12 Things Every Real Estate Lawyer Would Like You To Know
As a real estate lawyer with extensive experience, I have seen everything when it comes home, cottage, commercial and other property sales. Many of the heartache and problems we have seen in our practice over the years result from a lack of information. We’ve highlighted the most important issues so you can have an idea of what to look out for when buying your next home.
Here’s a quick overview of the things we wish all home-buyers knew.
We are available early and often.
It’s not expensive to get your legal representation early. This will also save you time, money, and hassles. Our real estate team can help you discuss the entire process from the beginning to the end. We won’t have to try to fix the problems in the middle. Communication is important. Even a small detail, such as changing the closing date by one day, can make a big difference in how paperwork flows.
Before you buy, arrange financing
Before you buy a home, get preapproved by your lender. Understand your mortgage (interest rate, payment frequency and term). This will help you understand the legalities of a mortgage and the range of your financing options. This gives us more time for discussing all other issues that can help you get closer to closing.
All real estate agents may not be the same
For a recommendation to a reliable agent, please call me. It is crucial to have a reliable and knowledgeable real estate agent. A mistake on their part can lead to problems down the line that you don’t even notice until it is too late.
Real estate lawyers are skilled in a variety of areas and will help you protect the value of your home.
Our job is to inspect all documents, contracts, agreements, applications, titles, and liens to ensure nothing slips through the cracks. You can rest assured that everything has been done correctly so there are no surprises, such as your fence being on the property of a neighbor or that you owe back property taxes.
Before you sign your Agreement of Purchase or Sale, have a lawyer review it.
This is a complex document and you might be tempted to sign it too quickly. The agreement includes the purchase price, deposit amount and the validity period. There may be other important details that you don’t want to know.
You should know exactly what you’re buying so that you can be certain it meets all your requirements
Future and present. You can’t “return your house,” unlike most other items in our lives. You would need to put it back on the market and could be charged additional fees, taxes, penalties, etc. If you have to make extensive or expensive renovations, you might want to reconsider your offer.
Give your lawyer sufficient time
Properly close and all details related to a real estate transaction are necessary for a thorough and accurate title check. We will identify any potential issues early on and work with you to solve them. This will ensure that your closing goes smoothly. It can be difficult to identify and review small details that may indicate a deeper problem when you are working under tight deadlines.
Remember to include all other costs.
Real estate transactions can have additional costs. Be aware of these and prepare to pay them. You will likely be responsible for paying land transfer taxes, insurance fees, inspection fees and appraisal fees. Deposits are another cost. We will outline them for you to make sure there are no surprises. Also, we recommend that you ask any questions when you have them.
For the first time, there are special discounts and incentives
Time home buyers. Canadians are eligible for special programs that support first-time buyers. These include land transfer tax reductions and the use RRSP money to down-payments. Ares Law offers a $250 discount and other special benefits for first-time buyers. Please ask how it works and if your eligibility.
Find out what is included in the purchase price
You may be surprised to learn that not all fixtures and chattels come with the purchase. Fixtures are items that can be attached to or removed from a building, such as hot water heaters and lighting. Chattels are items that can be moved, such as a stove or fridge. These items must be clearly stated if the seller wishes to include them in the sale. To ensure that you understand which items are included and excluded, your lawyer can review the agreement.
Get the District Municipality Of Muskoka Homeownership Program
As if there wasn’t enough reasons to love Muskoka…
In the Agreement of Purchase or Sale, include a “Solicitor Conditions”
Avoid any back-end transactional issues. Property purchases can be complicated. It is important that others involved in the process such as lenders and realtors know you have legal representation. We want you to have a pleasant experience from beginning to end. Your cottage or home is one of your most important purchases. We are here to help you get the legal representation that you need. This includes helping you to understand your contracts and the inner workings.