For first time home buyers (and sometimes even experienced ones), making an offer on a house can be a daunting task. It is, after all, one of the most important financial decisions you will make in the course of your life — definitely not something to take lightly. Not everyone is versed in real estate law, the drawing of contracts, or discerning which “Real Property Specialists” they can or can’t trust with their closing.

What to Do Before Making an Offer

Here are 5 important things to keep in mind when buying a home:

1. Avoid using standard contracts or agreements – It is always best to have a lawyer draw up a contract unique to your situation rather than relying on standard forms that are provided by realtors. Often, standard forms fail to cover many circumstances that can arise during the closing.
2. Understand the tax implications of the transaction – This is important for the buyer and the seller. The profit (or loss) that the seller receives as a result of the sale of the home will have a significant impact on their taxes. Attorneys can help determine whether or not a seller is able to utilize tax provisions for exclusion of these gains.
3. Find out about the area the home is in – This is less about finance and more about comfort. What will the commute be like? How is the neighborhood? Check the crime reports, find out about amenities in the local area, and visit the home at different times of day to find out how the house stacks up and when the quiet times are. These are important aspects of home buying that many people neglect.
4. Schedule a home inspection – The purchase offer needs to include a thorough inspection of the home. This is how you find out what repairs the home needs and how much those repairs will cost you. This is also a way to negotiate the price of the home with the seller, if you are so inclined.
5. Find out about taxes, dues, and bills – Just because you can afford a mortgage on the home you are looking at does not necessarily mean you will be able to afford the real estate taxes, the utility bills, homeowners’ insurance, or potential homeowner association dues. Find out about these things and their costs prior to making an offer.

Moving Forward with Your Offer

Keeping these tips in mind when going into a real estate closing can be a massive benefit to you. They will save you costly mistakes and help you avoid the most common issues that arise during the closing process. The best tip, however, is the last: Hire a lawyer trained in real estate law to help you with your closing. They will know the ins and outs of making offers, going through escrow, drawing up contracts, and the closing itself.

Let our attorneys double check your dream home to make your closing quick and painless.