Mortgage brokers, real estate agents and other licensed professionals play a crucial role in real estate transactions. They may help someone list a property for sale or make an offer on their first home. They may verify the value of the property and the income and assets of a buyer to help them qualify for a mortgage.
People working in these specialized careers typically have education about real estate law and best practices. Many real estate professionals feel confident managing transactions without outside help, but others work with an attorney for many of their clients or closings.
Why do real estate professionals who already understand complex real estate transactions involve an attorney?
They understand the value of customized documents
Whether you are a lender or a buyer’s agent, you likely recognize how crucial real estate contracts are to both the success of a possible transaction and the protection of the clients involved. Anyone with the right licensing can help a potential buyer or seller fill out boilerplate documents. However, real professionals who want to maximize the protection of their clients may draft custom documents for each transaction to maximize the benefits that the contracts provide.
They worry about something unusual in a particular transaction
Some purchases and sales are straightforward with no complications or confusion. However, there can be situations where a transaction becomes more complex, such as when the sale is part of the probate process. Having legal advice and insight can be invaluable during a closing involving a property, a title history or a buyer that deviates from the standard.
They recognize the value of an attorney’s due diligence
Lawyers helping with a real estate transaction can fill multiple roles beyond just interpreting state law or drafting contracts. They can also review the title history or interpret a proposed contract.
Having someone with a legal perspective oversee what may be the biggest transaction of a client’s life can provide security and reduce the risk of something going wrong later. A secondary review of the chain of title, for example, might catch a blemish that the company providing the title insurance policy somehow overlooked.
Knowing when you need legal help during a real estate transaction can help you protect your profession and your clients.