Westford, MA · Member since 2016 · 113 posts · 106 votes
Hi BP!
Tomorrow I have an opportunity to meet with a Real Estate Attorney for the first time. I am in the process of acquiring my first rental property and want to have a list of questions prepared for him.
What questions should I ask?! What questions do you always find yourself asking a Real Estate Attorney??
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
9y
Hi Scott,
Are you buying this in an LLC? This is a huge, never ending debate here on BP if you want to research it. Is this a standard deal off the MLS? Do you have leases/estoppel certificates for all the tenants?
I don't personally have tons of questions for my attorney, but I use him all the time for deals in my target area (Chicago western suburbs). If you are looking to establish a relationship, you might ask how the attorney bills. My attorney gives me a flat fee, but a lot of attorneys may bill hourly. I learned this the hard way when I was billed over $300 an hour for writing emails and making phone calls!
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
9y
Hi Scott,
Are you buying this in an LLC? This is a huge, never ending debate here on BP if you want to research it. Is this a standard deal off the MLS? Do you have leases/estoppel certificates for all the tenants?
I don't personally have tons of questions for my attorney, but I use him all the time for deals in my target area (Chicago western suburbs). If you are looking to establish a relationship, you might ask how the attorney bills. My attorney gives me a flat fee, but a lot of attorneys may bill hourly. I learned this the hard way when I was billed over $300 an hour for writing emails and making phone calls!
Minneapolis, MN · Member since 2013 · 2k+ posts · 1k+ votes
9y
I've used attouney for last 3 sales and 1 purchase,,
Ask for blanket price for entire process,, If you have a seller do they have a realtor or not..
Basically all closing costs are kind of similar,, only thing that is better is if you don't have to pay realtor fee's, you both have attorneys handle the transaction or you use yours..
Attourney should write up PA purchase agreement, buyer usually submits the PA to seller. Find a Title company Attourney is comfortable working with they research title / abstract and any questions you have.. Utilities, taxes, are all prorated in closing schedule..
Get Assignment and Assumption of leases from seller,, rent roll, copy of leases, deposits plus interest, and do a walk thru prior to closing.. notices to tenants date of sale from seller of new owner,, notices to tenant by you of new ownership and where to pay rent, and emergency contact for maintenance issues.. Leases transfer so any leases would remain in effect until expiration,, the PA should state no new lease terms for anyone from time PA is signed until closing.. they can accept vacate notices but not new tenants. Proof of insurance is required for closing so talk with your agent get that set up. Check with city records of any permits, inspections on bldg,, and have a good contractor walk building with you prior to making offer.
Your financing should be all set,, before you put in offer,, your banker is just as important..
The answer depends on what you want the lawyer for. It also depends on if you have experience working with a lawyer in the past.
I'm a lawyer but I also hire many lawyers. Sometimes I need to ask a lot of questions --- other times, I send them an email and tell them to take care of it. It all depends on the situation.
Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it as legal advice. Always consult with your attorney before you rely on the above information.