Frequently Asked Questions

While not legally required, having a real estate attorney is highly recommended and is standard practice in New York. An attorney protects your interests by:

• Reviewing and negotiating the contract of sale
• Conducting title searches to ensure clear ownership
• Identifying potential issues before closing
• Representing you at the closing
• Ensuring all legal documents are properly executed

The relatively small cost of legal representation can save you from costly mistakes and provides peace of mind throughout the transaction.

A title search is an examination of public records to confirm the legal ownership of a property and to identify any liens, encumbrances, or other issues that could affect your ownership rights.

The title search reveals:

• Current ownership and chain of title
• Outstanding mortgages or liens
• Easements or restrictions on the property
• Unpaid property taxes
• Any judgments against the property

This process protects you from inheriting the previous owner's problems and ensures you're getting "clean title" to the property.

You should hire a real estate attorney as soon as you're seriously considering making an offer on a property, or immediately after your offer is accepted. Early involvement allows your attorney to:

• Review the contract before you sign
• Advise you on contingencies and protections
• Begin the title search process
• Identify potential issues early
• Negotiate better terms on your behalf

Having an attorney review the contract before you sign is crucial, as contracts in New York are typically binding once signed.

Title insurance protects you from financial loss due to defects in the title that weren't discovered during the title search. While lenders require title insurance to protect their investment, owner's title insurance is optional but highly recommended.

Owner's title insurance protects you from:

• Unknown liens or encumbrances
• Errors in public records
• Fraud or forgery in the chain of title
• Undisclosed heirs claiming ownership
• Survey errors or boundary disputes

It's a one-time premium paid at closing that provides protection for as long as you own the property.

Common contingencies that protect buyers include:

• Financing contingency: Allows you to back out if you can't secure a mortgage
• Home inspection contingency: Permits withdrawal or renegotiation based on inspection results
• Attorney review period: Gives your attorney time to review and approve the contract
• Appraisal contingency: Protects you if the property doesn't appraise for the purchase price
• Sale of current home: Makes purchase conditional on selling your existing property

Your attorney can advise which contingencies are appropriate for your situation.

New York requires sellers to complete a Property Condition Disclosure Statement that covers:

• Structural issues (roof, foundation, walls)
• Mechanical systems (HVAC, plumbing, electrical)
• Environmental hazards (lead paint, asbestos, radon)
• Water and sewage systems
• Any known defects or problems

You must disclose all known material defects. Failing to disclose known issues can result in legal liability after the sale. When in doubt, disclose—it's better to be transparent than face a lawsuit later.

To prepare for a smooth sale:

• Gather important documents (deed, mortgage payoff information, property tax records)
• Complete any necessary repairs
• Obtain a current survey if available
• Collect warranty information for appliances and systems
• Prepare disclosure documents
• Have your attorney review all documentation

Being organized and prepared helps the transaction proceed smoothly and reduces stress.

Once you've signed a contract of sale, backing out can be complicated and may have financial consequences. You may be able to cancel if:

• The buyer fails to fulfill their obligations (e.g., doesn't secure financing)
• The buyer invokes a valid contingency
• Both parties agree to cancel

However, if you simply change your mind, the buyer may be entitled to keep your deposit or even sue for specific performance to force the sale. Always consult with your attorney before attempting to cancel a signed contract.

The closing is the final step where ownership officially transfers from seller to buyer. At closing:

• All parties (or their representatives) meet to sign documents
• The buyer brings funds for down payment and closing costs
• Final documents are reviewed and signed
• Money is exchanged (funds transferred to seller, fees paid)
• Keys are handed over to the buyer
• The deed is recorded with the county

Your attorney will guide you through each document and ensure everything is properly executed.

From contract signing to closing typically takes 60-90 days, though this can vary based on:

• Financing timeline (mortgage approval process)
• Title search and resolution of any issues
• Home inspection and any required repairs
• Appraisal scheduling and results
• Coordination of all parties' schedules

Cash purchases without financing contingencies can close much faster, sometimes in as little as 2-3 weeks.

At closing, you'll sign numerous documents including:

• Deed: Transfers ownership from seller to buyer
• Bill of Sale: Transfers personal property included in the sale
• Closing Statement (HUD-1): Itemizes all costs and fees
• Mortgage documents: If obtaining financing
• Title insurance policy: Protects against title defects
• Affidavits: Various sworn statements about the property

Your attorney will explain each document before you sign and ensure your interests are protected.

Buyers should bring:

• Valid government-issued photo ID
• Certified or cashier's check for closing costs (or arrange wire transfer)
• Proof of homeowner's insurance
• Any documents your attorney requests

Sellers should bring:

• Valid government-issued photo ID
• House keys and garage door openers
• Any warranties or manuals for appliances
• Remote controls for fixtures

Your attorney will provide a detailed list of what you need to bring specific to your transaction.

Closing costs in New York typically range from 2-5% of the purchase price for buyers. These may include:

• Attorney fees ($2,000-$3,500)
• Title insurance ($1,000-$3,000 depending on price)
• Title search fees ($200-$400)
• Mansion tax (1% on properties over $1 million)
• Mortgage recording tax (varies by location)
• Bank attorney fees (if getting a mortgage)
• Home inspection ($400-$600)
• Appraisal fee ($400-$600)
• Survey fee ($500-$1,000 if required)

Your attorney will provide a detailed estimate of your expected closing costs early in the process.

Attorney fees for residential real estate transactions in New York typically range from $2,000 to $3,500, depending on:

• The complexity of the transaction
• The purchase price of the property
• Whether issues arise requiring additional work
• The location of the property

We provide transparent pricing and will discuss our fees upfront. Many attorneys, including our firm, offer flat-fee arrangements for standard transactions, so you know exactly what to expect.

Buyer typically pays:

• Their attorney fees
• Title insurance (owner's policy)
• Title search fees
• Mortgage-related costs
• Home inspection
• Recording fees for the deed and mortgage

Seller typically pays:

• Their attorney fees
• Real estate broker commissions
• Transfer taxes
• Any agreed-upon repairs or credits
• Payoff of existing mortgage

These are typical arrangements, but costs can be negotiated as part of the contract terms.