The need for an attorney

4 Replies

It is not "necessary" but a very prudent thing to have an attorney to protect you. If you do not use an attorney, there is no one in the transaction who is representing you. It is wise to have a real estate attorney review all the contracts for you. 

Originally posted by @Cynthia S. :

Is it necessary to have a lawyer when using private or hard money lenders?

Or are the contracts and terms of the deal easily understood?

If you do, be sure to factor in the costs of using that lawyer into the loan costs of your deal. 

Also, consider having an accountant look over your deal istead, including whether it makes economic sense.

Once you have used a HML and have grown comfortable both with the lender and your own abilities, you can probably dispense with it. Most of our borrowers for instance seem happy do the borrowing by themselves.