Top 5 Reasons We Need A Real Estate Lawyers

Top 5 Reasons We Need A Real Estate Lawyers

Let’s talk about what it is a real estate lawyer does? I really feel that a lot of people think that all real estate lawyers are the same. But I know firsthand that they're definitely different, just like realtors.

Top 5 Reasons We Need A Real Estate Lawyers
Top 5 Reasons We Need A Real Estate Lawyers

What Does A Real Estate Lawyer Do And Why Is It That We Need A Real Estate Lawyer To Close Our Transactions?


One of your biggest purchases in life is going to be buying a home unless you're buying fancy cars or something which costs as much like a condo. But more than likely for the majority of us, we're buying a home and that's our biggest purchase. You need to make sure you have somebody on your side. To make sure you know all your legal obligations and pretty much everything you're signing up for. At the end of the day, the real estate lawyers are there in your corner to represent you, should a problem arise with the whole transaction. And honestly, I couldn't state this enough all lawyers are definitely different and it's definitely good to ask a lot of questions. Just as if you were selecting a realtor.

Fees

One of the most important things and one of the most inquiries lawyer get are about the fees. In this day and age of the Internet, I'm sure you have heard of it in phones. Everybody can shop around very quickly. But the issue is, a lot of real estate lawyers now are giving their prices a certain way. Even though the Law Society tells us we can only advertise in a certain way. I feel that some of them are still not doing that. 

Disbursements

When you're shopping around for fees, you need to ask them, what the all-inclusive fee is? A fee is many different parts, there's the legal fee which is real estate lawyer fee, and there are disbursements. A disbursement is something that real estate lawyers pay on your behalf. Which is if the lawyer does a title search, a lawyer has to pay the Land Registry for that. If real estate lawyer does a registration, the lawyer has to pay the Land Registry for that on your behalf. Those go into disbursements.

Title Insurance

Most of the real estate lawyers here obtain title insurance from the same three or four companies. And lawyer all gets the same rates. Some real estate lawyers get a better rate depending on what sort of volume they do with that company. And those lawyers often pass that saving on to your client. When you go to the real estate lawyer, make sure you ask.

  • What the legal fee is? 
  • What the total disbursements are? 
  • What the title insurance is? 
  • What the registration for your mortgage is? 
  • What the registration charge for your transfer is? 
  • What the land transfer tax is?

if you're eligible for any rebate, at this point, if you're a first-time buyer you will get a rebate from the Ontario portion of the land transfer tax. the Toronto portion of the land transfer tax. You need to know all these things.

Everybody understands at home, all of the disbursements, all of the land transfer tax. Title insurance, real estate lawyers don't get that. That's not money that goes in their pocket. That's just money that they pay on your behalf. Basically a portion of what is needed to close a transaction? The only thing that they make is basically, the legal fees. A lot of the times I do really see people “all the real estate lawyers they charge so much money”. When in reality, real estate lawyers actually don't make a lot of money per transaction. They make their money on the volume of transactions.

I have also seen it firsthand, how a lot of real estate lawyers will say “I charge $500” And then another real estate lawyer will say “I charge $1500”. And people think “oh I'm going to go with the lawyer that charges $500”. Then they go ahead close their transactions, it's time to get their money. And they see real estate lawyer charge $1800. Because these are disbursements and these are things that lawyers explain after the fact. They should explain that to you in the beginning. What all the dispersants are? Right from the outset, when you get a quote. Make sure to read the fine print. If there is any sometimes real estate lawyer charge you an extra for couriers. Sometimes real estate lawyers charge you extra for arranging your mortgage things like that. That should all be included in your fees. 

Get To Know Your Real Estate Lawyer

You need to know if this person is actually practicing real estate law. At large a lot of lawyers, they tend to do multi-faceted areas of law they do. Family, criminal, immigration, all kinds of areas and real estate is not one of their major areas. That's very important. Because you need to know what they're doing? That's what's most important. Other than that, you may want a lawyer that still practices real estate law. The majority of their focus is real estate plus litigation. In case there's an issue with your closing at the end of it or before it or something. You need somebody that doesn't just refer you out to somebody else to do the litigation portion for it. You need somebody to be able to help you throughout the transaction.

That's really important because A lot of those lawyers who let's say, don't do litigation that they're the ones who probably are charging a little bit less. But it's always like I tell people a lot of the times. There's always a dispute amongst the public in terms of what Realtors charge. The same as a real estate lawyer, I don't think that you're paying the lawyer a little bit more money. Because of the transaction that's at hand. You're also going to be paying the lawyer a little bit of extra money should there be a problem. Because the real estate lawyer would have the expertise to actually help you. If there is a problem or should something arise.

Communication

Fees don't matter that much If you don't have communication. If you're reaching out to a real estate lawyer, make sure you speak to the lawyer. 

1. One of the main complaints that I get is, for the previous closing, they never ever got to meet the real estate lawyer or speak to the lawyer. They always double the clerks are the assistants. 

2. A second, how responsive are they to you? When you send an email or a text message a phone call, how quickly do they get back to you, If they don't get back to you in time? While you're shopping around, maybe if foreshadows.

3. How they're going to be once you are their client. Because good real estate lawyer does a lot to make sure, that they retain clients and to keep their loyalty to the lawyer. A good lawyer does whatever they can. And communication is key. They should be getting back to you.

I actually feel it's a great point because one of the things of the real estate lawyers is that you get a lawyer to kind of to have that peace of mind. When you're trying to contact them, you're calling them, emailing them, and you're not getting a hold of them. You're kind of; I don't feel the peace of mind in this case. 

Now you know, next time you got to choose a real estate lawyer take care of these five things that mentioned. Definitely look out for them. Don't nickel and dime for $20 and $50 with your real estate lawyers fees. Make sure you have somebody good on your side. Those $50 or $100 will end up saving you a lot more lately. That extra $1500 would give you that little bit of extra service. Which ends up being something very big at the end, such as communication. I’ll just basically trying to say in a nice wait don't be cheap.

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