Tracy Hunsaker Gilroy Real Estate Law Blog on Lawyers.com

Why You Need a Lawyer When You Buy or Sell Real Estate

Buying real estate can be the largest and most significant purchase you will make in your life. It involves the law of real property, which is distinctive; a real estate lawyer is educated to deal with these problems and has the familiarity to deal with them. A lawyer can help you avoid some frequent problems with a real estate deal. For example, a seller may sign a brokerage contract that does not deal with a number of legal problems. This happens quite often; realtors often use standard forms, expecting they cover all circumstances or are simply customizable for atypical situations. Even if the agreement is a standard form, its terms should be explained to the seller and revised, if necessary.  An attorney can also determine if the agreement was properly signed.

The purchase agreement is the one of the most important documents in the matter. Although standard printed forms are useful, a lawyer is helpful in explaining the form and making changes to reflect the parties’ needs. There are many issues that may need to be addressed in the purchase agreement; below are some common examples: 

• If the property has been altered or there has been an addition to the property, was it done lawfully?
• If the buyer has plans to change the property, can what is planned for the property be done lawfully?
• What happens if a buyer has an engineer or architect inspect the property and termites, asbestos, radon, or lead-based paint is found?
• What if the property is found to contain hazardous waste?
• What are the legal consequences if the closing does not take place, and what happens to the down payment?

An attorney can help evaluate the title and clarify any title exceptions, determine that the legal description is correct and whether there are problems with bordering owners or prior owners. A lawyer can also explain the consequence of easements and agreements or restrictions imposed by a prior owner.  In addition, the title does not tell the buyer or seller anything about zoning. A lawyer can explain whether zoning prohibits your plans, or whether intended improvements violate zoning ordinances.

An attorney is helpful in the closing event in the real estate transaction. The deed and other closing papers must be prepared, Title passes from seller to buyer, the deed and mortgage instruments are signed, and an attorney can be assured that these documents are appropriately executed and explained to the various parties. There may also be last minute disputes about delivering possession and personal property. If you are the only person there without a lawyer, your rights may be at risk.

Throughout the process, the buyer's and seller's interests can be in conflict with each other, and with any professionals involved in the sale. The broker commonly serves the seller, and the lender is obtained by the buyer. Neither knows how to provide legal guidance. Seeking the counsel of a lawyer is a very good idea from the start of the real estate matter until the actual closing.

This article provided courtesy of the Saint Louis real estate law firm of The Gilroy Law Firm.

The Gilroy Law Firm - Saint Louis real estate closing

231 S. Bemiston Avenue, Suite 800
Saint Louis, MO 63105
Phone: 314-965-3536

GilroyLaw.Net