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

In the early stages of your sale, you can ask them to look over the listing agreement with your real estate agent to make sure that the terms are in your favor. Real estate attorneys are also equipped to review offers as they come in and identify red flags or tax benefits and considerations.

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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.

What to do when you receive offers on a house?

Once you receive offers on your house, it pays to sit down and carefully consider them. If you have a real estate agent, this is where he or she can really prove his or her worth. The highest offer is not necessarily the best offer, and your real estate agent can explain some of the nuances of home buying. For instance, although one buyer may have offered more, there may be conditions attached to that offer. Another common example is when the buyer's financing is questionable: it may not be worth the risk even if the buyer's offer is the highest.

How to advertise your house?

This means you should list your house on the Multiple Listing Service, and consider listing your house on websites, in classified ads and holding open houses. Realize that many inquires are simply curious neighbors or are like you, getting a feel for the local housing market.

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 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.

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.

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).

How to sell a house without an agent?

That means you’ll need to juggle getting your home listed online, marketing it via social media, printing flyers and brochures, and thinking up other ways to get buyers through the door.

What happens if you sell your first home?

Especially if it’s your first time selling, you may make costly mistakes that a real estate professional wouldn’t — like pricing your home too high and having it sit on the market for a long time.

How many sellers sell their home without an agent?

According to the Zillow Group Consumer Housing Trends Report 2018, just 10 percent of sellers who sold in the last 12 months complete the sale of their home without ever engaging an agent. Another 10 percent try to sell on their own but eventually turn to an agent for help.

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.

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.

How to avoid paying a listing agent commission?

Act like a professional. Ensure you have qualified buyers. Hire a real estate attorney. Don’t rule out an agent. Selling your house for sale by owner (FSBO) to avoid paying a listing agent commission can be financially appealing, but the process isn’t as easy as you might think.

When is the best time to sell a house?

Also consider that you can sell faster and for more money during the peak selling time for your local real estate market. Do your research to find out which part of the year is best in your area. Nationally, it’s the first two weeks in May, where listed homes sold almost two weeks faster than average and for $2,500 more, compared to average points in the year.

Who to ask when selling a house?

From a friend: Ask colleagues, family members, friends or neighbors who they used in their home sales.

What to do when selling a house with someone other than your spouse?

Joint sale: If you are selling a home with someone other than your spouse, an attorney can help you keep both your best interests in mind . As mentioned before, an attorney for each party ensures both sellers’ interests are prioritized.

How much does a real estate attorney cost?

How much you’ll pay for real estate attorney fees depends on your market and how involved they are in the transaction, but they typically charge a flat rate of $800 to $1,200 per transaction . Some attorneys charge hourly, ranging from $150 to $350 per hour.

Why do you need an attorney for real estate?

An attorney helps you protect your investment and assets while ensuring you’re conducting your side of the transaction legally — which can prevent costly missteps. Real estate attorneys are required in many states, but even if you aren’t legally required to use an attorney while selling, it can be a good idea.

What to do if you have liens on your home?

Liens: If there are outstanding liens on your home, an attorney can help resolve those issues and clear the path to closing. They can communicate with the title company to make sure all lien holders get paid correctly.

What is a real estate attorney?

Real estate attorneys help oversee home sales, from the moment the contract is signed through the negotiating period (aptly called the “attorney review”) to closing. A seller’s attorney reviews sales contracts, communicates terms in a professional manner and attends closings to prevent mishaps. Selling a home is a complex process ...

What to do if you inherited a home?

An attorney can help you navigate the complexities. Estate sale: If you inherited the home you’re selling, hiring an attorney to sort through ownership documents can ease the burden, which is especially helpful when you’re grieving the loss of a family member.

How do I find a real estate attorney?

A good real estate agent can refer you to a real estate attorney. Sellers can also find real estate lawyers through the ​​American Bar Association, FindLaw, or other professional organizations, like your state’s bar association.

Why do sellers need an attorney?

Some sellers also appreciate that an attorney can help navigate legal issues and protect them from future litigation or conflict.

How much are real estate attorney fees and costs?

Real estate attorneys usually cost $150–350 per hour, and bill by the tenth of an hour. So, you could pay $15–35 for every six minutes of their time. Or, if they’re performing standardized work (like drafting a contract), you may pay a set flat fee.

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 does a real estate lawyer charge?

Real estate lawyers usually charge $150-350 an hour, or may offer flat fee rates for straightforward work

What can a real estate lawyer do?

A real estate lawyer can help you understand your rights as well as your tenants’ rights, and help protect you from litigation.

What to do if the owner of a home doesn't set up a living trust?

If the owner didn’t set up a living trust, you’ll want a lawyer to guide you through probate before you sell the home.

Selling Your House With a Real Estate Attorney

If you want to put list your home for sale, you have several options. You can list it as for sale by owner, list it with a real estate agent or broker, or use the help of a real estate attorney. A lot of people are unaware that some attorneys are actually very experienced with real estate.

What does a real-estate lawyer do for a seller?

In most real-estate sales, the lawyer representing the seller has an easier job than the individual representing the buyer.

Why do you need an attorney when selling a house?

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 does a real estate attorney do, anyway?

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.

What is the education required for real estate agents?

As part of agents’ licensing education, they’re taught and tested on real estate contracts used within their state, many of which also require continuing education courses and/or certifications on subjects such as ethics, buyer’s agency, distressed property sales, and more.

Which states require a real estate attorney to be present at closing?

These include Alabama, Connecticut, Delaware, District of Columbia, Florida, Georgia, Kansas, Kentucky, Maine, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New York, North Dakota, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, and West Virginia. Keep in mind that these rules can vary by region within states, too.

Who attends closing with real estate agent?

In case any last-minute issues crop up, the attorney will attend your closing along with your real estate agent and possibly a representative from your lender.

Does realtor.com make commissions?

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Local laws

Depending upon where you live, it might be required by law that you use an attorney for at least part of the process of selling your home; check with your real estate agent or look at the laws in your area to see if attorneys are required in your state.

For sale by the owner (FSBO)

If you’re opting to forego working with a real estate agent in selling your home, then you’ll almost certainly want to find an attorney to aid you in selling your home under FSBO.

Liens and judgments

If you have any outstanding liens or judgments against your property, you’ll need to resolve them before you go through with any sale, and might want to take care of any problems even before engaging with a buyer.

Title issues

Liens or judgments are the most frequent issues that are found when a title search is done, but aren’t the only problems that can be uncovered. Clerical errors, illegal deeds, or even previously unknown heirs to the property can bring the sale to a halt, and all require the help of an attorney to navigate.

Easements

Your property might have an easement upon it that gives another party access or right to use some portion of the land, which, depending on the nature and extent, may not be an appealing feature to a potential buyer.

Divorce

Many couples that buy a home together eventually split up, and handling the eventual sale of the home can be tricky if both names remain on the deed and mortgage.

Tenants

Renters might prove an unwanted complication for anyone selling what is not explicitly a rental property, and dealing with tenants requires caution to prevent violating their rights. The fact that the property is for sale doesn’t necessarily mean you can tell them to pack up and leave; the lease terms and tenant’s actions must be considered.

Can a real estate attorney negotiate a price?

Even though they know the legal aspects of the agreement, real estate attorneys are not price negotiators. That is the job of a real estate agent. So, in trying to save money and asking an attorney to negotiate in place of an agent, you might end up losing more money.

Do sellers hire agents?

In the majority of the cases, a seller will hire an agent right after they decide to list their home. In that case, ask your agent if he or she knows of an experienced attorney that they’d feel comfortable recommending. Agents are involved in real estate agreements every day and have met and/or worked with lawyers on past real estate transactions.