A real estate lawyer is a valuable asset when buying or selling property. Various contracts are involved in this transaction, often including mortgages and other contingencies.
A lawyer specializing in real estate law can help you understand the unfamiliar paperwork and legal terms and ensure that your transaction adheres to all rules and regulations.
Preparation of the Purchase Agreement
Many real estate transactions involve the negotiation and signing of a purchase contract. While it is possible for both parties to write up their agreement or use a pre-printed form, a real estate attorney will create an original document tailored to your transaction’s needs and ensure that the contract protects you.
This includes establishing contingencies that everyone must meet before the sale is finalized. For example, a buyer may agree to inspect the property by a professional and secure financing within a specified period. A lawyer can also help you establish a deposit amount and a dispute resolution process. You can get legal assistance for your real estate needs if you visit this website.
Real estate attorneys also draft and review additional documents related to the sale, such as a deed and title and transfer documents, along with any agreements with your lender or other third parties. They may also be responsible for attending the closing, either virtually or in person. Some states require the presence or participation of a real estate attorney for closings.
Preparation of the Closing Documents
The final steps in a real estate transaction involve signing and closing the sale. A New York real estate lawyer will help prepare the necessary documents to ensure this portion of the process goes smoothly.
This includes ensuring that the property’s title is clear of claims or doubts about ownership (such as liens placed by the IRS or local government for back taxes or by contractors who did work on the home). Real estate lawyers can also review and approve a name affidavit to verify the identity of the parties involved in the closing.
In addition to preparing standard contract terms, a real estate attorney can guide unique financing arrangements (such as owner financing or lease purchase). They will also assist in calculating various costs, such as transfer taxes and insurance.
Examination of the Property’s Title Report
A title report is the best way to determine whether a property’s ownership is legitimate and whether a seller can legally sell it. It includes a history of title transfers and changes, including owners’ names, mortgages or liens, and easements on the property.
A preliminary title report provides a snapshot of the current status of real estate taxes for the property, indicating whether they have been paid, remain unpaid, or are coming due. It identifies encumbrances, such as unpaid judgments or liens and recorded easements, that may affect the purchaser’s future use of the property.
A title officer will examine the property’s title for any defects or ambiguities. These things could call into question the legitimacy of a property’s ownership or cause problems down the road, such as an easement on the property where someone uses their private land to access public property. An experienced real estate lawyer can identify these issues and work to resolve them during escrow so the sale can close smoothly.
Preparation of the Property Deed
The property deed is a document that transfers ownership rights in real estate between parties. Different types of acts offer different levels of protection to buyers and sellers.
A deed can be official, as in a court-approved transaction, or private, as in a deal between two parties. It must be in writing and contain certain essential elements. It may name one or more persons as grantors or recipients of the title, or it can be a corporation, limited liability company (LLC), partnership, or other entity.
The document should also clearly indicate that it’s transferring ownership in exchange for something valuable, usually specifying the sale price. If the deed is a general warranty deed, it assures that the seller has a clear title and can sell the property without any issues with previous liens. A special warranty deed provides less protection, and a quitclaim deed offers no guarantees. A real estate attorney can advise on the type of deed best for a particular situation.
