Working With Your Real Estate
Attorney
by: W. Troy Swezey
Purchasing or selling a home will probably be one of
your largest and most important financial transactions.
Before signing a contract to purchase or sell a home,
both buyer and seller should consult an attorney to
assure that the real estate transaction will be handled
legally and professionally.
Although an attorney is not a required part of the
process, particularly in many states where escrow
companies will attend to all closing transaction
details, an attorney can protect your interests and help
you resolve any potential legal problems before entering
a legally binding contract.
Sometimes buyers feel the need to sign a contract
quickly and don’t have time to initially consult an
attorney. In these cases, buyers can include language in
the contract that will allow their attorney time to give
final approval on the agreement – usually within three
to five business days. This allows both buyers and
sellers to expedite the contract process without fear of
inadequate legal representation.
Sellers and buyers alike should familiarize
themselves with the real estate transaction process
before selecting an attorney. Learning the formal steps
in the transaction will help buyers and sellers choose
the right attorney and proceed with confidence.
Throughout the process, attorneys should attend to a
variety of responsibilities, including consultation
prior to the signing of the contract, preparing or
approving the contract, examining documents and
supervising the closing of the transaction.
The attorney should be responsible for preparing or
evaluating documents which may be necessary for
completing transfer of the property. There are usually
several documents to prepare in any real estate
transaction, and the attorney can evaluate and explain
each document to the buyer or seller whom he or she
represents. The deed, the bill of sale, mortgage,
promissory note, title commitment and the closing
statement are only a few of the important documents that
an attorney should review with the seller or buyer prior
to the closing.
One of the attorney’s most important
responsibilities in the real estate transaction is to
determine the condition of the seller’s title to the
property. Through this process, the attorney will
discover if the seller is the legal owner of the
property and if there is an unpaid mortgage or lien
which must be settled before the title to the property
can be properly transferred. The attorney will also
discover any restrictions or easements which are on the
property and the status of any unpaid property taxes or
assessments.
The buyer, the seller and their attorneys usually
appear together at a final meeting to review all closing
documents. As this meeting, usually referred to as the
“closing,” the attorneys help explain, sign and
exchange the documents and approve or clear up any
remaining financial matters relating to the transaction.
After the transaction is closed, an attorney will attend
to any final details such as properly recording the
deed, mortgage or other necessary documents and issuing
title insurance policies.
Many attorneys are specialized, and it is important
that you choose one who knows real estate terminology
and real estate transaction processes. Before hiring
someone, you should discuss all the details of the
transaction with your possible candidate, including all
legal costs you will incur.
The attorney’s duty in any real estate transaction
is to provide legal expertise. Through sound advice and
thorough execution of all legal responsibilities, a good
attorney will help you complete your transaction swiftly
and with confidence.
|
