do i need a lawyer when selling home through realtors

You don’t need a real estate lawyer to sell your house — unless the state you’re selling in legally requires you to use one. In some circumstances, though, like if you’re selling for sale by owner or you’re dealing with unique property issues, it’s in your best interest to hire a real estate lawyer.

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Do you need a real estate attorney to buy or sell?

Aug 17, 2021 · You don’t need a real estate lawyer to sell your house — unless the state you’re selling in legally requires you to use one. In some circumstances, though, like if you’re selling for sale by owner or you’re dealing with unique property …

Do I need a lawyer when buying a home in California?

Jan 31, 2020 · Consider a Consultation. Even if a lawyer is not needed during the course of negotiations, both the buyer and seller may want to consult with a lawyer to answer important legal questions, such as the tax consequences of the real estate transaction. The tax consequences may be of critical importance to a home seller.

Do I need a real estate attorney at my closing?

Jan 29, 2013 · Well, that’s sort of a loaded question whenever you ask a lawyer whether you need a lawyer. The big thing with selling a house is that if you’re doing it on your own, well, you probably really do need to come see a lawyer to get things started because it starts with a …

How much does a real estate attorney charge to sell a house?

Do I legally need a real estate agent to sell my house? No, you are not legally required to hire a real estate agent to sell your home. FSBOs are perfectly legal in all 50 states. However, depending on the state where you’re selling, you may be required to hire a …

How much does a real estate attorney cost?

Real estate attorneys cost $150–350 per hour, and usually bill in six minute increments. Or, they may charge a flat fee for certain services. Costs...

Should I use a real estate attorney if I'm selling FSBO?

Unless you're an experienced seller, you should hire a real estate attorney to prepare the purchase agreement and other documents when you sell FSB...

How do I find a real estate attorney?

A great real estate agent can refer you to a great real estate attorney. You can also find real estate lawyers through professional organizations l...

Why do you need an attorney for real estate?

An attorney helps you protect your investment and assets while ensuring you’re conducting your side of the transaction legally — which can prevent costly missteps. Real estate attorneys are required in many states, but even if you aren’t legally required to use an attorney while selling, it can be a good idea.

What is a real estate attorney?

Real estate attorneys help oversee home sales, from the moment the contract is signed through the negotiating period (aptly called the “attorney review”) to closing. A seller’s attorney reviews sales contracts, communicates terms in a professional manner and attends closings to prevent mishaps. Selling a home is a complex process ...

How much does a real estate attorney charge?

How much does a real estate attorney cost? How much you’ll pay for real estate attorney fees depends on your market and how involved they are in the transaction, but they typically charge a flat rate of $800 to $1,200 per transaction. Some attorneys charge hourly, ranging from $150 to $350 per hour.

What to do if you inherited a home?

An attorney can help you navigate the complexities. Estate sale: If you inherited the home you’re selling, hiring an attorney to sort through ownership documents can ease the burden, which is especially helpful when you’re grieving the loss of a family member.

Who is responsible for underwriting title insurance?

Title company: A representative of the title company is responsible for underwriting the title insurance and transferring the clean title of the home to the buyer.

Who hires an inspector to inspect a house?

Inspector: The inspector is hired by the buyer. Their job is to make sure the buyer knows about everything that may need to be repaired on the home. Sellers also sometimes hire an inspector to do a pre-inspection so they can make any necessary repairs before putting the house on the market.

Do you need an attorney for a closing?

In 21 states and the District of Columbia, attorneys are legally required as part of the closing process. Attorney-required states include: As a best practice, if the other party in your transaction has a lawyer representing them and supporting their best interests, you should too.

Why do you need an attorney when selling a house?

You’re the heir or executor of a property whose owner is now deceased. You’re selling a house with an uncooperative partner. You have judgments or liens on the property.

Why do I need a real estate attorney?

Reasons to hire a real estate attorney even if it’s optional 1 You’re an out-of-town buyer. 2 You’re buying a property that is a short sale or bank-owned. 3 You’re buying a property that is part of an estate sale. 4 You’re buying a commercial property. 5 You’re buying a property that could potentially have some structural issues. 6 You’re buying a property in a problematic area such as a flood zone or areas with adverse conditions (tornado-prone, radon, toxicity levels, etc.).

What is the education required for real estate agents?

As part of agents’ licensing education, they’re taught and tested on real estate contracts used within their state, many of which also require continuing education courses and/or certifications on subjects such as ethics, buyer’s agency, distressed property sales, and more.

What is a real estate lawyer?

A real estate lawyer is licensed to practice law and specializes in real estate transactions. A real estate lawyer is familiar with all aspects of the home purchase process and can represent buyers, sellers or lenders. In states where a lawyer is required to be present at closing, it’s possible that the lawyer is there solely to represent ...

Why is it important to have a lawyer in a negotiation?

This is important because when you’re in the middle of a potentially contentious negotiation that needs to be resolved quickly, you’ll want the lawyer to be available to advise you and negotiate with the other party.

What are some situations that are unusual and might require an attorney’s advice and negotiating skills?

Here are some situations that are unusual and might require an attorney’s advice and negotiating skills: You’re buying a home that is part of a special type of sale, such as an estate sale, short sale, auction or purchase from a bank. You’re purchasing a home that’s in another state.

What could affect the timeline for closing on a home?

Your timeline for closing on the property could be affected by the sale of your own home or issues largely outside of your control, such as unexpected lender delays. Inspection. A home inspection can uncover many problems, and a seller and buyer could end up negotiating on who will pay for repairs.

What is closing on a home?

Closing. The moment you’ve been waiting for— closing on a home sale or purchase —often involves dozens of pages of legal documents to review. A lawyer can help both the seller and buyer navigate the review, which can be especially intimidating and confusing to a first-time homebuyer.

What is the most important document in the home sale process?

It can help you avoid potential problems down the line by making the contingencies as favorable to you as possible. The contract is the most important document in the home sale process, and it includes several negotiable issues. Some of the most important issues in the purchase contract involve: Timing. Your timeline for closing on the property ...

Can a lawyer review a purchase contract?

Although real estate agents usually play a central role in preparing purchase contracts, a lawyer could provide a review of the purchase contract terms. What’s more, real estate agents are generally limited to filling out contract templates, rather than drafting them from scratch.

What Does A Real Estate Lawyer Do?

When you hire a reputable real estate attorney, you expect them to prepare and review any documents related to your real estate deal, like transfer and title documents, purchase agreements, and mortgage documents.

Responsibility Of Property Seller

While you may think selling a home is mostly waiting on the right buyer to come along, you are legally responsible for a few things. State law in South Carolina (South Carolina Code Section 27-50-40) mandated the seller to provide a disclosure of the property.

What is real estate lawyer?

A real estate lawyer is trained to handle these problems and has the most experience to deal with them.

What can an attorney do to help with title insurance?

Assuming you are in an area where title insurance is customary, an attorney can help review the title search and explain the title exceptions as to what is not insured. They will also determine whether the legal description is correct and whether there are problems with adjoining owners or prior owners.

What is a purchase agreement?

The purchase agreement is the single most important document in the transaction. Although standard printed forms are useful, a lawyer is helpful in explaining the forms and making changes and additions to reflect the home buyer's and the seller's desires. There are many issues that may need to be addressed in the purchase agreement, such as: 1 If the property has changed or if there has been an addition to the property, was it done lawfully? 2 If the buyer has plans to change the property, can that be done lawfully? 3 What happens if a buyer has a home inspector inspect the property and termites, asbestos, radon, or lead-based paint is found? 4 What if the property is found to contain hazardous waste? 5 What are the legal outcomes if the closing does not take place, and what happens to the down payment? 6 Will the down payment be held in escrow by a lawyer according to the escrow instructions? How is the payment to be made? Is the closing conditioned upon the buyer obtaining financing?

What is a title search?

Title Search. After the purchase agreement is signed, it is necessary to establish the state of the seller's title to the property to satisfy the buyer and the financial institution. Generally, a title search is ordered from an abstract or title insurance company. In some states, title insurance is not typical.

How to avoid problems with a home purchase?

Avoid Vague or Unclear Terms. A lawyer can help you avoid some common problems with a home purchase or sale. For example, a seller may sign a brokerage agreement that does not deal with a number of legal issues. This happens quite often as realtors often use standard forms, expecting that they will cover all situations.

What to do if a lawyer is not needed during the negotiation process?

Even if a lawyer is not needed during the course of negotiations, both the buyer and seller may want to consult with a lawyer to answer important legal questions, such as the tax consequences of the real estate transaction. The tax consequences may be of critical importance to a home seller.

What is the purpose of an attorney when signing a deed?

Once the deed and other closing documents are signed, an attorney can make sure that these documents are appropriately executed and explained to everyone.

What happens if my home doesn't sell?

If your home doesn’t sell within a reasonable amount of time, you need to be comfortable pivoting to a new plan. There’s a reason 85% of sellers end up using an agent — successfully selling a home is hard work. If your home sits on the market for too long, the costs you’ll incur paying a listing agent’s commission may be less than the reduced sale price you’ll receive on your stale listing — or carrying two mortgages for an extended period of time.

How long does it take to sell a home?

Note that the average time it takes to sell a home nationally, from listing to closing, is between 65 and 93 days (in 2018), but it also varies based on where you live. So, expect to dedicate a lot of time to the process for at least three months, not including the time it takes to prepare your home for listing.

Why do sellers hire listing agents?

The majority of sellers hire a listing agent because it’s a job that requires skill, dedication, patience and expertise. Most FSBO sellers have full-time jobs, family commitments and other limitations that make it hard to dedicate the time necessary to sell their home for top dollar.

What happens if you overprice your home?

If you overprice your home, your listing may go stale, and you may have to cut the price.

Can I sell my home on Zillow?

With Zillow Offers, instead of finding an agent, listing your home and waiting for a buyer, you can sell directly to Zillow. If your home qualifies, we’ll send you a no-obligation cash offer, and if you need to close quickly, you can schedule a closing date as soon as seven days after accepting the final offer.

Do I need a real estate agent to sell my house?

Do I legally need a real estate agent to sell my house? No, you are not legally required to hire a real estate agent to sell your home. FSBOs are perfectly legal in all 50 states. However, depending on the state where you’re selling, you may be required to hire a real estate attorney to handle the paperwork.

Can I use a discount broker instead of a full service agent?

Instead of hiring a full-service agent, you could engage a discount broker . They usually provide limited services in exchange for a lower rate. For example, for a few hundred dollars, you can have an agent list your home on the local MLS while you do the rest.

Who pays for home inspections?

Home inspections, ordered and paid for by either the buyer or seller depending on the locality, must be performed and the results may lead to a further negotiation of price. Agree with the buyer who pays for further inspections, like septic tank, pests, and determine the limits for repair, if any are required.

Where did Jann Seal get her degree?

An English degree from the University of Maryland and extensive travels and relocations to other countries have added to her decorating insight. Related Articles.

Do you need an attorney for a cash deal?

Does a Home Seller Need an Attorney for a Cash Deal? A real estate contract is complicated. Unless you’re a licensed real estate agent, an attorney or well-versed in the language of contracts, it’s a good idea to have a professional on your side when title changes hands, even if it’s an all-cash deal. Some states require a real estate attorney ...

Is an all cash deal the same as a mortgage?

An all-cash deal has many of the same contingencies as a mortgage-bound contract. Be sure you enter into the agreement with a state-approved purchase contract and that you read all the terms and conditions. Note the time frame of all contingencies and guide the process.

Who can help a buyer with a real estate contract?

Buyers can have real estate agreements drawn up by a real estate attorney or agent. A title company or Realtor can help the buyer find someone to write a contract if necessary. If the seller doesn’t have an agent lined up to draft the purchase contract, the buyer’s own real estate agent can take care of the transaction paperwork as ...

Why do people move on when they don't have a realtor?

It’s not unheard of for buyers to move on, because they are afraid to sign a contract without the help of an agent. Experts say the solution is to turn to the buyer’s own representation for writing a contract. “Typically, if the seller does not have a Realtor®, the buyer’s agent ends up doing most of the work,” explains Ryan Hardy, ...

What is land contract?

A land contract is used when the owner provides financing when going to sell, so that you do not have to get a mortgage elsewhere to purchase the property. The contract stipulates the amount of the loan, the interest rate, and what happens if you fall behind on property taxes or payments. You and the seller can negotiate the terms of the agreement, ...

What is FSBO sale?

A FSBO sale can occur in a seller’s market or when sellers want to maximize their profits on a sale by not having to pay a commission to a real estate agent. So if the buyers want to make a written offer on property, who will be tasked with drawing up the purchase agreement, or the contract outlining the terms and conditions of the sale?

What is a purchase contract?

As a real estate buyer, a purchase contract is one of the first steps toward closing the sale. “In layman’s terms, a purchase contract is simply the written contract between the buyer and seller outlining the terms of the sale,” Hardy explains.

What is a seller's agent?

The seller’s agent is typically the person who draws up a real estate purchase agreement. But what happens if the home is for sale by owner (or FSBO) and the owner isn’t represented by a real estate agent at all? A FSBO sale can occur in a seller’s market or when sellers want to maximize their profits on a sale by not having to pay a commission ...

Can you get your earnest money deposit back if you can't get a mortgage?

Real estate purchase contracts generally also contain financing contingencies , meaning you get your earnest money deposit back if you can’t get a mortgage. This makes sense, because most buyers can’t fulfill a contract to buy residential property if they can’t get financing.