Home buying attorneys can make the transaction go more smoothly and protect you from potential legal liability. A lawyer can ensure clear title to the property is acquired as well as ensure a valid mortgage insurance policy exists for the lender.
Your attorney can also review and offer pre-signatory counsel on a purchase contract, and attend closing to explain all aspects of your transaction.
Negotiation
Home buying often requires multiple negotiations. An experienced real estate agent is best equipped to guide these discussions and can help devise a game plan and anticipate what kind of response a seller might give to your initial offer.
Understanding why a seller wants to sell is also critical when making your offer; for instance, their children might have moved out or they need to move for work may provide more flexibility during negotiations. Understanding these motives gives more room for flexibility.
Attorneys can also be invaluable allies during the buying process, helping resolve any legal issues that might arise during closing and identify any problems with ownership rights or title liens that need to be paid off prior to closing. Furthermore, attorneys provide advice about tax implications associated with purchasing real estate and can even handle closing proceedings if needed – helping avoid costly errors that could delay or derail your home purchase decision altogether.
Contracts
Home purchase agreements are legally-binding documents that outline all the key details of real estate transactions, from offers and sales prices to contingency clauses that must be satisfied before finalizing sales transactions.
Contingencies typically include an appraisal contingency, which ensures that the appraised value exceeds or equals the agreed-upon purchase price, financing contingencies and title searches to confirm clear ownership by the seller.
Home buyers in New York can enlist the assistance of a lawyer to draft and sign a purchase and sales agreement, outlining all terms of sale as well as full names of parties involved. When signed, buyers must deposit what is known as a “contract deposit”, typically 10% of purchase price; this deposit will then be held by the sellers’ attorney until closing day and held as an escrow account deposit by them until then.
Closing
Closings (or settlements), also referred to as home settlements, serve to fulfill all contractual obligations between you and your seller so that ownership can legally transfer. A typical closing usually involves you, your attorney, a title closer, an attorney representing your lender as well as other interested parties such as realtors and mortgage companies.
Attorneys review documents during the closing process to make sure that the property is free from liens and has no other issues that need addressing. They also conduct surveys to make sure it does not infringe on neighbors’ properties.
Hire an attorney who has enough experience to manage any potential complications during the transaction, such as disputes over repairs or title issues, ensuring you pay the correct taxes and fees at closing, etc. Once you find one, give them all of your paperwork immediately for their review.
Discrimination
Federal and state laws protect homebuyers from discrimination based on race, national origin, religion, sex, family status or disability. Discrimination can come in various forms – for instance a homeowner refusing to sell to members of a racial minority (which violates federal housing law), or a mortgage lender rejecting an application due to gender or familial status issues.
Real estate agents may be guilty of housing discrimination by encouraging or aiding in the sale or rental of dwellings that violate the Fair Housing Act. Steering is one such form of housing discrimination in which real estate agents steer clients away from communities based on protected characteristics such as race.
An issue could arise if a White homebuyer discovers their real estate agent is withholding listings in predominantly black neighborhoods that match their price range and other criteria, even when these areas meet these parameters. A lawyer should investigate whether such actions constitute discrimination.