The Roles Of A Real Estate Attorney In Property Transactions
It is vital for anyone planning to buy a home to rely on expert advice to mitigate future property contentions. The real estate sector comprises numerous experts who guide buyers in making feasible investment decisions. For example, a real estate attorney helps with negotiating real estate transactions on behalf of homebuyers. A real estate attorney also represents clients in property-related disputes, serving as an overseer. Investors should consider hiring real estate attorneys to ensure they conduct due diligence before committing to property transactions. The lawyers' primary responsibilities are discussed below.
Drafting Legal Documents
The first and most obvious job of a real estate attorney is to draft property transfer contracts. Given the importance of real estate transactions, a real estate attorney must carefully draft the contracts to capture the exact conditions agreed upon by all parties. Moreover, the real estate contract must follow general legal drafting requirements and real estate transaction guidelines.
A real estate attorney also has experience preparing contracts for business and residential real estate transactions. For example, real estate attorneys draft leases and easements to support real estate contracts. A lease agreement defines the terms between a landlord and a tenant, whereas an easement governs access to and use of someone else's property. Individuals should consult a real estate attorney depending on the nature of their transactions.
Ensure Compliance with Zoning Ordinances
Typically, towns or cities have a development vision regarding their real estate sectors. For example, zoning rules govern the use of private property in the public's interest. They also govern what a private property owner can do with or to their property. Before purchasing property, a homebuyer should understand the zoning restrictions of the city in question. A real estate attorney can advise on which cities have favorable zoning restrictions based on the property's intended use. A real estate attorney may also negotiate with local authorities on behalf of a client to reduce zoning restrictions.
Create Entities to Hold Real Estate Property
The work of a real estate attorney does not end at the closing. Following the closing, a real estate attorney can form entities such as a limited liability company (LLC) or establish a trust on the client's behalf for business transactions. Holding real estate property through other corporations is substantially less expensive because of tax incentives. Moreover, a real estate attorney can retitle a property from a client's name to the name of a company or a trust to cut taxes. Thus, buyers may hire real estate attorney services for assistance in obtaining tax benefits.