The process of buying a home is simultaneously exhilarating and frustrating. Prospective buyers may feel intense excitement and even joy when they find a property that fits their needs and falls within their budget. Then, there is the feeling of victory that comes from a seller accepting an offer on the property.
However, the process of bidding on properties and then waiting to sign the documents can be quite slow and frustrating. The process can be so drawn out and complex that buyers fail to recognize their need for support. They may try to handle the transaction on their own or only with the assistance of a real estate agent. For many people, having a lawyer involved is the best protection possible during a residential real estate transaction. The following are three of the distinct points in the purchase process where a lawyer can be beneficial.
When making an offer
An offer on a piece of real estate is a binding document. If the seller accepts the offer, the buyer must follow through with the transaction or risk the loss of their earnest money. Having a lawyer assist with putting together an offer ensures that the buyer includes the right contingencies and other protective terms to reduce their risk during the transaction. Using the boilerplate documents provided by a real estate agent might mean that a buyer has inadequate protection.
When reviewing counteroffers and closing documents
Sellers sometimes respond to a buyer’s offer by proposing slightly different terms. Small changes in the language of an offer can drastically alter the terms of a real estate transaction. Buyers may need assistance reviewing a counteroffer proposed by a seller. They may also need assistance reviewing the final closing paperwork, including their mortgage documents. An attorney can identify problematic inclusions in contracts and help ensure that buyers understand the terms of the transaction.
When performing a title search
The title history of a property shows who has an ownership interest in the property, who has a lien against the property and who has easement rights related to the property. Having the support of an attorney during the title research process helps ensure that buyers identify any potential title issues prior to the transaction and can effectively protect the investment that they make. Many large title companies rush through the title research and curative processes, which may mean that there are oversights that could impact someone’s ownership rights in the future.
Partnering with a real estate attorney early in the transaction helps to protect buyers from the risk inherent in making an offer on a property and acquiring real estate. Buyers who have the right support can feel more confident about moving assertively when they find the right property.
