which states need real estate attorney

by Gordon Mraz PhD 6 min read

The following states require you to hire a real estate attorney when you buy a home:

  • 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
  • West Virginia

Full Answer

Which states require a real estate attorney?

 · The following states require you to hire a real estate attorney when you buy a home: 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 ...

Which states require attorneys for real estate closings?

 · If you’re getting a mortgage with Rocket Mortgage®, we require you to have an attorney conduct your closing if the subject property is located in any of the following states: …

When to use a real estate attorney?

 · Whether or not you need a lawyer at closing depends on your location. The states that require a real estate attorney to be involved include Alabama, Connecticut, Delaware, …

How do you become a real estate attorney?

 · Although you may not want a real estate attorney, you may be required to get one by law depending on where you live. Here are the states that require a real estate attorney to be …

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Do I need a real estate lawyer in Florida?

In the State of Florida, it is not mandatory for the buyer or the seller to hire a real estate attorney for the closing of the sale of residential real property. Many operations are conducted through negotiations between the parties; real estate agents, and the involvement of a title company.

Is Florida a title or attorney state?

Some states, such as Florida, are “Title Company States” that do not require an attorney to close loans or purchases as long as the closing includes title insurance.

Is Texas An attorney state for real estate?

The states that require a real estate attorney to be involved 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 ...

Does NC require a closing attorney?

Many other states in the US operate their closings with a title company and no independent attorney is involved. However in North Carolina, this is not the case. North Carolina has a law that all real estate closings must take place with a North Carolina licensed attorney.

Is New York an attorney state?

Several states have laws on the books mandating the physical presence of an attorney or other types of involvement at real estate closings, including: Alabama, Connecticut, Delaware, District of Columbia, Florida, Georgia, Kansas, Kentucky, Maine, Maryland, Massachusetts, Mississippi, New Hampshire, New Jersey, New ...

Is New York an attorney state for real estate?

Although attorneys aren't a required part of real estate transactions in many states, the local custom in New York is for both buyers and sellers to be represented by their own counsel. You might also want to hire a buyer's agent to help you find a home to purchase and advise you when making an offer.

Is Georgia an attorney closing state?

The state of Georgia has traditionally been an “attorney-closing state,” meaning that only licensed attorneys may conduct the settlement at which closing documents are signed.

Is South Carolina an attorney closing state?

South Carolina considers the conducting of a real estate closing the practice of law, which only an attorney can do. State v. Buyers Service Co., 357 S.E.2d 15 (S.C. 1986.) In South Carolina, any reputable mortgage lender will require that an attorney be selected to conduct the closing.

Do you need an attorney to sell a house in NY?

If you are selling a home in New York state, you will need to hire not only a real estate agent to market and negotiate offers on the property, but also an attorney to prepare the contract of sale and to represent you at the closing.

Do you need an attorney to sell a house in NC?

As mentioned above, North Carolina requires sellers to involve a lawyer in the house-selling transaction. In addition to taking care of paperwork, escrow, and closing, a lawyer can also help in unusual situations, such as if you need to draft a lease agreement to rent the house back after the sale.

Does Alabama require real estate attorney?

Alabama is one of the few states that requires a licensed real estate attorney to draft and prepare all legal documents involved in a real estate transaction (Ala. Code § 34-3-6(c)). “Legal documents” refers to deeds, titles, Powers of Attorney, Termite Letters, etc.

Is North Carolina a title company state?

Does NC Use Title Companies? Absolutely.

Which states require attorneys for real estate closings?

Here's a list of Attorney Only States: Alabama, Delaware, Georgia, Massachusetts, New York, North Carolina, South Carolina, Virginia, West Virginia.

Can you close on a house without a lawyer?

In some state jurisdictions, it's also a mandatory prerequisite to hiring an attorney to gather all the documents and legal advice needed in the pr...

Would I still require a real estate attorney if I don't live in these states?

While certain states require attorneys at closing, not all do. Say, for instance, if you live in Indiana then your state would not require that you...

Why do you need a real estate attorney?

Another instance in which a real estate attorney can help you is if there’s a dispute over the lot lines. If it’s not clear where the property ends and your neighbor’s begins, there’s going to be an issue when you move in and start to make any changes to the yard. A lawyer has the resources to resolve the issue so you don’t have to worry as you move in—which is a big reason to hire this type of professional!

What do real estate lawyers do?

Now you know a real estate attorney can help you with much of the paperwork you need to sign when you buy a house. But this type of lawyer’s duties go beyond preparing important mortgage and title documents. There are some specific situations where a lawyer is highly recommended in order to protect the buyer.

What to do if the seller refuses to make repairs?

If the seller refuses to make the repairs or lower the price of the house accordingly, you might need legal help to ensure you don’t lose a lot of money on the deal. A real estate attorney can assist you in either getting out of the contract at the last minute or ensuring the repairs get done before closing day.

Why do you need a lawyer for a house?

There are some specific situations where a lawyer is highly recommended in order to protect the buyer. One example is when the house you want to buy has significant damage, whether it’s a termite infestation, lead paint on the walls, or a roof that needs to be replaced.

Does a real estate attorney represent you at closing?

Then of course, the real estate attorney attends closing day with the buyer. This way, if there are any last-minute changes you didn’t agree to previously, the attorney can review them before you give your approval. If there are issues that can’t be resolved in one day, your real estate attorney will represent you in court when necessary, as he or she is equipped to get the facts from both sides and hire other professionals—such as surveyors and title companies—to solve the issue.

What happens if your real estate attorney doesn't prepare?

And if there are documents the attorney doesn’t prepare, he or she will review them to make sure they’re correct and won’t pose a problem for you on closing day. If there are any issues with the paperwork, your real estate attorney will get the changes made on your behalf so you don’t have to worry about doing this yourself.

Can a lawyer help you buy a home?

And while that’s definitely one aspect of the job, there are additional duties a lawyer can help with as you buy a home. So even if you never have to deal with any legal issues during the home buying process—as is the case for many buyers—a real estate attorney can likely still help you.

Which states require a real estate attorney to close?

Nebraska: Real estate attorneys are not essential for closing but may be advised by your real estate agent. Nevada: Real estate attorneys are not essential for closing but may be advised by your real estate agent. New Hampshire: New Hampshire requires a licensed attorney to conduct real estate closings.

Why do real estate attorneys help?

Provide peace of mind to all parties. Thanks to their experience and education, real estate attorneys can provide some peace of mind for all parties involved. They help protect clients from legal disputes and streamline the closing process for a smooth sale.

What can an attorney do in a contract dispute?

Attorneys can also act as a mediator between buyers and sellers in a contract dispute. The attorney can look back on the sale documents and provide both parties with an unbiased, legal perspective.

What do attorneys do before transferring a property title?

Before transferring the property title, attorneys evaluate public records on a property’s history, to uncover any potential liens or other issues that might negatively impact the title for the new owner.

Do you need a real estate attorney in New Hampshire?

New Hampshire: New Hampshire requires a licensed attorney to conduct real estate closings. New Jersey: Real estate attorneys are not essential for closing; however, it is customary for attorneys to conduct closings in the northern portion of the state, while title companies handle the matter in the southern region.

Do real estate attorneys need to close in Illinois?

Illinois: Real estate attorneys are not essential for closing but may be advised by your real estate agent; in Chicago, however, attorneys typically review and approve title documents.

Do Hawaii real estate attorneys need to close?

Hawaii: Real estate attorneys are not essential for closing but are often hired by escrow agents and title companies to prepare closing documents due to Hawaii’s history of land division and recording procedures and its implications on modern real estate practices.

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.

What is the job of a real estate attorney?

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. A real estate attorney takes over after the selling price and terms have been established by the real estate agents in the contract and all parties have signed.

Why is it important to have an attorney involved early in the process?

Having an attorney involved early in the process can often save time and money in the long run , Zuetel says.

Does a brokerage offer a real estate attorney?

Some brokerages offer the services of a real estate attorney and broker in one at no additional cost.

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.

Who is the executor of a property whose owner is deceased?

You’re the heir or executor of a property whose owner is now deceased.

What is a problematic area to buy a house in?

You’re buying a property in a problematic area such as a flood zone or areas with adverse conditions (tornado-prone, radon, toxicity levels, etc.).

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 ...

How many states require an attorney to close a business?

In 21 states and the District of Columbia, attorneys are legally required as part of the closing process. Attorney-required states include:

Who is responsible for underwriting title insurance?

Title company: A representative of the title company is responsible for underwriting the title insurance and transferring the clean title of the home to the buyer.

Who hires an inspector to inspect a house?

Inspector: The inspector is hired by the buyer. Their job is to make sure the buyer knows about everything that may need to be repaired on the home. Sellers also sometimes hire an inspector to do a pre-inspection so they can make any necessary repairs before putting the house on the market.

How much does a real estate attorney charge?

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.

Who to ask when selling a house?

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

Who do real estate agents refer to?

They may even have a referral for an attorney who is an expert in your specific type of sale.

How to find a real estate lawyer?

Utilize your state’s Bar association directory: Your state Bar association’s website can help you locate lawyers in your area who practice real estate law. Use the American Bar Association’s directory to help you find your state’s website.

What is a real estate attorney?

A real estate attorney is someone who is licensed to practice real estate law, meaning they have the knowledge and experience to advise parties involved in a real estate transaction, such as a home sale.

Can a real estate attorney represent both the buyer and seller?

When a person is ready to buy or sell real property, a real estate attorney can represent the buyer or the seller but not both. Representing both is not allowed because it could lead to a conflict of interest.

How to find out about an attorney?

Use an online legal review site: There are many online review websites that will give you information on attorneys in your area, including their specialties, fee structures and any reviews left by former clients.

What to ask if someone recently purchased a home?

Ask for recommendations from friends and family: If someone in your social circle recently purchased or sold a home and had an attorney, you might consider asking them who they used and what their experience was like.

How much does a real estate attorney charge per hour?

Fixed hourly rate: A real estate attorney who charges an hourly rate may charge $150 – $350 per hour, but this can vary a lot depending on how experienced the attorney is and what area you’re in.

Do you have to have an attorney at closing?

If your mortgage lender requires an attorney to be present at closing, whether the buyer or seller covers the cost of the closing attorney will depend on how your contract was negotiated. If you want your own attorney in addition to the one required by your lender, you’ll also pay for any services they provide you.

What are the requirements for a real estate attorney?

While most basic transactions in most states don’t require a real estate attorney, there are still many situations in which an attorney is not only helpful but necessary. When buying a new home, you’ll want to hire an attorney if: 1 You’re from out of town 2 The property has physical damages 3 There is an illegal dwelling on the property such as an in-law unit 4 The land is owned by the bank 5 The area is subject to adverse weather (floods, tornadoes, hurricanes, etc.) 6 You need to evict tenants 7 You need to back out of a contract 8 You need to fix a title problem or confirm ownership (often through a quiet title action)

Which states require an attorney to be present at closing?

Each state decides how to handle home closings. Georgia, Massachusetts, and North Carolina, for example, require that an attorney be physically present for each real estate transaction. Some states, such as North Carolina and Alabama, limit the amount of power a non-attorney can have in closings, including drafting legal documents and giving certain legal advice. These laws can often be vague and difficult to understand without the interpretation of a real estate attorney.

How much does a real estate attorney charge?

An attorney typically charges hourly rates between $150-$350, or a flat fee at closing. While hiring a lawyer may be more costly upfront, it can save you money in the long run by preventing problems before they arise – for instance, buying a home with a tax lien or one that is susceptible to natural disasters. Having a real estate lawyer in your corner can provide peace of mind during one of the most expensive and complex purchases of your life.

Why is it important to consult a real estate attorney?

It’s especially important to consult with a real estate attorney if anything in the house or contract seems dodgy, to avoid further problems down the line.

When buying a new home, do you need an attorney?

When buying a new home, you’ll want to hire an attorney if: You’re from out of town. The property has physical damages. There is an illegal dwelling on the property such as an in-law unit. The land is owned by the bank. The area is subject to adverse weather (floods, tornadoes, hurricanes, etc.) You need to evict tenants.

What can a real estate lawyer do?

A real estate lawyer can help the transaction go smoothly and mitigate risk. They can advise the prospective homeowner’s search for the best property, deal with brokers, write and review purchase agreements, negotiate and execute of a contract of sale, procure a mortgage, and attend the closing of the mortgage where the deed is transferred, to name a few.

Do you need a real estate attorney to close a house?

Many states require a real estate attorney to be present at closing. In other states having an attorney is optional. Knowing what a real estate attorney does is the first step to ensuring that you and your family are in the best position to make a decision before buying or selling a home.

States That Require A Real Estate Attorney

Although you may not want a real estate attorney, you may be required to get one by law depending on where you live.

What Does A Real Estate Attorney Do?

For those of you who live in a state that does not require a real estate attorney to transact, you might still want one if you have little-to-no clue what you’re doing. It’s always nice to have a seasoned professional represent you in a major financial purchase.

Where A Real Estate Attorney Can Be Especially Helpful To Buyers

The property lines are unclear and there have been prior disputes with the neighbor

Where An Attorney Can Be Especially Helpful To Sellers

Selling a property is MUCH more stressful than buying a property. A buyer, with his financing and inspection contingencies, can always back out.

How Much Does A Real Estate Attorney Cost?

The cost of a real estate attorney depends on where you live. If you live in an expensive city like San Francisco or New York City, expect to pay $250/hour and up. If you live in a less expensive city like Austin or Charleston, expect to pay $150/hour and up.

Questions To Ask Before Hiring A Real Estate Attorney

The easiest way to find a good real estate attorney is to ask your real estate agent for a referral. Any experienced real estate agent should know at least a couple highly qualified real estate attorneys. If they don’t, I recommend finding another agent.

Wise Up And Know The Rules About Buying And Selling Property

Given I live in a state that does not require a real estate attorney and I plan to buy in a state that doesn’t require a real estate attorney either, I probably will not hire one in the future.

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 ...

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.

Can a real estate agent handle a home purchase?

Usually a great real estate agent can handle a home purchase, but in these situations you may want to consider using a real estate lawyer:

How much do real estate attorneys make an hour?

Real estate attorneys are paid by the hour — market rates are between $150 and $350. You may be able to negotiate a flat rate, or a cap on the number of hours they work on your behalf.

Can an attorney advocate for you?

You’ll want to try to secure the best terms with the lender . An attorney can advocate for you in either situation.

Do you need a lawyer to inherit a house?

You might want a real estate lawyer if you inherit a house from a deceased owner, whether or not the previous owner set up a living trust.

Can an attorney help you unwind an easement?

For instance, if you’ve agreed to an easement that allows your neighbors to use your property, an attorney can help unwind or transfer that agreement before or when you sell .

What is a real estate lawyer?

A real estate lawyer is licensed to practice law and specializes in real estate transactions. A real estate lawyer is familiar with all aspects of the home purchase process and can represent buyers, sellers or lenders. In states where a lawyer is required to be present at closing, it’s possible that the lawyer is there solely to represent ...

How much does a lawyer cost?

The cost for a lawyer could be around $200 to $300 an hour, or just a flat fee of several hundred dollars that you pay at closing.

What does exclusive representation mean when buying a house?

Exclusive representation. When you are buying or selling your home, everyone has an interest in the deal getting done, including real estate agents and the lender. This can make you feel like you’re on your own at times. However, if you hire a lawyer, you’ll have access to an independent third party who can review the contract and represent your best interests throughout the transaction.

Why is it important to have a lawyer in a negotiation?

This is important because when you’re in the middle of a potentially contentious negotiation that needs to be resolved quickly, you’ll want the lawyer to be available to advise you and negotiate with the other party.

What are some situations that are unusual and might require an attorney’s advice and negotiating skills?

Here are some situations that are unusual and might require an attorney’s advice and negotiating skills: You’re buying a home that is part of a special type of sale, such as an estate sale, short sale, auction or purchase from a bank. You’re purchasing a home that’s in another state.

What is the most important document in the home sale process?

It can help you avoid potential problems down the line by making the contingencies as favorable to you as possible. The contract is the most important document in the home sale process, and it includes several negotiable issues. Some of the most important issues in the purchase contract involve: Timing. Your timeline for closing on the property ...

Do you need a lawyer to close a house?

In states where a lawyer is required to be present at closing, it’s possible that the lawyer is there solely to represent the buyer’s lender. You will need to hire a lawyer yourself if you want someone to represent your interests exclusively. Requirements governing the involvement of real estate attorneys vary from state to state and even within states, such as in California, where the rules differ by county.

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