms

7. Closing Date: Specifies the date for completion of the sale and transfer of title

8. Property Condition: Warranties and representations regarding the condition of the property

9. Title and Ownership: Provisions regarding clear title and transfer of ownership

10. Adjustments: Details of tax, utility, and other cost adjustments between parties

11. Insurance and Risk: Allocation of risk and insurance requirements during the possession period

12. Default and Remedies: Consequences and remedies for breach of agreement terms

13. Notices: Methods and addresses for formal communications between parties

14. General Provisions: Standard legal provisions including governing law, severability, and entire agreement

15. Execution: Signature blocks and execution requirements

Optional Sections

1. Mortgage Arrangements: Include when purchaser requires mortgage financing, detailing conditions and requirements

2. Property Management: Include when specific arrangements are needed for property management during possession period

3. Rental Income: Include when property generates rental income that needs to be addressed during possession period

4. Environmental Matters: Include when there are environmental concerns or requirements

5. Chattels and Fixtures: Include when specific items are included or excluded from the sale

6. Home Inspection: Include when sale is conditional on home inspection

7. Property Improvements: Include when discussing permitted or restricted improvements during possession

8. Assignment Rights: Include when addressing whether the agreement can be assigned to another party

9. First Right of Refusal: Include when granting first right to purchase to specific parties

10. Foreign Buyer Provisions: Include when purchaser is not a Canadian resident

Suggested Schedules

1. Schedule A - Property Description: Detailed legal description and property boundaries

2. Schedule B - Purchase Price Structure: Breakdown of purchase price, deposits, and payment schedule

3. Schedule C - Included Chattels: List of movable items included in the sale

4. Schedule D - Possession Agreement: Detailed terms and conditions of possession arrangement

5. Schedule E - Property Condition Report: Detailed report on property condition at time of possession

6. Schedule F - Permitted Uses: Specifications of how the property may be used during possession period

7. Schedule G - Insurance Requirements: Detailed insurance requirements for both parties

8. Appendix 1 - Property Photos: Photographic documentation of property condition

9. Appendix 2 - Required Repairs: List of repairs to be completed before closing

10. Appendix 3 - Utility Agreements: Arrangements for utility payments and transfers

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions














































Clauses

































Relevant Industries

Real Estate

Property Development

Construction

Banking and Finance

Legal Services

Insurance

Property Management

Urban Planning

Residential Housing

Commercial Property

Property Investment

Real Estate Investment Trusts (REITs)

Relevant Teams

Legal

Real Estate

Compliance

Risk Management

Property Management

Contract Administration

Business Development

Investment

Operations

Document Control

Title and Closing

Customer Relations

Relevant Roles

Real Estate Lawyer

Property Manager

Real Estate Agent

Real Estate Broker

Mortgage Specialist

Legal Counsel

Compliance Officer

Risk Manager

Title Examiner

Contract Administrator

Real Estate Development Manager

Property Developer

Real Estate Investment Manager

Settlement Officer

Escrow Officer

Real Estate Paralegal

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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