CHOOSING AN ATTORNEY FOR A REAL ESTATE CLOSING

real-estate-attorney copy

Most mortgage brokers and/or real estate agents or brokers will recommend one or more attorneys to you to assist you in your real estate transaction. You are not required to use any of the attorney’s they recommend. You have the right to be represented by an attorney of your own choice. Most of the attorneys they recommend are those with whom they have a personal or business relationship. Obviously, if you know and trust the broker outside of this transaction, then their recommendation should be considered more heavily. Ultimately, the question is, is the broker making the recommendation in your best interest or in their best interest of making sure the closing goes through so they make their commission.

You should first ask your own attorney, if you have one. If they don’t practice real estate law, they will probably have a real estate attorney they can recommend to you. A recommendation from any attorney you know is better than a recommendation from a broker that you do not know, because your attorney has an interest in making sure you are represented properly and professionally because it will reflect upon him or her and your relationship. You ultimately have to do your own homework, and research any attorney you wish to use. Purchasing a home is typically the single largest purchase a person will make, and potentially involves numerous legal issues. You will want to make sure that the attorney you select is an experienced real estate attorney who is focused on representing your interests throughout the closing process.

Certain lenders have “closed lists”. What that means is that they will only let attorney’s that they have approved close loans for them. Just as you have the right to be represented by an attorney of your own choice, your lender has that same right. Traditionally, your attorney would represent you and would also represent the bank in a purchase or refinance transaction. However, with increased regulation of the lending process, many lenders are restricting who represents them because the potential penalties for mistakes (or violations) can be extremely costly to the lender (some are $1,000,000.00/violation). So when considering an attorney for your closing, you will need to make sure that the attorney you select is on the approved list for your lender, if your lender restricts who can close its loans.

“When results matter, experience counts”

6 Comments

  1. Posted February 6, 2017 at 3:32 pm | Permalink

    If you are spending so much money on something, you should definitely hire an attorney or a legal professional to help you out! I would be very nervous just trust myself or one person. It helps us sleep better at night knowing that someone else looked over everything and made sure it was legally sound.

  2. Posted March 13, 2017 at 3:02 pm | Permalink

    Real estate is a big investment! I would want to make sure that I have all my bases covered and I’m not missing any major or even little red flags. That’s why I would hire an attorney with any deal I close to help assist me and make sure I”m making an okay decision.

  3. Posted May 9, 2017 at 6:11 pm | Permalink

    My husband and I are getting ready to sell our house, and our real estate agent suggested that we consider hiring an attorney that deals mostly in real estate to help us. I was just curious what would be the best way to find one that will work for us. I like how you said that we should ask our regular attorney, and if he doesn’t practice real estate law then maybe he knows somebody who does. This is a great idea because our attorney has a better idea of who we are, and which of his colleagues would work best for us. That is really a comforting notion.

    • avatar Lou Crisci
      Posted May 9, 2017 at 7:25 pm | Permalink

      Hi Alex:
      I thank you for your comment and I am glad my Blog was helpful to you. Should you need any real estate work (or other legal work) in Connecticut, please feel free to give me a call at 203-407-4200. Have a nice day!
      -Lou Crisci

  4. Posted June 5, 2017 at 3:51 pm | Permalink

    Right now my husband and I are looking to buy a home. We want to make sure we find a real estate attorney to help us with all the legalities and paperwork of the process. I didn’t realize that certain lenders have “closed lists” with just attorney’s that they have approved. We’ll be sure to check this. Thanks for sharing!

    • avatar Michael Sgrignari
      Posted June 9, 2017 at 12:39 pm | Permalink

      Our pleasure Annika – Glad to help you make an informed decision. Best of luck on your house hunt. If we can be of any assistance, please reach out to us.

Post a Comment

Your email is never published nor shared. Required fields are marked *

*
*

X

Contact Form

We will respond to your inquiry in a timely fashion. Thank you.

  • This field is for validation purposes and should be left unchanged.
Gesmonde, Pietrosimone & Sgrignari, LLC
3127 Whitney Avenue
Hamden, Connecticut, 06518-2344 USA
203.407.4200