There are many aspects to real estate transactions, some of which could lead to litigation. Our office believes that litigation is an avenue of last resort and that mediation is a better way to resolve any disputes between buyers and sellers, or the parties and their real estate agents. Of course the key is to avoid any issues by doing things right from the beginning.
Transaction Representation
There is a lot of confusion in the real estate market at the moment, due to some lawsuits against the real estate industry and the manner by which real estate agents are compensated. For decades, sellers would list their home with a real estate agent for a set percentage of the sales price. The listing agent, with approval from the seller, would offer another agent who brought in a buyer a portion of the commission. They are now demanding that this practice be discontinued, and that the buyer should pay his own agent.
Unfortunately, most first time buyers (who represent between 25% to 40% of buyers annually) do not have the funds to do so and still qualify for a new loan. Many second time buyers are just too busy or do not want to be bothered with all of the details of the process. In an effort to help those buyers, we are in the position to help guide them through the process for a fee much less than what would be charged by a conventional buyer’s agent. We can:
- Prepare the contract
- Review counter offers
- Recommend inspections to obtain and review their reports
- Review disclosure statements from sellers
- Review loan documents and escrow
Disputes
As mentioned earlier, we will not represent buyers or sellers in litigation. What we will do is act as a mediator, an uninvolved third party, to help resolve the dispute without litigation. Even if a lawsuit or other enforcement action has been started, we can help bring the dispute to an end before too much money has been spent on lawyers, expert witnesses and other aspects of litigation.
Tax Issues with Real Estate
Real estate ownership can provide homeowners with many tax advantages, especially for a primary residence. Investment property will also provide significant tax advantages, but some of those might be subject to additional tax later on if transactions are not handled properly. If in doubt, we can help you save money and headaches related to taxes.