During real estate transactions it is vital for each party to utilize their own legal counsel. While it is not a requirement it will present each side with the protection needed to prevent a violation of their rights. For instance, the first step of a closing is for a real estate attorney to conduct a title search. This search presents evidence of the seller’s right to sell the property and protects the buyer from losing any funds presented for the property due to a discrepancy. If you are buying a home, you should Hire Real Property Lawyer now to protect your interests.
The Title Search
When the attorney conducts a title search in preparation of the closing, he or she will present the buyer with title insurance. This insurance protects their interests in terms of buying the house. At any time that it is proven that the seller is not the rightful owner, this insurance will protect the buyer from a loss. While he or she may not have the opportunity to buy the property due to this error, they will receive the full amount of their earnest money or down payment provided.
Mortgages and Predatory Lending
The first rule that lenders must follow when providing funding to buy a house is to ensure that the buyer can afford the mortgage. He or she will conduct an evaluation based on the buyer’s income-to-debt ratio. This ratio determines whether or not the buyer’s debts are larger than their income. This valuation includes all obligations to the property including the mortgage payment and insurance requirements.
The attorney is responsible for reviewing the mortgage contract to ensure that the lender was within their rights to offer the mortgage to the buyer. This includes an analysis of their income to establish affordability. It also determines whether predatory lending practices were utilized.
If you Hire Property Law in Fredericton today, you gain access to a wealth of knowledge that allows you to avoid fraudulent transactions. The attorney will protect your interests throughout the real estate transaction.