Selling a house in New Jersey is likely to be the single largest transaction of your life. Working with the right team is important to not only complete the transaction but to provide you with peace of mind. The real estate attorneys at Kim & Feliz, LLC can help guide you through the process effectively.
Working With an Agent
Like purchasing, the process of selling a home typically begins by working with a real estate agent that will help you market the property. Once you have signed a listing agreement with a real estate agent, you will be able to rely on them for input on how best to proceed.
A real estate agent will work with you in determining the best listing price for the property. The list price is crucial to attract potential Buyers and maximize your return. The agent also plays a pivotal role in presenting the property in the best way possible to potential Buyers. Once you receive offers on the property, your agent will be helpful in negotiating the price and terms. From the Seller's side, it is not only important to consider the price of the property but the type of financing being offered to purchase the property. This information will be put in writing and upon execution of the Contract by the parties; the attorney review period will begin.
A real estate agent's knowledge of how to sell a house makes them an important first part of the home selling process.
Attorney Review
After each party receives a signed copy of the Contract, a three-day period known as attorney review begins. During this period, both Buyers and Sellers can have their Contracts reviewed by an attorney to assure that they are well educated on the terms of the contract and are adequately protected.
During this time, attorneys for both Buyers and Sellers will make changes to the contract until an agreement is reached by both sides. This agreement is of course not possible without the consent of the Buyers and Sellers themselves. Therefore, good communication between the attorney and the client is crucial during attorney review.
It is important to note that signing the Contract does not mean you are obligated to abide by the terms of the Contract. In fact, during the attorney review period, either side may cancel the Contract for any reason. It is also best that any changes that need to be made to the contract, be made during this period.
The attorney review period gives you the chance to work with an attorney that can help you understand the terms of the Contract, make any necessary changes and guide you through the rest of the home buying process.
Under Contract
After attorney review is completed and both parties have agreed to the changes in the Contract, the Contract becomes enforceable. As a Seller, the next steps are typically as follows:
- Assure the earnest money deposit is received
- Address any inspection requests
- Obtain necessary municipal certificates
- Prepare and sign closing documents
The earnest money deposit is an amount of funds held in escrow, customarily by the Sellers' Attorney, until closing. The deadline by which this deposit is due is outlined in the Contract and is typically anywhere between three and ten days.
Inspection plays a pivotal role in the transaction. Within the time frame outlined by the Contract, Buyers will produce a list of repairs they require Sellers to address. Sellers may then choose to address these defects. Negotiating issues found in inspection can be a tricky matter, but with good communications, an adequate resolution is usually found.
The Seller is also typically responsible for obtaining any necessary certificates necessary to complete the transaction. The most common is the Certificate of Occupancy. An inspector from the municipality will enter the property and ensure there are no issues with the property that will violate town ordinances. If the inspector finds the house is up to code and suitable for occupancy, the certificate(s) will be issued. Finally, the Seller will prepare a list of documents necessary to convey the property to the Buyer, including the Deed.
Closing
Closing is the day we all have worked so hard to reach. Once Buyers and Sellers have met their obligations under the Contract, the parties can close.
At closing, the sides will sign off on documents to formally transfer the ownership of the property from Sellers to Buyers. The final transfer of funds will be made at this time as well. The title company will issue payments for any owed taxes/utilities and debts on the property such as a mortgage or home equity line of credit. Of course, the transaction would not be complete without a check to you - the Seller.
Real Estate Attorneys in New Jersey: Kim & Feliz, LLC
The real estate lawyers at Kim & Feliz, LLC regularly help homeowners sell their houses in New Jersey. With our understanding of the legal process and how negotiations can break down or work in your favor, we can provide valuable advice to people looking to sell their home. Contact us online or call us at (201) 585-2250 if you want to make sure you are covering all of your bases during the sale.