What Role does my Attorney Play in the Loan Process?
Your attorney will play a huge role in your loan process. For example, purchasing a home is one of the largest financial commitments you will make in your life. That’s why it’s critical to do everything you can to make a well-informed purchase every time you buy real estate. The key to your success is ensuring that the… Read More »
Your attorney will play a huge role in your loan process. For example, purchasing a home is one of the largest financial commitments you will make in your life. That’s why it’s critical to do everything you can to make a well-informed purchase every time you buy real estate. The key to your success is ensuring that the right financing process is followed and that you completely understand your responsibilities as a borrower. If you currently have a mortgage, you may recall...
Your attorney will play a huge role in your loan process. For example, purchasing a home is one of the largest financial commitments you will make in your life. That’s why it’s critical to do everything you can to make a well-informed purchase every time you buy real estate.
The key to your success is ensuring that the right financing process is followed and that you completely understand your responsibilities as a borrower. If you currently have a mortgage, you may recall being given a mountain of paperwork to study before signing.
Your attorney can explain all of the terms and details contained in your mortgage agreement. Before you sign the contract, your real estate lawyer should go over every last detail with you.
Your lawyer is crucial because they are familiar with how lenders prepare mortgage documents and what to look for from a legal aspect to guarantee that your best interests are always prioritized.
What Your Lawyer will go Through With You
- The specifics of your mortgage loan – you’re giving the bank security in exchange for the loan
- Standard charge/mortgage conditions – covering what action the lender can take if you don’t pay your mortgage or other payments on time, such as property taxes
- What is currently listed on the title of the property
Expected Documents at Your Lawyer’s Office
- Instructions to the lender on where the money being loaned should go (e.g., to pay creditors if relevant, or to your lawyer’s trust account in full).
- Standard charge/mortgage terms from the lender
- Statutory declaration for title insurance
It’s also your lawyer’s role to make sure that any outstanding mortgages are paid off with the money from the new mortgage and that your property’s title is then cleared.
How much you pay your real estate attorney depends on their services and who is responsible for that closing cost. Depending on how your contract was designed, the buyer and seller will share the closing attorney’s fee if the one who gave the mortgage requires an attorney to also be present at closing.
In addition to the services requested by your lender, you’ll have to pay for any other services given by your own attorney. You can visit https://pinnaclelegalfunding.com/personal-injury-lawsuit-loans/ to learn more about how an attorney can help you. A real estate attorney’s fees vary, but here are some general ranges to give you an idea of how much you’ll pay:
- Fixed hourly pricing: An hourly rate for a real estate attorney might range from $150 to $350 per hour, depending on the attorney’s experience and the area you’re dealing with.
- Fixed fees for specific services: They may charge a one-time cost for the services they deliver. A real estate attorney, for example, would charge $500 to $1,500 to conduct a property closing. Their fees may also be determined by the property’s sale price.
Mayank Shekhar
Mayank is an alumnus of the prestigious Faculty of Law, Delhi University. Under his leadership, Legal Bites has been researching and developing resources through blogging, educational resources, competitions, and seminars.
