[buildup]

Is it customary to write a cheque for the closing amount on a property to one's real estate lawyer to be placed in an account in HIS name "in trust" before it goes to the developer? This is a sole practioner lawyer who was referred to me - he's not part of some big legal firm.
Seems sort of risky?

 

[Urban Newbie]

My experience is limited to my own purchase a couple of years back, but I didn't give the cheques to MY real estate lawyer. I gave them - post-dated - to the developer. When each day came for a deposit to be do, the money would disappear from my account and a letter would arrive from the DEVELOPER'S lawyer informing me they had cashed the cheque, the money was being held in trust etc. etc. But then, that's for a pre-construction (2 years out) condo. What's your situation?

 

[dpylyp]

Deposit Monies

All funds deposited in Trust to the Lawyer are governed by the Law Society. Big or Small they deposit them all.

Trust accounts also receive mortgage money on your behalf to be paid to the developer / seller.

Each transaction includes a law society fee to cover their insurance.

 

[Petra]

I think it's a common practice. I wrote checks to some laywers for my Minto loft. Then the lawyer will send you confirmation letters that he/she received the checks in time. For example if you write pre-signed checks for Jan 1, March 1, June 1, etc, you will get confirmation letters at least a week or two after those dates, stating that the lawyer has received the fund and he/she holds the money in a trust account, with an account number, bank name and address/phone number

Of course, it's also another common practice that you take all the receipts and copy of the checks to your own lawyer. Usually real-estate lawyers have some knowledge about other real-estate lawyers