Buying a home is an iconic part of the American dream. Especially if someone has always been a renter previously, they may become very excited at the prospect of buying their next residence. Home buyers often have a list of property characteristics that are necessary and also a wish list of ideal features.
If they find a property that seems to meet all of their needs and fulfills many of their wishes, they may make an offer in the hopes of purchasing the property from the seller. It is very easy for aspiring home buyers to let their enthusiasm lead them astray. Even though those partnering with real estate agents can make mistakes that leave them legally or financially vulnerable. As such, many home buyers benefit from working with a lawyer during the home buying process. A lawyer’s assistance can mitigate the risk involved in acquiring real estate.
Real estate contracts are complex
The first way in which a real estate lawyer can benefit a client is through education. Attorneys can teach buyers about their rights, such as the right to full disclosure of known defects from the seller.
The second form of support that lawyers offer relates to the agreements people sign or draft. Offers on properties and purchase agreement negotiated with sellers often include numerous confusing terms. Buyers and their agents are often so eager to make a competitive offer that they fail to properly customize the contract for optimal protection.
For example, appropriate contingencies are crucial inclusions in any offer to purchase real property. Contingencies are clauses that give the buyer a chance to cancel the closing without endangering their earnest money. Earnest money funds represent thousands of dollars in most cases and our vulnerable if the buyer cancels the closing without appropriate justification.
Contingencies included in a purchase agreement or initial offer allow a buyer to cancel the closing without a financial penalty circumstance. Contingencies related to inspection issues, low appraisals or financing challenges give buyers an opportunity to protect themselves during a major transaction.
Lawyers can help with negotiations and preparation
A lawyer can also potentially play a role in the title review process. Attorneys understand how to read the title history for a property and can potentially catch red flags that buyers may not spot. A lawyer can also assist a buyer when negotiating certain details with a seller. Particularly when issues arise between signing an agreement and signing the final documents, a lawyer’s assistant can make a major difference. Proper representation can help buyers minimize their exposure while maximizing their contractual protection.
Attorneys help people draft customized documents and recognize when issues with a real estate transaction might make it a bad choice given personal circumstances. The right support can prove invaluable for those embarking on the largest transactions of their life.
