Homeownership is a dream for 73 percent of Americans. When you’re on the verge of fulfilling your dream, hiring a real estate lawyer is usually the last thing on your mind.
Real estate has become a complex area of law due to considerable legal and regulatory changes in recent years. There may be local and county laws that affect the transaction in addition to federal and state laws.
During a typical real estate transaction, various concerns can develop. Consider consulting a real estate lawyer before signing a contract to sell or buy a property to better prepare yourself to deal with various concerns such as title insurance, home inspection, and mortgage approval.
Aminov Law Group outlines the advantages of hiring a real estate attorney early in the process of purchasing a home.
How a Real Estate Lawyer Can Help You
Negotiation Purposes
Property acquisition requires a big financial investment and it’s difficult to negotiate if you don’t have a clear mind and an unbiased perspective. Negotiating is indeed a big part of what real estate lawyers do. They can act as a neutral party.
Their understanding of the complexities of law and negotiations may make it easier for everyone to come to an agreement. That means they’re in a far better position to get you a fair deal.
Reviewing and Drafting Contracts
Individual real estate transactions aren’t always simple, but they do seem to follow a pattern. It can be quite complicated when a trust, corporation, or other major legal body is involved in a real estate transaction. You might find it more difficult to negotiate with such enterprises.
Any real estate purchase or sale involves a significant amount of paperwork. Among the most common documents are:
- Appraisals
- Disclosures
- Sales contracts
- HOA documents
- Home inspection reports
While your mortgage lender or realtor can assist you in navigating the terms of the transaction, they are not lawyers who specialize in real estate or contract law. The majority of them will recommend a standard, pre-written contract with a few fill-in-the-blank sections for information.
Real estate lawyers can write a deal-specific contract that addresses all facets of the transaction. They can also do it without including boilerplate terms that may not help anyone. Likewise, they can look through any contract you’ve received and pinpoint any errors.
You’ll need a real estate lawyer who can understand or draft a contract that addresses such legal issues. This protects all people involved and ensures that the transaction is completed.
Liens and Title Searches
Title searches and liens are required before any real estate transaction can be completed. This procedure ensures that the property is free of any financial claims. It also guarantees that the seller has the legal authority to sell the property.
A qualified real estate lawyer can help you in various ways throughout the process. They can, at the very least, perform the searches for liens and titles. The purchase will proceed if everything is in order.
If they find an outstanding lien on the property, they can assist you in resolving the issue so that the transaction can proceed. If a problem with the title arises, they can also assist you in solving the problem or in negotiating a resolution.
However, if they can’t fix the problem, they can tell you whether a potential sale or buy isn’t worth it. This can help you save money, time, and hassle.
Proper Filings
You must file a new deed with the county whenever the ownership of the property changes. Although your bank or mortgage lender can usually help, a deed is a legal document. You don’t want an error at the bank to give you problems later.
Real estate lawyers ensure that the deed complies with all legal requirements and complete the process faster. Hiring a lawyer at this point in the process is entirely for your peace of mind.
Reviewing Home Inspection Documents
The majority of real estate transactions are done in good faith by both parties involved. Neither the buyer nor the seller is attempting to deceive people. That doesn’t mean you shouldn’t do your research before buying the property.
This is why property sales are accompanied by mandatory home inspections and disclosures. A real estate lawyer can spot red flags in a dodgy disclosure document or house inspection. They’ll also know how to decipher a jargon-filled report to help you better understand it.
Closings
A property’s closure is a long process that includes things like filing a deed and addressing any remaining issues. You’ll be accompanied to the closing by your real estate lawyer. You’ll sign the legal documents and go through the finances in detail.
For example, let’s say a problem with the roof was discovered during the home inspection. Your lawyer may be able to negotiate a price reduction to meet the costs of a new roof installation.
A closing document might also be prepared by your lawyer. It serves as a tally sheet for all financial transactions made throughout the selling process. For example, it may include:
- When and how much initial money was paid out by the buyer
- When the escrow account was funded
- When the final payment was received by the seller
If your lawyer drafts this agreement, you may rest assured that it will comply with all applicable legal requirements at the time of the transaction.
Real Estate Lawyers in New York City
Some people are hesitant to hire real estate lawyers due to the obvious additional cost. However, the advantages far exceed the disadvantages.
Your lawyer will be able to negotiate on your behalf. Contracts for specific deals can be drafted or reviewed by them. They can also ensure that the paperwork is properly organized and filed.
In general, you need a real estate lawyer to protect your interests and provide competent legal advice throughout the transaction.
If you’re looking for a new home, the Aminov Law Group is a New York City-based firm that focuses on real estate transactions and provides legal solutions to your problems.
Contact us today to schedule a free consultation regarding your real estate transactions.