Four reasons why it is cheaper to hire a real estate lawyer
People starting out on the complicated path of real estate transactions often wonder if they will need a real estate attorney to get to closing. People on the buyer’s side often wonder if they can simply trust their real estate agent and avoid the added cost of a legal expert. Although each state has different requirements, here are four universal reasons why having an attorney guide you through your real estate deal can ultimately be more profitable.
1. You are an out of town shopper
Buying a home when you’re out of town and unfamiliar with the local rules and customs of your new town can be overwhelming. Once you find your dream home, a real estate lawyer can be essential in negotiating and executing the contract, helping you find the best mortgage and also closing the mortgage. Mistakes that occur during the checkout process always have the potential to result in the loss of your deposit and could even cause you to incur substantial legal fees if litigation were to occur.
2. You are in a hurricane, flood or tornado zone
If you are in a hurricane, flood, or tornado area, you may need an attorney to guide you through the terms of any required supplemental homeowners insurance. The number of forms that need to be signed when you buy a home can be overwhelming, and if you’re not careful, you could miss something important. For example, in some cases you may be required to purchase supplemental homeowners insurance, such as flood insurance. Hiring someone with legal experience can help you avoid confusion that could derail your ability to qualify for a mortgage.
3. The land is owned by the bank
If you’re trying to buy something owned by a bank, you might be excited by the prospect of getting a good deal, but contract negotiations can be long and complex. A lawyer can be essential during these negotiations and to make sure that the house you are looking for is competitively priced. Additionally, bank-owned homes are generally sold “as is” and may have defects that would be expensive to repair. Working with legal counsel can help you research the bank’s price, as well as potential costs associated with repairs.
4. The Property Has Exterior Improvements
If the home you are looking for has had lot improvements, such as a pool, fence, garage, or outdoor shed, it may be necessary to have a real estate attorney review the deed and perform a lot inspection. A survey can ensure that all improvements were built correctly and to code, as well as ensure that nothing is trespassing on your neighbor’s property. Without a survey, you may incur expenses after you move and realize you are breaking your neighbor, or you may need to rebuild something that is not up to code.
Considering all the intricacies involved in becoming a homebuyer, once you’ve started the process, you’ll likely be relieved to have a real estate attorney on your side.