Real estate lawyers get a lot of inquiries about home buying. Each question, however, is unique. An aspiring real estate property owner has very specific goals. Some are looking for a real estate investment that they can put horses on, eventually sell, or convert into their dream family home. Buying and selling a home can come with various challenges, but getting legal representation and advice from a real property lawyer will allow you to overcome these.
Real estate law was meant to protect both real estate buyers and sellers. Like in any other real estate transaction, the purchase and sale of a new home require diligence and research. Aside from the fact that the purchase of real estate property involves a lot of money, all real estate transactions must be according to pertinent state law. The real estate market is not like any other market. As such, local real estate laws must be considered.
Whether you are buying or selling property, real estate attorneys can help make things less complicated. They can help clarify what is needed for aspiring real estate property owners to reach their goals.
Before buying a home, it would help to ask the following questions and our answers to real estate law basics:
- “How much can I spend for the real estate purchase?”
Any negotiation or transaction concerning real estate involves a lot of money. Tenants of a rental property should consider the difference between current renting expenses and would-be monthly payments to a creditor. These will likely be significant. Add to this the down payment that must be prepared.
Aspiring home buyers should look into their goals vis-a-vis their budget. If you are looking at a vacant property, consider what you will spend to build on it. In general, alloted building expenses are twice the cost of the lot. If you are looking into a lot that costs $1M, a total budget of $1.5M will likely not suffice.
Given these huge amounts, another thing that must be considered is would-be lenders. A would-be home buyer with bad credit often has to negotiate or take certain steps before getting more acceptable terms from a lender. A borrower with a low credit rating often goes through a lot before getting a decent mortgage loan.
- “Do I have a preference for the view from my home?”
After knowing how much you can spend, focus on location. Look for a geographic area that meets your budget. Keep in mind existing land use. A property near the airport or railroad line may come with noise problems, while those near stadiums or malls might come with heavy traffic. Consider public transportation and travel time via private cars to workplaces and schools.
Most people who want to purchase a real estate property in Malibu are looking for an ocean view. Some properties without one may be cheaper, but some include such a view in their priority list. In terms of location, another thing that you should consider would be zoning. Special zoning could be necessary for animals, for instance, and getting a zoning variance could be quite difficult given the paperwork and requirements.
- “What else do I need to consider for my home purchase?”
Buying and selling property is never simple. Aside from price (smaller lots are usually pricier than larger ones per-square-foot) and location (buying a day-to-day home that is miles away from your office is never advisable), there are other things that you should consider.
You will have an idea of the homes that are in the local multiple listing service through a licensed real estate agent. Check which among the buyer and seller will be paying such sales agent, or if there is a dual agency involved.
In terms of the real estate sales contract, you must clarify contingencies, appraisal, and escrow. You must be prepared for expenses such as closing costs, transfer tax, or even appraiser, home inspector, and homeowners’ association fees. Your mortgage shall be recorded as a lien against the real property you bought. During closings, buyers often receive a title insurance policy. Talk to your Calabasas real estate lawyer about the real estate contract and clarify what all these things mean before proceeding.
- “Where do I go from here?”
If you want to find a property that meets your goals and avoid any related legal issue, reach out to law offices specializing in these areas of law. Seek legal advice for real estate assistance and to avoid real estate litigation.
For any legal questions involving real estate and taxation, or for your other real estate needs, call our law firm. Contact us at Moschetti Law Group and get legal services from a reliable Calabasas real estate attorney.