Lessons from the Pros

Real Estate

14 Key Professionals You Need on Your Real Estate Team – Part V

This week we will look at the final two “Real Estate” professionals needed to fill out our team; then you will be prepared to move forward with any real estate purchase. I’ve grouped Real Estate Attorney and Closing Professional together because in some areas they are one in the same.

To look back at the Real Estate professionals we have already covered,  refer back to this article:

Here is your Real Estate Team

  • A real estate attorney is a great person to have on your team.Coach
  • Agent/Broker
  • Insurance Agent
  • Accountant
  • Title Agent Rep.
  • Home Inspector
  • Contractor
  • Handyman
  • Appraiser
  • Mortgage Banker
  • Banker
  • Property Manager
  • Real Estate Attorney
  • Closing Person/Escrow Officer

Real Estate Attorney: A real estate attorney can play various roles based on your needs.  In some states it’s customary for an attorney to facilitate the closing.  In other areas an attorney can be useful in providing advice and services related to: contract issues, tenant issues, zoning issues and issues related to title.  A real estate attorney can also provide guidance when purchasing distressed properties such as short sales or probates.

When looking for and engaging an attorney, make sure they specialize in real estate and provide a written estimate with a breakdown of services.  Attorney’s charge for everything! Even phones calls and emails are billable so be selective on your communication.

A paralegal can also be a great option for things like leases and tenant eviction paperwork. They perform this work under the supervision of an attorney but their work is commonly billed at a lower hourly rate.

Closing Professional: Closing professionals vary from state to state but all essentially perform the same task.  They are the neutral third party that performs these various functions:

  • Gather the buyer’s and seller’s information
  • Verify the contract
  • Assure that all instructions within the contract have been satisfied
  • Order the title insurance policy
  • Safeguard the funds and facilitates the disbursement of funds
  • Prepare and record the legal documents such as the deed

These are the professionals that you will entrust to make sure all contractual obligations are satisfied. They also ensure that the title is legally transferred from seller to buyer.  This process varies from state to state.  The west coast uses either escrow companies or title companies to handle closings and often the buyer and seller will never lay eyes on each other.  In contrast, on the East Coast closings are literally done at a closing table where the buyer and seller sign documents with their Real Estate Attorneys present.
Closings vary so it’s imperative you are comfortable with the closing professionals and understand what the process is in the state in which you are buying property.

I hope that you now have a good feel for the real estate professionals you will need on your team as you move forward, no matter if it’s purchasing a home or buying multiple investment properties.

Great Fortune

Diana D. Hill – dhill@tradingacademy.com

DISCLAIMER This newsletter is written for educational purposes only. By no means do any of its contents recommend, advocate or urge the buying, selling or holding of any financial instrument whatsoever. Trading and Investing involves high levels of risk. The author expresses personal opinions and will not assume any responsibility whatsoever for the actions of the reader. The author may or may not have positions in Financial Instruments discussed in this newsletter. Future results can be dramatically different from the opinions expressed herein. Past performance does not guarantee future results. Reprints allowed for private reading only, for all else, please obtain permission.

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