Purchasing property is one of the largest financial transactions that people will make in their lives. Real estate lawyers play a crucial role in making sure that the process is done correctly.
While hiring a real estate lawyer is expensive, it can save you money in the long run by avoiding unnecessary legal fees. In this article, we will look at what does a real estate lawyer do in Canada.
Legal Advice
A real estate lawyer is your guide through the complex legal aspects of buying and selling property. They understand the legal jargon and are responsible for reviewing important documents, such as the purchase agreement, ensuring that there are no liens or claims against the property and that all taxation matters are handled.
They also perform property searches and review the title of the property to ensure that there are no issues that would prevent the sale. They may even help the buyer to arrange for title insurance and ensure that they are protected in case of any problems with the property’s ownership.
Real estate lawyers can also help with local government regulations such as zoning laws. For instance, they might help a homeowner petition to change how the land is zoned or defend against a rezoning application that has been filed by another party. They may also help buyers with mortgages and closing the transaction.
Document Preparation
Whether it’s drafting documents for a sale, purchase, or refinance, real estate lawyers are trained to make sure all forms and contracts are legally correct. This is especially important as real property in each province is handled by a land titles office which acts as a permanent, government-certified, searchable registry of ownership.
A real estate lawyer can assist with reviewing contracts prior to signing and explain the legal jargon to ensure you fully understand the agreement you’re entering into. They can also prepare documents such as amendments and addenda which are used to modify the terms of a contract or address specific issues that arise during the process.
A real estate lawyer can also handle additional parts of the home buying or selling process like title searches and review and transfer documents from the seller, or act as a closing agent for your lender. They can even arrange and attend the actual closing, either virtually or in person.
Negotiation
A real estate lawyer is trained to negotiate and can protect your best interests in a home purchase or sale. They can also help you work through the financial portion of a transaction and ensure that the closing date goes smoothly.
Typically, your real estate agent is the one that prepares your purchase agreement or contract of purchase and sale (or something similar in another province). Real estate lawyers take a look at these documents from a legal perspective to ensure that there aren’t any issues that could pop up during or after the home buying process.
These legal professionals also help you arrange for title insurance and may assist with preparing mortgage documents as well. As part of their responsibilities, they verify the identity of all parties involved in a transaction as required by FINTRAC, which monitors monetary transactions to prevent money laundering and terrorism financing. They also provide advice on property tax and mortgage rates in different parts of Canada.
Closing
During the closing process, your real estate lawyer will ensure that all of the necessary paperwork is properly filed. They’ll also make sure that the terms of your agreement of purchase and sale are honoured. They can also help you open an escrow account to hold any money associated with the transaction until the closing date.
They can also provide advice regarding applicable laws and regulations and assist in ensuring that all legal requirements are met for a successful closing. Moreover, they will inspect and review the property title to ensure that there are no liens registered against it. They can even arrange for title insurance, which protects against genetic vulnerabilities in the property title that may not be apparent from a search of public records.
Buying and selling a home is one of the most significant financial transactions that most people will encounter in their lifetimes. A real estate attorney can alleviate much of the stress and anxiety that comes with it by handling important legal matters for you.
