STATEMENT OF ADJUSTMENTS
The calculation of the exact monies owing by a Purchaser/Buyer to a Vendor/Seller on the day of closing is prepared by way of Statement of Adjustments. The Statement of Adjustments are calculated as follows:
Purchase price
Less any deposits paid by the Purchaser/Buyer
Less the amount owing for any existing mortgage to be assumed by the Purchaser/Buyer, if applicable
Plus the cost of any prepaid fuel left in the fuel oil tank by the Vendor/Seller, if applicable. Please ensure the bill for the final fill up of the fuel oil tank is provided to your solicitor.
Plus the cost of any prepaid flat rate water billing, if applicable
Plus or minus any adjustment for property taxes
Plus or minus any adjustment for common expenses paid during the month of your closing date.
EXAMPLE: Your purchase is sheduled to close on June 30th. The Vendor/Seller has paid the total taxes for the year in the amount of $2,400.00. Since you will be the owner for the remaining 6 months of the year, the Purchaser/Buyer will be required to reimburse the Vendor/Seller the sum of $1,200.00 for the Purchaser/Buyer's share of the said taxes and this will be reflected in the statement of adjustments by adding the $1,200.00 to the Purchase price.
