Regardless of whether you are a first-time buyer or have purchased in the past, it is important to be careful when shopping for a new home. There are many missteps that can prove costly in the long run. If you are in the market for a new home, here are some mistakes to avoid and what steps you can take.
Failing to Research the Property
Ideally, once you sign a purchase contract with the homeowner, everything will proceed smoothly until closing. Unfortunately, there are legal issues that could complicate whether or not closing goes through as scheduled.
For instance, if there is a lien on the home, the lien holder could take action to stop the close. Although this might save you the trouble of taking on the legal responsibility for the lien, your attempt to take possession of the home could be delayed.
To avoid any complications, it is important that you conduct a search of the property's records. In addition to looking for liens, you need to check the deed, tax records, and any other records that could have an impact on your ability to purchase the home. Your real estate attorney can help you determine the range of the search and conduct it for you.
Failing to Secure the Proper Disclosures
Each state has legal requirements for what must be included in a disclosure. For instance, homeowners in every state are required to disclose the presence of asbestos due to the potential health consequences associated with being exposed to it.
However, the legally required disclosures are not always sufficient enough to protect you in every situation. If the seller fails to disclose a problem with the home and it is discovered later, the seller could claim that he or she was not aware that the information had to be disclosed.
If you have a thorough disclosure though, you have a better chance of holding the seller responsible if there is an issue with the home. An experienced real estate attorney can ensure that the disclosure is worded to protect you.
He or she can also create an agreement to address what steps need to be taken by both you and the seller to resolve the issue. For instance, the agreement can state that both parties agree to split the costs of repairs or to attend mediation to work on a settlement.
There are other legal mistakes that could potentially be made when buying a home. To protect yourself, work with a real estate attorney from a company like Valentine & Valentine PC.