I am Burt MacDonald. We are slowly turning into a country of renters as more and more millennials feel that they prefer renting, which requires much less commitment than owning a home. I have completely embraced this lifestyle as well. I never feel like I can live in a city for very long. It doesn't take long to see most of the things you'd want to see in a given city. So I have decided to create a blog where I will cover various aspects of real estate, from both a owner's and renter's perspective, to help anyone I can.
Buying real estate can be a great investment that can provide a healthy return while also providing you with a place to live or income from rents. However, real estate transactions can highly complicated. If you are not prepared, you will find that you can inadvertently expose yourself to a more liability than is absolutely necessary. Considering the sizable expenses that will go into a real estate purchase, you will want to make sure to avoid these liabilities as they can be rather large.
Have An Attorney Review The Sale Contract
One of the most important documents in the real estate transaction will be the sale contract. While most of these contracts will be fairly uniform, you will always want to have any potential sale contract analyzed by an experienced real estate attorney. These individuals will be able to interpret the contract so that you are aware of the exact terms as laid out in the sale contract. This can help reduce the risk that the seller attempts to hide a misleading clause in the contract. For example, the seller may have verbally stated something that is contradicted by the sale contract, and this review will allow you to correct the situation before signing the contract. In situations where you are selling real estate, you can use one of these attorneys to craft sale contracts that will provide you with the most protection possible.
Be Mindful When Choosing A Title Insurance Policy
Buying a property that is currently involved in a title dispute can be a major mistake for anyone to make. Often, these problems arise when a previous owner failed to settle debts that used the property as collateral. In these situations, you may assume that the debt will follow the owner and not the property. However, it can be possible for previous lenders to place liens on the property, which can allow the creditor to foreclose on the property as a way to settle the debt.
Due to the severity of being involved in a title dispute, it is critical for you to invest in title insurance as these policies will protect you in the event that a lien or other problem with the title arises. Unfortunately, the coverage offered by title insurance policies can vary widely. When choosing one of these policies, you will need to closely review the coverage limits. Otherwise, you may choose a policy that does not provide enough compensation for the value of your property.