When buying a home, there are a myriad of contracts and forms you'll need to sign, including contracts, disclosures, and other documents.
Each real estate association has its own contract form, which can be as short as a page or two or as long as 10 pages. This contract includes the selling price, the closing date, personal property that transfers with the sale (such as light fixtures, a refrigerator, and washer-dryer), the earnest money terms, and the purchase contingencies (e.g., financing, inspection, and attorney review).
Typically, when you purchase a property, real estate taxes for that year are prorated between the buyer and the seller based on when in the year the deal closes. The contract may provide for how to deal with other prorations.
Riders may be attached. For example, if a buyer wants interest on his earnest money, he needs to provide a W-9, a federal tax form. In addition, if the home is a condominium or cooperative apartment many agents require disclosures about the buildings as well as the particular unit.
Each state has different laws and customs about what contracts and documents are required for closing.
Most states require the seller to complete (and sign) a seller disclosure form, in which the seller indicates whether there are problems with the home that can't be detected with the naked eye. The seller is also required to disclose whether there is lead paint in the home. In some states, the buyer must sign something that says he or she has been given the required disclosures by the seller.
As a homebuyer, bring your favorite pen to the closing. You'll be signing your name more times than you can count.
Do you need a lawyer to review the terms of your contract, even if you use a standard form and make few additions or changes? It could be the best money spent when you buy a home. Consider the following:
Real estate agents are not supposed to practice law (and in many states it is against the law for them to do so). They have a vested interest in seeing your deal close since they get their share of the commission at closing.
Real estate agents are not supposed to practice law (and in many states it is against the law for them to do so). They have a vested interest in seeing your deal close since they get their share of the commission at closing.
The attorney's role is not to negotiate the price or details of the deal, but to ensure you're protected from problems later on.
The attorney's role is not to negotiate the price or details of the deal, but to ensure you're protected from problems later on.
Many attorneys charge a flat fee that ranges from $300 to $1,000 to do your residential real estate transaction. Most buyers feel it is money very well spent.
Many attorneys charge a flat fee that ranges from $300 to $1,000 to do your residential real estate transaction. Most buyers feel it is money very well spent.
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When buying a home, there are a myriad of contracts and forms you'll need to sign, including contracts, disclosures, and other documents.
Real estate agents are not supposed to practice law (and in many states it is against the law for them to do so). They have a vested interest in seeing your deal close since they get their share of the commission at closing.
