The Role Of An Attorney In Real Estate Transactions

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For most people, the purchase and sale of their home will be one of the largest financial transactions that will occur during their lifetime. As a result, the importance of wholly protecting such an investment cannot be overstated. From the day you make your decision to buy your home until such time that you have become the legal owner, there are a number of important decisions you must make which have legal consequences. The following is a brief summary of several aspects of your sale and how an experienced real estate attorney can you get through the process comfortable and confidently.

The Real Estate Contract
The Contract, or Offer to Purchase, is a very important document and should contain all of the terms involved in your purchase, including the purchase price, how it is to be paid, a description of the property being purchased and any conditions of the purchase. You should read any Contract or Offer to Purchase carefully before signing it. If you have any questions concerning the meaning or effect of any portion of the proposed contract, you should consult your attorney before signing it. The Contract is a legal document and is binding on the seller and buyer.

Title Search
If you are obtaining a loan, your lender will require that an attorney examine the county land records prior to closing. If you are not obtaining a loan, you should still have your attorney examine the records to make sure you are buying what you think you are and that the property is free and clear of (1) claims of others, (2) judgments, (3) outstanding deeds of trust or mortgages, (4) unpaid taxes, (5) defective deeds, and similar defects. Your attorney will report to you, your lenders and the title insurance company, if applicable, what his search of the public records disclosed.

Title Insurance
Title insurance insures against hazards inherent in real estate titles which may not be apparent from the title search. Your attorney cannot guarantee against certain defects in the title not generally discoverable from a review of public records. Defects of this sort include forged deeds, missing heirs, clerical errors, etc. A typical lender may require that its investment be protected with title insurance. Your attorney can apply for the title insurance for you.

Closing
Prior to closing, instructions from the lender are sent to your attorney, a survey is completed, pest inspections are made, you will have obtained homeowners hazard insurance, and arrangements will have been made for incomplete items. Your attorney will prepare all necessary closing documents and have them properly executed and recorded. You will receive sample copies of most closing documents, including itemized records of all money paid on your behalf.

Selection Of Attorney
An attorney's role in real estate transactions include consultation prior to signing the Contract, preparation of closing documents, title search and certification, presiding over the closing and recording the deed and mortgage, all done in close coordination with the Buyers, Sellers, Realtors and Lenders. The attorney strives for the entire process to be carried out in a pleasing and expedient manner. Therefore, choosing an experienced real estate attorney to handle your purchase is especially important.

Select An Attorney Who Represents Your Interest
If you are paying the attorney fees, you alone should select the attorney to insure that your interests are being represented.