Real Estate Considerations

Here’s some basics for those considering purchasing residential real estate:

• Know what you can afford – contact a lender (bank) or broker to see what financing that is available – be sure to obtain a document called the “Good Faith Estimate.” This must list ALL of the costs involved with obtaining the financing, and remain consistent through to closing.  This is very important.  Make sure to give it to your lawyer so he or she can make sure that, at closing, you’re not being charged anything other than what you agreed to
• When using a real estate agent/broker, choose one of the many out there that you are comfortable with, and with whom are confident that he or she will represent your best interests
• When you find something that works for you, you’ll put in an offer
• In most cases, you’ll sign a “Binder” (which will require an initial deposit), and will set the date for you to have an inspection
• At this point, you should contact your lawyer (your real estate agent generally also puts a call in)
• The Seller’s lawyer (in Fairfield County) prepares formal proposed contracts and sends them to your (Buyer’s) attorney
• Your lawyer will review the proposed contract and schedule a meeting with you to discuss the proposed terms, modify them to your liking and to protect you, and very importantly, address the concerns that were raised by your inspection
• Once the contract is finalized, you will work with your broker/lender to provide them with the information necessary to obtain a firm “Committment Letter.”  There are some significances to obtaining this financing, and your lawyer will explain it to you
• Your lawyer will also order a title search to make sure the property that you are purchasing has (or will have) clear title (i.e., no unreleased mortgages)
• Finally, there is the closing – you will meet with your lawyer to execute all legally necessary documents, as well as those required by the lender – he/she will also explain the terms of each document to you, as well as all of the disbursements made on your, and the seller’s, behalf.

We realize that the purchase of one’s home is a very significant time in one’s life, so we do our best to make a client feel as comfortable as possible.