Legal Help With Home Buying

Buying a home is a highly emotional purchase. People usually choose one home over others because they feel a strong connection to the property. But a home purchase is also a serious legal undertaking with real deadlines, criteria and procedures. That is why many buyers retain the service of a real estate attorney.

 

When you are buying a home your lawyer should do the following:

• Consult with you and review the purchase contract. In some states, once the contract is signed by both parties, it is a binding legal document. In other states, such as New Jersey, a grace period called attorney review lets the buyer’s lawyer review the document for three days and then accept or reject the agreement. It is always a good idea to include a contingency in your offer that says you would like an attorney to review the contract. The contingency should allow you to walk away from the deal if your attorney advises against the purchase.

• Conduct a title search. A real estate attorney should oversee a title search for the property in question. You must be sure there are no liens, easements or other claims on the property. An attorney may also arrange for title insurance. This is protection most lenders require. Title insurance protects the buyer and / or the mortgage company should a defect in the title be discovered.

• Oversee your closing. A real estate attorney should ensure that all filings, documents and payments are in order for your closing. In addition to preparing this paperwork, your attorney should offer explanations for all the required documents and signatures.

The breadth of work performed by a real estate attorney varies from purchase to purchase. It’s a good idea to discuss the scope of work you want performed up front. This will help you gauge how much you will owe in attorney fees, which are payable at the closing.

The preceeding article is an excerpt from my monthly e newsletter, Life @ Home, which I send to clients, friends, and networking acquaintances. The newsletter is just one page long and contains helpful information on buying, selling and owning a home, as well as some other short helpful tips. If you would like to subscribe to this newsletter, just drop me an email and I will add you to the distribution list.