When Do I Need a Real Estate Attorney in a Property Transaction?
Real estate law is a complex field and can be difficult to navigate without the help of an experienced legal professional. A good lawyer will be able to help you understand the ins and outs of your purchase and avoid common pitfalls that can cause problems down the line.
If you’re buying or selling a home, your lawyer will work with the seller’s and buyer’s agents to draft the contract of sale and review it before it is finalized. They’ll also negotiate repairs, arrange for a title search and ensure the closing process is smooth and timely.
When to Hire a Real Estate Lawyer
If your state requires real estate attorneys to be involved in the transaction, it makes sense for you to consult one. Your lender may require a lawyer to participate in the process as well, and that’s another reason it’s a good idea to have an attorney present.
You can also ask your lender to give you a list of lawyers in your area, or check online reviews for legal services. These reviews will be based on the experiences of other people, so it’s a good way to find out if the person you are considering is a good fit for your needs.
Do I Need a Real Estate Attorney in Every Property Transaction?
There are times when it makes sense to hire a real estate attorney for every property transaction. For example, if you are buying an investment property, a real estate lawyer can help you navigate tax considerations. You can also hire a real estate attorney to handle any other issues that arise in the course of the transaction.
When Do I Need a Real Estate Attorney for a Condo or Co-op?
Before you sign a lease for a new co-op or condo, your attorney should conduct due diligence. This means doing a thorough background check on the building, including reviewing the board minutes and financial statements. It can be time consuming, but it will save you money in the long run.
A lawyer will also look for any potential issues, such as a bed bug infestation or leaky roof. If these things aren’t discovered and reported to the seller early, you could end up paying for them down the road.
Your attorney will prepare the contract and add any extra terms that will be beneficial to you, such as mortgage contingencies or a sales contract that’s contingent on the sale of an existing property. They will also work with the sellers’ and buyers’ agents to ensure the contract is fair and that no unexpected problems arise at closing.
In some states, the contract can be drafted by the real estate agent or notary, but in others it will need to be a formal document that can’t be negotiated by anyone else. Then, the lawyer will review it and ensure that it’s legally valid before allowing the buyer to sign it. Then, a title search will be performed to ensure that the title of the property matches the information in the contract. During this phase, the lawyer will meet with the buyers and sellers to discuss any concerns they have and make sure that all parties are happy with the results of the title search. This process can take a couple of weeks to complete and can be a lengthy procedure that involves many different parties.
