Purchasing a property is a big decision. It involves a big sum of money, and it has long-term consequences. And many people have not understood how the law can protect their ownership status. But like any other transactions, once you sign a document, you are bound to it. The same thing happens with a property purchase. The law cannot protect you from a disastrous agreement if you have already signed it.
Now that you have got a brief picture of how serious a property transaction is, we can go deeper into the topic.
Dealing with the Documents
Most property transaction involves real estate agencies. The sellers work with an agency because they do not want to do the marketing, negotiation, and paperwork by themselves. The agency seeks for buyers and acts as the broker of a deal. And usually, both the buyer and seller do not meet in person. They communicate through documents of terms.
In that situation, a buyer will be legally safe if he/she hires a real estate lawyer to evaluate any vague terms in the document. And if you think you can handle things by yourself, you are wrong. Paper will come at you like a flood. The time is often limited too because purchasing a property is like racing. Those who are fast will get the best deal.
Different States, Different Law
Property deal is a complicated business. The agency may get you a buyer. But they are not in charge of evaluating the validity of the agreements. Besides, some states require a real estate attorney to be present in a closing transaction.
If you are a seller, hiring a real estate lawyer can save you the risks of paying a tax penalty. A property with fantastic price often has a considerable tax consequence. Selling it without calculating the tax, or including it in the purchase agreement can be financially disastrous.
An estate lawyer knows how the local law works. They are your best bet in securing your property transaction. Even if you may spend some dollars for their service, you have to think forward to the future.
Addressing Issues in the Purchase Agreement
A purchase agreement contains all the terms that will bind the buyer if he/she decides to sign it. And here are some issues that need to be addressed in a purchase agreement:
- Has any house improvement been made? If yes, were they done lawfully?
- What improvement is lawfully possible in the future?
- What happens if a professional auditor finds out defects in the house?
- What happens to the down payment, if the purchase is canceled?
Now you will begin to see that purchasing a piece of land together with a building on it is more complicated than it seems. If things are not done correctly, both the buyers and sellers may suffer from a significant financial loss. The law is there to protect such a transaction. And that is why you need to hire a property attorney.…Continue reading