Real Estate Transactions
At the Law Office of Nicole M. Bono, we understand that the purchase and sale of real estate is typically the biggest financial transaction that most people will ever be involved in. We strive to make the entire process as smooth as possible and we encourage our clients to communicate to us when they would like a clearer explanation of complex issues.
Our firm has closed hundreds of residential real estate transactions, and over time we have refined our procedures to the point where we can advise you what to expect at each point along the way to your closing.
Typical Buy/Sell Transaction
1. Initial Contact
During the initial contact with a client we will discuss the impact of entering into a contract and review some of the costs and fees associated in the transfer of real estate. We will also determine if a contract has been signed and whether the offer or contract contains an Attorney Modification or Review Provision. For your protection you should always consult with your attorney prior to making or accepting any offer for the purchase or sale of Real Estate.
2. Contract Review
Once a contract has been signed, a copy should be provided to your attorney as soon as possible for review. If modifications are necessary to protect the interest of our client, we will request those modifications in writing. We will also discuss the importance of any contingency dates. With the help of the client and other service providers, we will attempt to keep pace with the contingency dates or request extensions thereof, if necessary. Home inspection issues, if not previously addressed, will also be discussed during contract review.
3. Period between Contract and Closing
During the period between entering into the contract and closing the transaction, we will be available to discuss all questions and concerns the client may have as well as to advise on issues of title, insurance, financing and other specific needs of the client. We will also order and review the title commitment, survey and other necessary items and prepare the required transfer documents in the case of a sale.
4. Closing
We will schedule the closing and attend the closing with the client. At closing we will review both the financial and legal aspects of the transaction and determine compliance by all parties with the terms of the contract.
Short Sale Transactions
A short sale transaction occurs when the owner of a property has a mortgage lien or liens that exceed the market value of the real estate and the owner can no longer afford to make the payments owed on the mortgage. The Seller, Seller’s attorney, or Seller’s real estate agent will attempt to contact the lien holder(s) to negotiate whether the lien holder would be willing to accept a lesser amount than is actually owed to release their existing lien. The benefit to the lien holder for accepting the lesser amount would be the avoidance of the time and money involved in bringing a foreclosure action and the possible further depreciation in value of the property. The benefit to the Seller, is that they would be able to sell the property without having to bring additional money to closing to payoff the lien(s). It is imperative that the Seller have the assistance of an experienced real estate attorney to insure that Seller is released from all sums due and owing to the lien holder(s) at the time of short sale payoff. It is equally important that the Seller discuss the tax implications of such a transaction with their accountant prior to committing to such a transaction.
Our firm has experience in dealing with these types of transactions from the both the Seller and Buyer perspective and we are ready and willing to represent clients in this somewhat complicated process.
Foreclosure Purchases
Upon completion of a foreclosure action, the lien holder generally becomes the "owner" of the property that was foreclosed upon. The lien holder is generally a bank. Since banks are typically not in the business of property management, it is their desire to sell the property as quickly and efficiently as possible. This desire to sell quickly usually results in a listing price that many buyers perceive, as below market value, however, there are many additional risks and additional expenses that come along with purchasing bank owned property. It is the attorney’s job to make sure the buyer understands these additional risks and expenses so the buyer can make a true cost analysis before attempting to purchase a bank owned property. Our firm can provide you with counsel on some of the common issues related to purchasing bank owned properties.