Real Estate Agent · Belmar, NJ · Member since 2017 · 370 posts · 200 votes
Hi Everyone,
I am looking for any recommendations on a RE lawyer that serves areas in North / Central NJ. I am currently putting in offers on properties and am looking to have an attorney ready for the attorney review process.
Also, for the BP lawyer folks, how do you typically handle fees when a deal falls through? For example. typical fee for attorney review / closing is $10k.. deal falls through due to disagreement over major inspection item.. buyer and seller walk away.. billable time incurred was $5k. Do you bill the client (me), or do you allow for rollover if you continue to be engaged for the service until consummation? I've heard difference of opinion on this and was curious what is considered a best practice.
All help is greatly appreciated, and happy holidays!
Lawyer/Investor · Atlanta, GA · Member since 2017 · 33 posts · 34 votes
8y
One "best practice" tip would be to make sure the lawyer spells out everything in the engagement letter. A thorough engagement letter indicates that your lawyer is thinking strategically about possible scenarios and communicating clearly with clients. If that's not happening, you probably want to look for a different lawyer.
I would not want to hire a lawyer who charged hourly for review and closing. Someone with expertise should be able to quote a flat rate for the entire project and for each stage of the project.
I would expect a lawyer to charge more if getting paid depends on future events, because that means more risk for the lawyer. If I was working with a client who didn't have a lot of money up front, I would probably charge a smaller flat fee in advance to cover my risk, with an additional contingency when the deal is consummated.