Four reasons to hire an attorney when buying a new home
This article lists four reasons why homebuyers should consult with a real estate attorney.
Buying a new home is an exciting event and, for many people, it will be one of the biggest financial transactions they are ever involved in. Despite the fact that real estate transactions entail a fair amount of financial and legal exposure, far too many homebuyers assume that they can complete such a transaction by relying exclusively on themselves or their real estate agents. The fact is that real estate transactions are far too important to be left to realtors alone and to truly ensure that a transaction is completed smoothly and in accordance with the law it is often a good idea to contact a real estate attorney early on. Below are just four of the benefits an attorney can provide when buying a house.
Familiarity with local regulations
As Realtor.com points out, a real estate attorney is an especially good idea for those who are coming from outside of the state or county to buy property. Real estate regulations can vary considerably between states and even between counties. Having a lawyer who is familiar with local regulations can be highly beneficial. A real estate attorney, for example, may be able to point to modifications that have been made to a property that violate local bylaws.
Reduce the likelihood of litigation
Another benefit of having an attorney is that an attorney can reduce the likelihood of litigation opening up in relation to the real estate transaction. As Investopedia notes, an attorney will ensure that all relevant facts have been disclosed to the other party and that a home inspection has been properly reviewed. These actions can help ensure that unwanted surprises do not arise and lead to lawsuits later on because a serious problem was left undisclosed during the initial transaction.
Liens and title searches
An attorney can carry out a title search on the property, which is especially important since such a search could reveal liens or judgments on that property. A lien may prevent the seller from selling the home until the lien has been paid, which can be a time-consuming process. Homebuyers who are aware of any liens on a property will be in a much stronger negotiating position and have the knowledge they need to know when to walk away from a potentially bad deal.
Avoid tax problems
An attorney can also help transfer a deed to the property. Transferring the deed is especially important for both buyers and sellers who want to avoid tax problems. A deed that has not been properly transferred from the seller to the buyer could lead to both income and estate tax issues, including a higher tax bill than may have otherwise been anticipated.
Real estate attorneys provide the security and peace of mind that buyers are often seeking when negotiating a real estate transaction. By ensuring that all legal requirements are met today, real estate attorneys help homebuyers avoid costly mistakes that could otherwise arise months or years in the future.