The paperwork

E - Real Estate Attorney: Can you get by without using a lawyer?

Get by without a real estate attorney? Are you serious? 

When selling your home and especially if selling by owner, it is recommend that you have an attorney lined up, even prior to putting your home on the market. 

In most states you are not required to have your own attorney. However, in most real estate transactions both parties do indeed have their own attorney, even when the parties are using real estate agents.

Why you should have an attorney:

Because of loan amounts involved, you can be assured that the documents relating to the sales contract, mortgage and the property ownership will undergo intensive scrutiny by the lender’s legal department. 

Your own personal legal representation can eliminate a number of problem situations. A real estate attorney can:

• Evaluate complicated offers.
• Act as an advisor during negotiations. 
• Offer professional and legal advice.
• Act as an escrow agent to hold the earnest money deposit.
• Represent you at closing to explain what you’re signing and protect your interests.
• Review any and all other documents related to the sale.
• Act as a Power of Attorney if you don’t attend the closing.

Your attorney should be experienced in residential transactions. Whether you are listed or selling as a by-owner, you want someone who knows the ins and outs of offers and contracts. In addition, your attorney should have a positive, conciliatory attitude in making, rather than hindering, contract negotiations.

Cost:

An attorney usually charges a flat fee of $250 to $600 (and up depending on property value and or local custom) for a typical closing. Let the attorney know how much guidance you’ll need (first time seller, new to the area, first sale in many years, have some unusual circumstances, etc.). A very low fee usually means you'll get minimal attention and you shouldn’t expect (or probably you don’t need) much one-on-one consultation. 

If you need an attorney, get recommendations from friends, neighbors who recently sold, real estate agents, the yellow pages or go to lawyers.com or realestatelawyers.com.