Affidavit Of Consideration For Use By Seller Template for Canada

When you're selling real estate in Canada, you'll likely need to complete an Affidavit of Consideration for Use by Seller as part of the property transfer process. This sworn legal document serves as your formal declaration of the complete consideration received for the property sale, ensuring transparency and compliance with Canadian property transfer laws.

When do you need this document?

You must prepare this affidavit whenever you're transferring real property in most Canadian jurisdictions. The document is typically required when registering the transfer with your provincial land titles office, alongside the deed or transfer document. Real estate lawyers often request this affidavit during the closing process to ensure all legal requirements are met. If you're selling through a real estate agent, they'll usually inform you about this requirement early in the transaction process. Corporate sellers and estate representatives also need this document when transferring property on behalf of entities or deceased persons.

Key legal considerations

Your affidavit must contain a complete and accurate declaration of all consideration received, not just the stated purchase price. This includes any additional payments, assumption of debts, or value exchanges that form part of the transaction. Under the Criminal Code of Canada Section 131, making false statements in this sworn document constitutes perjury and can result in serious legal consequences. You must identify yourself clearly with your full legal name, address, and occupation, and specify your authority to make the declaration as the property seller. The property must be described using its complete legal description as it appears on the title documents, not just the municipal address. Remember that this document becomes part of the public record once filed with the land registry office.

Legal requirements in Canada

The Canada Evidence Act governs the proper execution of affidavits, requiring that you swear or affirm the contents before an authorized person such as a Commissioner of Oaths, Notary Public, or lawyer. Your provincial Commissioners for Taking Affidavits Act sets out who can administer the oath and the proper procedures that must be followed. The affidavit must comply with your provincial Land Titles Act requirements for supporting documentation in property transfers. Land transfer tax calculations in most provinces depend on the consideration declared in this document, making accuracy essential for proper tax assessment. You should retain copies of the executed affidavit for your records, as title insurance companies and legal representatives may request this documentation for future reference. Some provinces have specific formatting requirements or prescribed forms that must be used, so verify local requirements before finalizing your affidavit.