There are many expectations you might have when you set out to buy a home — especially if it’s your first. One common expectation, and certainly everyone’s hope, is that the home-buying process will be seamless. Or, if there are challenges, that can easily be overcome. The trouble is neither of these outcomes is guaranteed, or even the most likely. How can you ensure that you don’t find yourself in a predicament? Work with an experienced real estate attorney. Here are some scenarios you can avoid with a good attorney on your team.
Unrealistic Closing Date
Sometimes you may be tempted to work with an attorney that is affordable but has little experience. This makes sense only when everything is going well. But what if it backfires?
Nine in ten homes sold in the United States were completed with the assistance of one of the country’s 1.39 million licensed real estate agents, the other 10% through the For Sale by Owner (FSBO) network. Most people rely primarily on friends or family’s recommendation, rather than a review of credentials, experience, or real estate knowledge.
A common problem arising from inexperience is unrealistic closing dates. Experts note that it routinely takes forty-five days after signing a contract to work through the process of closing on a house. There are a lot of steps, along with their own sub-steps, involved in the closing process. If one of those steps is delayed, it could throw off the process enough that an unrealistic closing date could be missed. If a new closing date cannot be negotiated, the sale could be dead. Read more at Walsh Banks…
You’re better off safe than sorry – especially when a major financial investment like this is necessary.
With a good real estate attorney, you can be sure you’ll be aware of any problems beforehand. One of them has to do with escrow. Here is an example of a possible escrow issue:
Escrows fall through over disputes about what gets transferred with the sale. For example, the buyer thinks the pool table is included, but the seller disagrees. Although this varies somewhat by state, anything not permanently affixed is considered personal property and therefore not included in the sale unless itemized in the purchase agreement.
To avoid misunderstandings, if you’re buying a property and want the tractor, armoire, washer, dryer and refrigerator to convey at closing, call them out specifically in the purchase agreement. Check with your title agent and real estate agent for any clarifications. Read more at End Point Closing…
An experienced real estate attorney is likely to look into such details without you having to tell them. So, ensure you don’t go solo with this investment.
Failure To Close On a Home
There’s nothing as terrible as going through the entire home-buying process only to discover at the very end that it cannot sail through. Here is an example of such:
If a previous homeowner made a major insurance claim on the home, such as water damage or mold, it would show up in insurance records. Companies may refuse coverage because the house may be too much of a risk.
If a home is not insurable, you will not be able to buy it unless you are an all-cash buyer. Lenders require you to maintain homeowner’s insurance until you pay off the mortgage.
Of course, even if you are a cash buyer, it probably isn’t a good idea to buy a home that isn’t insurable. Read more at Investopedia…
As this blog post reveals, there are many benefits to working with an experienced real estate attorney when purchasing a home. Not the least of which is the simple peace of mind that comes from knowing someone’s got your back should problems arise.
If you’re ready to buy a house, we are here to guide you through the entire process. Skilled real estate attorney Jonathan Meek will ensure the process goes as smoothly as possible. Contact him today to discuss your needs. Call (704) 848-6335 or use the contact form on our website to schedule a consultation appointment. We look forward to hearing from you.