LSO Barrister Real Estate Law 1

Question 1

In Ontario, which legislation governs the registration of title to land and the protection of registered interests?

Accepted Answer

Land Titles Act

Answer

The Land Titles Act governs Ontario's electronic land registration system (Teraview/POLARIS) where title is guaranteed by the Province upon first registration.

Question 2

In Ontario, what is the standard form Agreement of Purchase and Sale governed by?

Accepted Answer

The Ontario Real Estate Association (OREA) standard form contract

Answer

Most residential transactions use the OREA standard form Agreement of Purchase and Sale, which sets out terms, conditions, representations, and warranties.

Question 3

Under the Ontario Land Transfer Tax Act, who is responsible for paying land transfer tax?

Accepted Answer

The purchaser

Answer

Land transfer tax is payable by the purchaser on registration of a transfer of land and is calculated based on the purchase price.

Question 4

What is a 'title search' in Ontario real estate transactions used to determine?

Accepted Answer

Whether the vendor has good and marketable title free from undisclosed encumbrances

Answer

A title search examines the registered title and encumbrances to ensure the vendor can convey good title free from mortgages, liens, and other charges not disclosed in the agreement.

Question 5

In Ontario, what is a 'mortgage discharge statement' and when is it obtained?

Accepted Answer

A statement from the lender stating the amount required to pay off the mortgage, obtained before closing

Answer

A discharge statement (payout statement) confirms the exact amount required to fully pay off and discharge an existing mortgage, necessary to clear title on closing.

Ontario Bar Barrister Practice Test

Ontario Bar Barrister Practice Test

LSO Barrister Real Estate Law 1