You don't want anything to go wrong when you are purchasing your dream home. There are several pitfalls that can happen if you don't know what to look for. Some of these can be discovered before closing, while others are more likely to crop up at closing. The following are some issues to watch for.
#1: The Legal Description of the Property
There are many types of descriptions your home can fall under. For example, a single family residence means you can't remodel and rent out your basement without first getting the description changed. A home may also sometimes be described as residence only, which means those who operate a home business may not be able to continue to do so. Pay careful attention to both the zoning and description of any property you look at. At closing, it is vital to make sure the description has not been changed on any of the paperwork that you sign.
#2: Inspection Issues
When you put an offer in on a house, it is usually dependent upon the outcome of the inspection. "Usually" is the key word. It isn't uncommon for the wording on the initial contract to be in such a way that it tries to trap the buyer into forfeiting some of their escrow funds if they back out of the deal due to certain inspection issues. It's a good idea to have your real estate attorney look over any agreement you sign if money will be exchanging hands. This ensures you are still able to walk away with no losses.
#3: Closing Errors
At closing you will be reviewing and signing a lot of information. This includes the mortgage documents, land surveys, title and title insurance, deeds, and the bill of sale. These must be free of all errors, or you may run into issues later or when you eventually try to sell the home. While you should take the time to look at each document, you may want to have a trained eye with you to help. Bring your real estate attorney with you to closing so they can make sure there are no errors, typos, or issues with the way things are worded on important documents and legal items.
#4: Deadline Issues
Once you begin the home buying process there will be a series of tasks that must be done by a specific deadline. This includes everything from the initial inspection, to any owner-funded repairs, appraisals, and closing dates. You may be levied with additional fees or fines, or you may even lose the house, if these deadlines aren't meant.
A real estate attorney, like one from Valentine & Valentine PC, can help you if you are having issues getting the title company, mortgage lender, or owner of he home to uphold their deadlines. Not only will they guide things back onto schedule, they can help you get out of any fees that are assessed due to the other party's errors.