Dates in a Vancouver Real Estate Transaction – Offer Acceptance, Subject Removal, Completion Date, Possession Date & Adjustment Date

Dates in a Vancouver BC Real Estate Transaction

Updated on January 6, 2024, by Mike Stewart PREC

The Five Important Dates in a BC Real Estate Transaction

They are the:

• Acceptance Date
• Subject Removal Date
• Completion Date
• Possession Date
• Adjustment Date.

Please see below for a detailed explanation of all of these dates.

The Acceptance Date Meaning

The first is the date of acceptance. This is when the buyer and seller agree to a price and conditions. Most offers are conditional, meaning the buyers agree to buy if they are satisfied with the condition of the home, the documentation associated with the home, and any other conditions in the contract. The buyer is usually given a week to satisfy their conditions, but this can vary depending on the deal.

Subject Removal Date Meaning

The end of the conditional period when the buyer removes the conditions from their offer is referred to as the “Subject Removal” date (conditions are sometimes to referred to as subjects).

This is the next important date for a real estate transaction.

By removing the conditions, the buyer agrees to pay the purchase price on the Completion unconditionally.

It is the buyer’s responsibility to get a building inspection, inspect the home’s documentation, finalize their financing, and fulfill any other conditions before the Subject Removal Date. If the buyer does not fulfill these conditions or remove the subjects, the deal will collapse automatically.

Completion Date Meaning

In British Columbia real estate transactions, the Completion Date is when the buyer pays the purchase price and becomes the registered owner of the property.

It is also the date when the seller receives the purchase price and gives up ownership of the property. The transfer of ownership occurs when the title is transferred at the BC Land Titles Office.

The Possession Date is when the buyer can move into the property and the buyer generally DOES NOT MOVE IN ON THE COMPLETION.

Understanding the distinction between the Completion Date vs Possession Date in BC is crucial for a smooth transaction.

Move in is on the possession date (see below for details).

Possession Date Meaning

In real estate, the possession date refers to the specific day when the buyer is entitled to take physical possession of a property and move in. This date is mutually agreed upon by both the buyer and seller during the contract negotiations and is typically outlined in the purchase agreement.

It’s important to note that the possession date may differ from the completion (or closing) date, which is when the legal title of the property is transferred to the buyer.

Often, the possession date occurs shortly after the completion date, allowing time for final preparations. The exact time of possession can vary, but it’s commonly set around 12 noon on the agreed-upon date, unless both parties decide otherwise.

On this day, the seller is expected to have vacated the property, ensuring that the buyer can take full possession and begin their occupancy.

Adjustment Date Meaning

This usually falls on the same date as the possession date and is the day on which the buyer becomes responsible for the insurance and property of other tax on the home.

When do they Occur?

When these dates occur, it is completely negotiable between buyer and seller.

They can be set a day apart from each other or a year apart, but they must come in the order that you see them above (Possession and Adjustment can come on the same day).

These dates are specified in the offer document that becomes the accepted offer once both seller and buyer agree to the terms in writing.

Real Estate Dates Frequently Asked Questions

What is a Possession Date in Real Estate?

The possession date is the day you take physical possession of the property, meaning you can start moving in. This date is crucial because it marks the beginning of your responsibility for things like utilities, maintenance, and property taxes. It is agreed upon in the purchase contract and is typically set for a few days after the date of completion.

What Happens on the Completion Date in BC?

On this date, the property’s title officially transfers from the seller to the buyer, and the funds are exchanged. This is when the sale is legally complete, and all necessary paperwork is signed and registered. While the buyer may not yet physically move in, they become the legal owner of the property.

What is Subject Removal in Real Estate?

Subject removal refers to the process where the buyer confirms that all the conditions (or subjects) in the purchase contract have been met. This might include securing financing, completing a home inspection, or reviewing strata documents. Once all the subjects are removed, the contract becomes legally binding, and both parties commit to completing the transaction.

Completion Date vs Possession Date: What’s the Difference?

The Completion Date is when the transaction is finalized, meaning all the legal documents are signed and the title is transferred. The possession date is when the buyer receives the keys and can take physical control of the property. These dates are often close together but are distinct events, especially in British Columbia where possession may happen a day or two after closing.

What is a Completion Date in Real Estate?

The completion date is the day when the sale of the property is finalized. This is when the buyer’s funds are transferred to the seller, and the property title is officially registered in the buyer’s name. This date is important because it is when legal ownership changes hands. Often referred to as the completion.

What Does Subject Removal Date Mean?

The Subject Removal Date is the deadline by which the buyer must fulfill all conditions (subjects) listed in the purchase agreement. Clarifying the Subject Removal Date meaning helps buyers understand their obligations in the transaction process

Here are examples of subjects that are typically added to a purchase contract and then removed once the purchase is satisfied:

• Inspection
• Financing
• Documents
• Legal Advice
• Accounting Advice

Once the subjects are removed, the contract becomes firm, meaning both parties are legally obligated to proceed with the sale.

What is the Difference Between Completion Date and Closing Date?

In British Columbia, the completion date is when the property title is transferred and funds are exchanged, while the closing date often refers to the day when all legal documents are signed. These terms are sometimes used interchangeably but can have different meanings depending on local real estate practices. In BC, the completion date is more critical as it marks when legal ownership is transferred.

What is the Subject Removal Process?

The subject removal process involves fulfilling the conditions set out in a real estate offer, such as financing, inspection, or other contingencies. The buyer has a set time to meet these conditions, and once satisfied, they formally remove the subjects, making the contract legally binding. This is a crucial step in BC real estate transactions.

What is the Closing Date in a Real Estate Transaction in BC?

In British Columbia, the term Closing Date for a real estate transaction is not used. In BC, the Closing Date is the Completion. (see above)

Dates in a Vancouver Real Estate Transaction

Understanding the key dates in a real estate transaction is crucial for both buyers and sellers. These dates, which include the Acceptance, Subject Removal, Completion, Possession, and Adjustment, serve as milestones that guide the transaction process. They ensure that all parties are on the same page and help prevent misunderstandings. While the specifics can vary, the sequence of these dates remains consistent, providing a structured framework for real estate transactions. This knowledge empowers individuals to navigate the complex world of real estate with confidence, making the process more transparent and manageable.