“Why should I pay for something when I can do it myself – for free?” That’s the question most people ask when someone suggests hiring a real estate attorney. Here are five compelling reasons to rethink this question.
1. Contracts Are Complex
There is absolutely nothing to prevent the buyer and seller from negotiating the terms of the agreement on their own. But to make it legally binding, they had to enshrine their agreement in writing. In addition to copying the actual contents of the contract, an experienced attorney will also ensure that the contract complies with all state laws. While it’s true that real estate agents can help with standard contracts, they may not have the necessary legal knowledge or experience to catch serious wrongdoing before a deal is finalized. Because of this, it is often a good idea to have the contract reviewed by an attorney before either party signs it.
2. Liens Might Be a Problem
Anyone can put up a “for sale” sign, but not every owner has the right to sell. Because they are often the family’s greatest asset, homes are an obvious target when creditors owe money they can’t collect. Whether the creditor is a bank or the IRS, property liens and valuations can get in the way of a sale. Since they are a matter of public record, anyone can search for them. But because they work with a title search company, attorneys can provide this important service faster and at a much lower cost.
3. Documents Must Be Archived
Even the simplest land agreements require both parties to file documents at the state and/or district level. Experienced real estate attorneys will ensure all legal documents are submitted quickly and efficiently. Most importantly, he will ensure that the real estate deed is filed with the appropriate state agency, and properly recorded. Failure to complete this important step can prevent the new owner from selling the property, taking a home equity line of credit, or refinancing the mortgage.
4. Government Red Tape
When a transaction involves commercial property, there are a few additional steps that the new owner must take. An experienced real estate attorney can assist in setting up a legal business entity, obtaining a tax identification number, and obtaining an actual business license through the local municipality. All of these important actions can help new owners focus on opening, rather than wasting time on government bureaucracy.
5. Judgment Cloud of Emotions
Unlike real estate agents who are motivated by commissions to make deals happen, attorneys of good standing do not have such a conflict of interest. He only gives advice based on the law, not on individual wants and needs. Such an impartial and level-headed presence is often much needed during negotiations.
An experienced real estate attorney can help save buyers and sellers time and money on property transactions.