Lawyers and homebuying

Ther Obamacare thread got sidetracked to the mortgage meltdown. And it made me think about how people sign their name to documents requiring that they are on the hook for 200k, 300k, 500k,,,OR MORE.........and no lawyer is present.

I bought 2 homes in NJ earlier in my life....and always had an attorney.

Then I move to Ca 15 years ago, buy a home, and say I want to find an attorney before I sign anything....and the agent says ...."no one uses attornies out here...we all use title companies....they are neutral"

And I say for this type of money...I dont want someone "neutral" in my corner....I want a guy carring a big stick looking out for my best interest.

So I got an attorney

for 1-2k whats the big deal if you are spending hundreds of thousands.

If more people got advice of attornies before signing on the dotted line before the big mortgage meltdown......they would have been better off.

I remember once I bought a new home in a new community that was being built. I gave the contract to my lawyer....and he pointed out that I need to tell the builder to take out the "escalation clause" in the contract that stated thtat if materials went up in price...the builder could pass it on to me. That alone could have saved me a few hundred if not a few thousand dollars.

I think people get a false sense of security from title companies. Title companies may spot things that arent legally correct....but thats a big difference than notifying me if something isnt in my favor, or can come back and bite me 10 years from now.

Title companies are not "neutral" and only get paid if the deal goes through.

Alot of people were told ..oh you can always refinanced later.

Most people don't even know what a Buyer's Agent is. Some buyers even think the agent taking them around to see possible houses is "their" agent instead of an agent of the seller.

I knew a law student in Boston who asked her Real Estate professor, also in Boston, to represent her in a Virginia purchase. The professor fought tooth and nail and one item that he thought was worth 23.16 was actually saving her 2316.00. It was simply his nature to fight, so he did it.

I know one woman who bought a condo with appliances included. She has been paying real estate taxes on those appliances for twenty years! Always get the appliances separated out as personal property included in the transaction.

Lawyers should not "kill a deal" but should make the deal understandable.

Quote: FleaStiff

Title companies are not "neutral" and only get paid if the deal goes through.

Alot of people were told ..oh you can always refinanced later.

Most people don't even know what a Buyer's Agent is. Some buyers even think the agent taking them around to see possible houses is "their" agent instead of an agent of the seller.

I knew a law student in Boston who asked her Real Estate professor, also in Boston, to represent her in a Virginia purchase. The professor fought tooth and nail and one item that he thought was worth 23.16 was actually saving her 2316.00. It was simply his nature to fight, so he did it.

I know one woman who bought a condo with appliances included. She has been paying real estate taxes on those appliances for twenty years! Always get the appliances separated out as personal property included in the transaction.

Lawyers should not "kill a deal" but should make the deal understandable.

Actually when I bought a new construction home in nevada 9 years ago, I got an attorney to look over the builders contract....and he pointed out a couple things in the contract that I dont remember now.....but he reccomended that I dont take the deal if the builder wont delete the items. They wouldnt delete...and I didnt buy.

There was another complex down the road that I bought where the contract was more equitable to both parties.

I think that they CAN be a deal breaker. And I want them to be if in their legal opinion its in my best interest...and the deal cant be changed to resolve the issue at hand. I think that having a lawyer, and having the idea out there that I have a deal breaker looking out for me....keeps the process of homebuying on the straight and narrow.

I am not an attorney....but appreciate their expertise in this area where I am clueless.


In california I caught the real estate agent in a few lies....and woulnt make a move without my lawyer.She just wanted to have the sale go thru and get her commission. No one was representing me in the process....except for my lawyer.

How people go thru this process with agents that want to make a sale, mortgage brokers that just want to have the sale go thru so they can make a commission, with title companies that arent looking out for you specifically.......for this high cost item....is amazing to me...without an attorney

All the Title companies want is YOUR money. My sister bought a house, the city had a lien against it for a sidewalk repair. Title company said the city filed it in the wrong place, so we ain't responsible.

I can't quote for US law as I'm based in the UK. They say if you're buying or selling a flat (i.e. with lease) then it's a must to use a lawyer. However, although few do it, buying a freehold house is do-able if you know what you're doing; but you do need to ensure you're checking everything, including various obscure stuff like the church land grabbing or liabilities for nearby seas etc.

I didn't use a lawyer for selling my house when it was empty (i.e. exchange and complete at the same time), it's quite simple: ensure you get the money at the same time as handing over the deeds over (using CHAPS) and before that answer any questions truthfully. I was quite lucky that the buyer's lawyer helped out, but then she knew the process would go faster especially as I answered questions overnight by e-mail.

However with money laundering (I suspect most people know this from dealing with their large wins at casinos!) you have to prove who you are and where money comes from, so sometimes (say new houses) they insist you use a lawyer as they don't want the bother of checking you out.

As to whether to use an Estate Agent (i.e. marketing your property) I guess it depends on how saleable your place is and whether you'd get x% more via an Agent rather than advertising it yourself (as the associated costs). I think there are a few well-known websites in the UK which most people use, so it depends on whether you can get your property details there.

Quote: charliepatrick

I can't quote for US law as I'm based in the UK. They say if you're buying or selling a flat (i.e. with lease) then it's a must to use a lawyer. However, although few do it, buying a freehold house is do-able if you know what you're doing; but you do need to ensure you're checking everything, including various obscure stuff like the church land grabbing or liabilities for nearby seas etc.

I didn't use a lawyer for selling my house when it was empty (i.e. exchange and complete at the same time), it's quite simple: ensure you get the money at the same time as handing over the deeds over (using CHAPS) and before that answer any questions truthfully. I was quite lucky that the buyer's lawyer helped out, but then she knew the process would go faster especially as I answered questions overnight by e-mail.

However with money laundering (I suspect most people know this from dealing with their large wins at casinos!) you have to prove who you are and where money comes from, so sometimes (say new houses) they insist you use a lawyer as they don't want the bother of checking you out.

As to whether to use an Estate Agent (i.e. marketing your property) I guess it depends on how saleable your place is and whether you'd get x% more via an Agent rather than advertising it yourself (as the associated costs). I think there are a few well-known websites in the UK which most people use, so it depends on whether you can get your property details there.

the buyers lawyer helped you out?,,,,THATS FUNNY

its like you going thru a divorce without a lawyer, and using your wifes lawyer to "help out"

Sage advice.