How do I confirm the seller has clear title?

How do I confirm the seller has clear title?

Can you REALLY verify the seller has clear title before you buy? Here’s the Milton, ON playbook that stops title surprises cold.

Why clear title matters — and why most buyers miss it

Most buyers think clear title is the lawyer’s job and that closing day will fix everything. That’s dangerous. In Ontario, and in Milton specifically, a title problem can mean unexpected liens, easements that block your plans, unpaid municipal charges, or even claims from previous owners. It can delay closing. It can cost you thousands. It can stop renovations or sales later.

You need a practical, step-by-step plan you can follow today. Not legal fluff. Not vague promises. Real steps that a Milton buyer can use to CONFIRM the seller has clear title.

Quick checklist — What “clear title” actually means in Milton, Ontario

• The seller owns the legal title registered in the Land Titles system or Registry and can transfer it.
• No undisclosed mortgages, HELOCs, or liens (construction, judgment, tax) remain on the parcel.
• No easements, rights-of-way, or restrictive covenants that block your intended use — unless you accept them.
• All property taxes, local charges, and utility arrears are paid or will be cleared at closing.
• For condos: a current status certificate shows no major issues with the corporation.
• The seller can provide proof of identity and authority to sell (personal owner, trustee, power of attorney documentation if applicable).

Step-by-step: How to confirm clear title in Milton, ON (do this now)

1. Engage a licensed Milton real estate lawyer immediately

• This is the single most important move. A local lawyer knows the Land Titles system used across Halton Region and the specific offices and searches you’ll need. Ask for someone experienced in Milton closings and conveyancing.

1. Ask the seller (via your agent or lawyer) for the title documents they have

• Copy of the registered deed or Transfer/Instrument.
• Any existing mortgage discharge statements, or recent mortgage statements.
• Any affidavits, trustee documents, or power of attorney records if someone else signed previously.

These documents are background. They save time, but they do NOT replace a lawyer’s title search.

3. Your lawyer runs a formal title search at Land Titles / Teranet

• Ontario’s Land Titles system (Teranet) holds the authoritative parcel register for Milton properties. The lawyer will pull the parcel register and plan, showing registered owners, current mortgages, and recorded encumbrances.
• If the property is still in the old Registry system (less common in Milton), the lawyer will run the appropriate registry searches.

What you’ll see on the parcel register: legal description, current owner, registered mortgages, liens, easements, and any restrictive covenants.

4. Review encumbrances — read the schedule, don’t skim it

• Mortgages: Confirm any mortgages are listed and will be discharged at closing. The seller must provide a mortgage statement showing the payoff amount and instructions for discharge.
• Easements & rights-of-way: These can let utilities or neighbours use part of the property. An easement doesn’t necessarily kill a sale, but you must know about it before you buy.
• Covenants & restrictions: Some lots in Milton (especially older subdivisions or conservation-adjacent lots) have restrictive covenants that limit structures, fencing, or business uses.

4. Verify there are no outstanding municipal orders or local charges

• Check with the Town of Milton for local charges, outstanding building permits, or orders under the Building Code Act. Unpaid local charges can become a lien on the property.
• Ask your lawyer to obtain a property tax certificate and municipal clearance where applicable.

4. Confirm property taxes and utility accounts are current

• The seller is responsible for outstanding taxes up to closing. Your lawyer will verify arrears are paid or that the vendor will clear them at closing.
• Check for unpaid utility bills or stormwater charges that could create a holdback.

4. For Condos: order the status certificate immediately

• Under Ontario’s Condominium Act, the buyer can demand a status certificate showing the condo corporation’s financial health, legal actions, reserve fund, and common expense arrears. Make this a condition of your offer.

4. Ask for a survey or real property report when needed

• A survey (or RPR) shows property lines, encroachments, and structures. If your renovation or fence plans matter, insist on a survey or confirm the title matches the legal description.

4. Buy title insurance — a fast, practical safety net

• Title insurance in Ontario covers fraud, title defects not found in the records, encroachments, and past issues that the title search missed. It’s fast and inexpensive compared to the risk.
• Providers operate in Milton; your lawyer will explain the coverage and often order it for you.

4. Review the lawyer’s title opinion before closing

• Your lawyer will issue a written opinion confirming the seller’s ability to transfer a marketable title and listing any defects or conditions that must be cured before closing.
• Read this opinion. If it flags unresolved issues, demand those be cleared or walk away.

Common title problems in Milton and how to spot them early

• Old unreleased mortgages or HELOCs: Sometimes older mortgages are satisfied but not discharged. Require recorded mortgage discharge documents.
• Builder or contractor liens: Renovations or recent builds can trigger construction liens. Make sure searches include Builders’ Lien registrations.
• Easements for utilities or drain tiles: These can affect plans for decks or pools. The parcel register will show them, but also ask about known physical easements.
• Municipal orders: Unpermitted structures or permit violations can lead to orders to remove or repair. Municipal checks protect you.
• Fraudulent transfers: Title fraud happens when someone forges documents. Title insurance protects you here and your lawyer’s search helps detect red flags.

Offer clauses and conditions every Milton buyer should use

• Subject to satisfactory title search and lawyer’s title opinion: Make this a firm condition.
• Subject to receipt of a parcel register and plan: Forces the vendor to make documents available.
• Subject to title insurance: If you want a faster close but protection, add this condition.
• For condos: Subject to satisfactory status certificate within X days: Use a short, reasonable period.

These clauses give you control and a lawful exit if title isn’t clear.

Title insurance vs. traditional title search — use both

• Do not think of title insurance as a replacement for a proper title search and legal opinion. The search identifies existing, recorded problems. The lawyer’s opinion interprets them. Title insurance protects you against things missed or future claims.
• In Milton closings, the cheapest, safest approach is a full search + title insurance.

Real-life checklist you can hand to your lawyer right now

• Order parcel register & plan from Land Titles (Teranet).
• Request municipal tax certificate & building compliance check from Town of Milton.
• Request statement of mortgage payoff and discharge documentation from vendor’s lender.
• Order status certificate (condo units only) and any common expense arrears report.
• Run a construction lien search and judgement search against the vendor.
• Obtain copies of any easement, covenant, or right-of-way documents registered on title.
• Decide on title insurance and have lawyer order it.

What to do if the title isn’t clear at closing

• The lawyer will usually hold funds in trust until the issue is resolved or a satisfactory lien discharge is filed.
• You can insist the seller cure the defect before funds are released, or negotiate a reduction/holdback to cover the risk.
• For serious or unresolved defects, your contract conditions allow you to walk away and recover deposit funds.

Why local expertise matters in Milton

Milton has rapid growth, new subdivisions, conservation authority lands, and mixed old/new title histories. Local lawyers and agents know common developer clauses, subdivision covenants, and municipal quirks in Halton Region. That knowledge prevents delays and unexpected cost.

Trust play — how Tony Sousa protects Milton buyers

Tony Sousa partners with experienced Milton conveyancing lawyers, orders the right municipal checks, and enforces title conditions in purchase agreements. He also helps buyers evaluate title insurance and survey needs so you don’t overpay or under-protect yourself.

Contact Tony at tony@sousasells.ca or 416-477-2620 for a trusted local guide and a recommended conveyancing lawyer in Milton.

FAQ — Quick answers every Milton buyer wants

Q: How long does a title search take?
A: A basic parcel register pull is fast (same day). Full searches and municipal checks usually take 48–72 hours. Complex cases take longer.

Q: Is title insurance required in Ontario?
A: No. It’s optional but highly recommended. It’s low-cost relative to the protection it provides.

Q: What does a status certificate cost and how long does it take?
A: Expect $100–$200 and 10 days in many condo corporations. Make it a condition of your offer.

Q: Can a seller sell if there’s a mortgage on the property?
A: Yes — but the mortgage must be paid out (discharged) at closing, or arrangements must be made. Your lawyer will confirm payoff figures.

Q: What if an easement appears on title that I didn’t know about?
A: Your lawyer will point it out. Decide if it’s acceptable. If not, you can negotiate with the seller or walk away if your contract allows.

Q: Do I need a survey in Milton?
A: Not always. If you plan major changes, want to confirm boundaries, or there are visible encroachments, get a survey or real property report.

Q: Can I do any of this myself?
A: You can review documents, but the legal title opinion and searches should be handled by a licensed Ontario conveyancing lawyer.

Q: How much will this cost me?
A: Lawyer fees vary. Title insurance is often a few hundred dollars. Searches and municipal checks are modest. Compare the small cost to the potential thousands a title defect could cost.

Confirming clear title in Milton is not complicated when you follow a plan. Engage a local lawyer, order the right searches, buy title insurance, and make your offer conditional on a satisfactory title opinion.

Want a checklist emailed and a recommended Milton conveyancer? Email tony@sousasells.ca or call 416-477-2620. Tony Sousa — Milton real estate with no surprises.