Real Estate Transactions
Buying and selling a home is probably the largest single financial transaction a person will ever undertake. Careful consideration should be given to the technical difficulties involved and to the counsel retained to handle such matters.
At Deutsch & Schneider, LLP, we have assisted thousands of individuals, companies and banks over the past 50 years in real estate transactions. The process is complicated. However, we can assist you from start to finish.
Once the buyer and seller have agreed on the price, you may be asked to sign a paper and pay a token deposit. The binder is usually prepared by the seller’s real estate broker. Under limited circumstances, the binder may constitute a contract. Before signing it, you should consider seeking legal advice. Remember that once a contract has been signed, your rights and obligations are fixed concerning the transaction.
Whether you are the seller or the buyer, you should understand the contract terms and how they affect you. The other parties to the contract may not be under any obligation to tell you what the contract means and you may not understand the legal meaning of much of the terminology. At Deutsch & Schneider, LLP we will decipher all the legalese for you.
Please consult with us before you sign any papers.
The contract of sale states the parties, the purchase price and how it is to be paid, an adequate description of the property being bought or sold, the deed, the seller’s title to the property, personal property included in the sale, the date you are to take possession, and other clauses relating to the property and the parties’ respective responsibilities to each other.
The contract often allows the buyer to cancel the contract if he or she does not qualify for the mortgage. In such event, the contract will also provide for the return of the down payment.
After the contract has been signed, the parties, by counsel, will confirm that the seller can convey “marketable” title to the property as agreed upon in the contract of sale.
A title or abstract company will conduct examination of the records and issue a certificate indicating the findings.
It is also important for the buyer of a house that is not newly constructed to inspect the condition of the house and land. The buyer should carefully look over the property and is also urged to consider hiring a home and termite inspector to perform a professional inspection, preferably prior to signing a contract of sale.
In residential transactions you will customarily receive a “Bargain and Sale Deed With Covenant Against Grantor’s Acts.” This deed assures the buyer that the seller has done nothing to affect the title to the property through his or her own acts or omissions. The title is insured by a title insurance company. The buyer will look to the title insurer for protection against claims even though the buyer may make a claim against the seller.
Remember one important point, various parties in the transaction may have an attorney representing each of their interests. An attorney representing the lending bank (even though you may be charged with a fee for this), is not your attorney. Deutsch & Schneider, LLP can provide the professional advice of an attorney to protect your rights and to be sure that you get precisely what you are legally entitled to receive.
The “closing” of the purchase of your home is the transaction in which you receive all the documents required to convey the title of your home and all funds will be paid in accordance with the Contract.
The important thing to remember is that buying a home is a major investment. It usually involves making payments over a period of years. It is critical to have competent professional advice from Deutsch & Schneider, LLP in making the purchase or sale than to risk the trouble and expense that could result.