Why You Need A Real Estate Lawyer Before Buying A Home
Buying a house is a considerable chapter in any person’s life. Buyers typically approach real estate agents to help them find the home of their dreams. Sellers also deal with the complicated process that involves legalities in transactions that fall under state and local regulations.
Fortunately for both, real estate lawyers can close a deal step by step. This article will discuss why working with a real estate attorney when buying a residential property can help you get to the finish line.
1. Provides Clarity Over Vague Or Unclear TermsHomebuyers fall into a trap when buying a house due to the paperwork that contains complex legal terms. Brokerage agreements, for example, are forms that sellers may sign. Still, this document is critical in protecting all parties involved from legal issues.
Broker agreements also vary from one state to another, which makes sense to work with a local real estate lawyer if the house you want is in a separate state. Law firms like Prudent Law have experienced real estate lawyers who can help sellers avoid paying brokerage commissions even if a sale doesn’t proceed.
However, this scenario doesn’t often occur because states prohibit brokers from claiming unearned commissions. A written agreement with your broker is still worth ensuring you’re on the same page.
Most experts recommend prospective buyers seek a real estate lawyer when a broker agreement is involved. Your lawyer can explain to you the legal terms in your copy. They can also help you revise it if needed.
2. Proceeds With Title SearchA title search is among real estate lawyers’ primary services. Real estate lawyers must ensure that the house you want is free from a judgment lien. A judgment lien gives creditors the right to claim property, such as a house, if an owner fails to fulfill contractual obligations, such as repaying a debt.
These situations make a title search necessary. It will reveal if the seller has the legal right to sell the house. Real estate lawyers may also work with title search companies.
For example, suppose a title search revealed an active court judgment or the sellers must first pay a lien. Your lawyer can negotiate a lower price since the lien can delay the sale of the property. The lawyer may offer the seller suggestions or financing sources to satisfy claims.
3. Reviews Home Inspection DocumentsMost of the time, property deals are closed in good faith, and both seller and buyer cannot cheat each other. But it doesn’t hurt to do your homework and enlist the help of a real estate lawyer while buying a house.
The process involves mandatory legal disclosures and home inspections, which is crucial as it will influence your decision to proceed. You will need your real estate lawyer to ensure the seller won’t offload their problem by hiding it in the contract.
An experienced real estate lawyer will see familiar signs of dishonesty in the disclosure document or the home inspection report. They also have the experience to discern the meaning behind paperwork with tons of jargon.
4. Present At ClosingsWhen closing the deal, it helps to have a professional real estate lawyer by your side to see through the whole process. You’ll also work with the real estate broker, lender’s lawyer, title closer, and seller.
The closing process involves different technical and legal terms. It can be troublesome for the buyer and seller if they cannot understand the specific wording in the closing. Attending the closing with a real estate lawyer can empower you and help you secure your right as the buyer.
Disputes about the adjustments, costs, and taxes could occur during the closing. Attending this part of the process without a lawyer could put you at a disadvantage. The seller might also believe you’re dodging critical issues regarding possession of the property.
A real estate lawyer can represent you and your best interest. Their knowledge and expertise are crucial if the closing fails and you need more information regarding the home’s down payment. The homebuyer will also know whether the lawyer can hold the down payment in escrow. That also includes knowing what payment alternatives for a down payment are allowed.
TakeawayA real estate lawyer by your side before buying a home is crucial in the process. They can clarify broker agreements and paperwork, perform a title search, review home inspection or disclosure documents, and be present during closing. They know more about your state’s real estate laws and can guide you throughout the buying process.
Do You Need An Attorney?
If so, post a short summary of your legal needs to our site and let attorneys submit applications to fulfill those needs. No time wasted, no hassle, no confusion, no cost.