how to sell your own house, real estate attorney, what to ask your lawyer

Start by asking about the real estate lawyer’s credentials and track record. For example, one of the most important duties a real estate lawyer will have will be to help you negotiate favorable deals on your real estate transactions. So ask what kinds of deals your prospective attorney has negotiated in the past.

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Do I need a lawyer to sell my house?

Once an offer is accepted and the purchase agreement is signed, the seller and buyer enter a period commonly known as escrow. You and the buyer will choose an escrow or title agency to handle closing the sale of the house, to occur on a date set forth in your contract. During this time, the escrow or title agent will start preparing paperwork ...

How do I Sell my House without a realtor?

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 issues, it’s in your best interest to hire a real estate lawyer. But when you’re buying a single ...

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

Jul 09, 2021 · Step Six: Fill Out Your Paperwork. The buyer and your real estate agent will have to do the majority of the paperwork, but the seller often still has his or her fair share of paperwork to complete. For example, several states require that the seller fill out disclosure forms detailing the house's physical condition.

Should I use an agent to sell my house?

Giving your house some TLC before listing is an important step, whether you’re going the for-sale-by-owner route or selling with an agent. Simply put, you’ll want your house to look perfect before listing so you can get as much money as possible out of it. Use this simple checklist: Clean thoroughly: Give your home a deep cleaning. Shampoo carpets, scrub tile, wash the windows, …

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...

Is selling a house a legal transaction?

Selling a house is one of the biggest financial and legal transactions you can engage in. The process can be stressful but also rewarding. Understanding the basic steps to selling your house can help ease your stress and ensure the transaction goes as smoothly as possible.

What are the disclosures required when selling a house?

In most states, the law requires certain written disclosures to be made when you sell your house. These disclosures include any physical, environmental, legal, or other defects in the house or property, including things like whether lead-based paint or asbestos are present in the house, whether there are cracks in the foundation, ...

What is escrow in a house?

Once an offer is accepted and the purchase agreement is signed, the seller and buyer enter a period commonly known as escrow. You and the buyer will choose an escrow or title agency to handle closing the sale of the house, to occur on a date set forth in your contract. During this time, the escrow or title agent will start preparing paperwork, ...

Is real estate law complicated?

Real estate law can be complicated and the laws and local customs vary widely from state to state. If you have any legal questions or concerns when selling your house, talk to a real estate lawyer in your area.

What is a prospective buyer's offer?

In most states, this takes the form of a written sale contract, covering everything from price to closing date to contingencies, such as a condition that the buyer must successfully obtain a mortgage and be satisfied with the results of a home inspection in order to close. You could sign onto this sort of offer immediately, making it legally binding.

What is escrow period?

Following Through on Seller’s Obligations During Escrow Period. Once an offer is accepted and the purchase agreement is signed, the seller and buyer enter a period commonly known as escrow. You and the buyer will choose an escrow or title agency to handle closing the sale of the house, to occur on a date set forth in your contract. ...

Why is a real estate attorney important?

A good real estate attorney provides a backstop for your real estate agent, finding loopholes in the purchase agreement, saving you money with contingencies, and maybe even insulating you from lawsuits years down the line. Let’s go over some of the situations where hiring a real estate attorney is a good move, the responsibilities ...

How much do real estate attorneys make an hour?

Real estate attorneys are paid by the hour — market rates are between $150 and $350. You may be able to negotiate a flat rate, or a cap on the number of hours they work on your behalf.

What are the benefits of being an agent?

A great agent doesn’t just help you buy or sell a property; they also offer a sympathetic ear, gentle advice, and all around emotional support. A huge financial transaction can be a huge source of stress, and a good agent knows how to reassure their clients.

What does a good agent do?

A great agent doesn’t just help you buy or sell a property; they also offer a sympathetic ear, gentle advice, and all around emotional support. A huge financial transaction can be a huge source of stress, and a good agent knows how to reassure their clients.

Why do agents make more money?

Because most agents work on commission, they make more money the higher the final sale price goes. That’s great if your priority is extracting every possible dollar from your sale. But sometimes sellers just want a quick sale, or want their property to pass onto someone who appreciates it.

What is a purchase agreement?

The purchase agreement is a legal contract that outlines the rights of the seller and the buyer. A lawyer can review this contract and make sure you’re receiving all the protections and assurances that you should be. Signing an incomplete or sloppy purchase agreement can leave you vulnerable later, even if you abide by your state’s disclosure laws.

Can a real estate attorney be a title agent?

In some states, real estate attorneys can also double as title agents. They may also have one on their staff. This is helpful because it means the attorney’s office controls the closing process. There is no need to coordinate with any other office, and this can simplify and speed the closing process.

Is real estate a unique deal?

Every real estate deal is unique with its own set of circumstances and potential problems. Your case is no different. It is wise to find an attorney who is familiar with those types of problems and who knows how to prevent them from happening.

Why is it important to have an attorney on staff?

They may also have one on their staff. This is helpful because it means the attorney’s office controls the closing process. There is no need to coordinate with any other office, and this can simplify and speed the closing process. It might also lessen the expenses based on communications.

Why are references important?

References are important, too. You want to know if the attorney has done a good job for other clients. You want to be given a list of references who are available for you to contact whether you call them all or not. The attorney should be confident and successful enough to provide you with a list of satisfied clients who want to speak well of them.

What to do before selling a house?

Before you sell a home, you should probably hire a professional home inspector. Eventual buyers certainly will, and it pays to know what deficiencies might be lurking under the surface. An inspector can provide you with a list of to-do items before you put your house on sale. Make the repairs before you sell the house because existing problems with the house can reduce the value of your home more than the actual cost of repair. Finally, since appearance is everything when selling your home, be sure to give your house a thorough cleaning, inside and out.

How to sell a house in a hot market?

Understanding your local market can make a huge difference in terms of when you should sell and what you should ask for. During hot markets, multiple bidders can drive up house prices considerably. Similarly, in down times, you may have to settle for less than the house is really worth. In general, go to open houses and talk to your neighbors and real estate agents to get a feel for what condition your local housing market is in. In general, it's best to sell when: 1 The economy is doing well 2 Interest rates are low, allowing people to borrow money more cheaply 3 People are likely to move (spring, and summer before school starts)

Is selling a house a capital gain?

The profit you make on selling your house produces capital gains, subject to capital gains taxes. Fortunately, many sellers can avoid paying capital gains taxes entirely, because under the Taxpayer Relief Act of 1997, individuals can exclude up to $250,000 in capital gains, and married couples can exclude up to $500,000 in capital gains. In practice, this means if you bought your house for $100,000 and sold it for $300,000, that $200,000 in capital gains is entirely tax free.

Is it worth hiring a real estate agent?

Hiring a real estate agent can be expensive but is often worth it. Selling a house, even with an agent, is an exhausting process, and if you are the one stuck doing all of the paper work, and showing the house, it can be like taking on a second job. Expect a real estate agent to charge you around a 5-6% commission.

Can you back out of a contract without a lawsuit?

Once you and a buyer have offered and counter-offered, you are considered "in contract" and if the conditions of the contract are met, you cannot back out without facing a lawsuit (except for certain contingencies, such as the collapse of the buyer's financing).

Why are some buyers hesitant to work with an owner selling their home?

Some buyers are hesitant to work with an owner selling their home because they assume the process will be slowed down by inexperience. And some buyers’ agents may try to steer their buyers away from a FSBO, dreading that they’ll end up having to coach the seller through the process and do twice the work for any commission, which they will likely have to negotiate. So, it’s up to you to prove buyers and their agents wrong with your professionalism and know-how.

Is it too late to sell a house by owner?

If you find that the prep work, listing process, marketing, advertising, showings, contracts, negotiations, legalities and closing process are all too much to handle alone, it’ s never too late to bring on an agent.

What percentage of millennials sell on their own?

Interestingly, millennial sellers and sellers in urban areas, who tend to skew younger, are more likely to attempt to sell on their own or succeed in doing so — 36 percent of millennial sellers and 34 percent of urban sellers attempt to or succeed in selling on their own.

What is a "for sale by owner"?

For sale by owner is a home-selling strategy in which the seller lists their home for sale on their own, without the help of a real estate agent, from start to finish.

Do you pay commission to a buyer if you don't have an agent?

Even if you don’t have your own agent to pay, it’s standard practice that the seller pays the buyer’s agent’s commission (if they’re using an agent). And according to the Zillow Group Report, 74 percent of buyers use an agent, so it’s likely your buyer will too.

Is overpricing a good idea?

Set an appealing home listing price. Although every seller wants top dollar for their home, overpricing is never a good idea. In fact, it usually leads to more time on the market and an eventual price cut. Coming onto the market with a reasonable and accurate listing price is a must.

What does an experienced agent do?

An experienced agent has the resources, tools and network to put your home in front of a wide range of buyers. To sell a house by owner properly, you’ll have to work hard to gain the attention of qualified buyers and attract competitive offers.

What does it mean when you are selling a house?

You’re selling a property that is in some state of distress. 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.

What is the job of a real estate attorney?

The job of a real estate attorney is to negotiate and make a transaction come together in a peaceful manner that’s fair and amenable to all parties. A real estate attorney takes over after the selling price and terms have been established by the real estate agents in the contract and all parties have signed.

Who is Julie Ryan Evans?

Julie Ryan Evans is an editor and writer who has covered everything from politics to pop culture and beyond. She loves running, reading, cold wine, and hot weather. Get Pre-Approved Connect with a lender who can help you with pre-approval.

Can a real estate attorney help with divorce?

A divorce decree has its own complicated stipulations. Although an agent with experience in divorce sales can be helpful , a real estate attorney also can provide valuable advice regarding your state’s property division laws.

How to sell a short sale property?

Selling property that’s under foreclosure or in the midst of a short sale:#N#If you’ve fallen behind on your mortgage payments, a real estate attorney is a good resource to help you navigate the details of these transactions. Your lender or bank has to approve your short sale, so you’ll have to provide detailed records supporting your financial hardship. An attorney can help you by: 1 Representing you at a foreclosure auction or when filing bankruptcy 2 Sifting through the contents of short sale documents 3 Explaining your personal liability after completing a short sale 4 Understanding whether your remaining debt will be forgiven, taxed, or require augmented payments

What to do if you are behind on your mortgage payments?

If you’ve fallen behind on your mortgage payments, a real estate attorney is a good resource to help you navigate the details of these transactions. Your lender or bank has to approve your short sale, so you’ ll have to provide detailed records supporting your financial hardship.

How can an attorney help you?

An attorney can help you by: Representing you at a foreclosure auction or when filing bankruptcy. Sifting through the contents of short sale documents. Explaining your personal liability after completing a short sale. Understanding whether your remaining debt will be forgiven, taxed, or require augmented payments.

What is earnest money deposit?

An earnest money deposit is a buyer’s good-faith gesture that they’re serious about buying your home; it counts toward the down payment. But if they breach the agreement after you’ve fulfilled all the contingencies or fail to meet deadlines set out in the contract, a seller could get to keep this deposit.

Do you need a realtor to buy a home?

Lastly, many transactions may not require a realtor or real estate agent to sell or help buy a home. This especially applies to “For Sale By Owner” arrangements, owner finance arrangements, and other direct buyer-to-seller or seller-to-buyer transactions.

Can a real estate agent represent both the buyer and seller?

For example, a real estate agent can represent both the buyer and the seller in the same transaction, or could even be the buyer, which obviously could leave you in a very vulnerable position.

Who is Michael Farah?

Michael Farah is the founder and managing attorney of the Farah Law Firm. Mike graduated from the University of New Hampshire School of Law and is licensed to practice law in Texas and New York.

Do you need a lawyer for a real estate transaction?

1. State law requires you to use a lawyer. In some states, lawyers must be involved in certain aspects of a real estate transaction. In other states, lawyers are optional. 2. There is no real estate agent or broker involved. A “for sale by owner" deal can save you money on real estate commissions, but you still need someone to prepare ...

What happens when you hire a lawyer?

When you hire a lawyer, your lawyer only works for you and will make sure your interests are protected. 4. There is a problem with the property or the deal. A lawyer can help you resolve some of the tougher, more technical issues that might come up.

Can you change the exterior of your house?

You plan to change the exterior of the home. Your local government, historic district, or homeowners' association may have strict rules about what you can and can't do to the outside of your house. These rules can cover everything from teardowns to additions, to solar panels, to new paint colors.

Can you deduct capital gains on a home?

If you are the seller, you could be liable for capital gains tax if the home has increased in value. If you are the buyer, you may be able to deduct mortgage interest, home office expenses, and some or all of your property tax. If you plan to rent the property, you will have to report your rental income and expenses on your taxes.