Pierre C. Rumpf's Blog
Whenever someone is looking to purchase a home, there is always an inherent risk. It is common for buyers and sellers of homes to look for the best deal possible; however, it is also possible that issues might arise after a home has already closed. When looking to buy or sell a home, it is critical to be familiar with some of the common legal issues that arise. Understanding these issues ahead of time may help someone avoid devastating legal consequences after the fact.
False Advertisements May Arise
One of the most common allegations made is related to false advertisements. Sometimes, someone purchases and house and feels that they didn't receive exactly what was advertised. These ads might take place in a booklet, leaflet or on the Internet. There is a certain code of ethics that comes with any real estate advertisement. While everyone wants to get the best deal possible, it is also important to make sure that all information advertised is truthful.
Equal Opportunity with Real Estate
This is, perhaps, the most important law that everyone needs to keep in mind when it comes to real estate. In the past, it used to be common that people wouldn't sell apartments, homes or condos to people of certain backgrounds including ethnicity, religion and sexual orientation. Now, the government has clauses that protect everyone from discrimination when it comes to real estate. It is critical for anyone selling a home to make sure they provide everyone with an equal opportunity to buy that home. At the same time, those looking for a home should never feel like they are being blocked from buying a home on the basis of their gender, ethnicity, orientation or other demographic factors.
Disclose All Accurate Information Accurately
When someone is looking at various homes, they are counting on the buyer to disclose all relevant information related to the condition of that home. Nobody wants to buy a home only to realize that, immediately after purchasing the home, it is in need of substantial repairs. Sometimes, sellers will try to conceal information from the buyer in an effort to pass on the repairs to someone else; however, this is illegal. If the purchaser finds out that information related to potential repairs in the home were concealed, they can go to court and file a lawsuit to recover the costs of the repairs. Some of the most common issues that arise in this area of real estate law include boundary issues, the presence of pests, problems with the structure and roofing issues. It is important for buyers to make sure they ask for a home inspection to uncover these issues ahead of time.
41 Mount Vernon Street, Gloucester, MA 01930
Homeowners can sometimes overlook things in the excitement to buy a property. When purchasing a property, there are a few red flags that you should be aware of:
1. Fresh paint on some walls
Some homeowners sometimes use a fresh paint job to hide problems with the house. If you find out some walls are freshly painted while others are not, ask the homeowner or the real estate agent some questions. Compare the answers of the seller with the agent to see if they match. Then compare the information with the seller's disclosure beforehand about any issues or past repairs with the property. If you suspect that the home contains some home renovations that you are not aware of underneath the fresh paint, then you should call an experienced general contractor to help you take a look.
2. Title issues
A home buyer or lender will carry out a title search while the home is in escrow. You should pay attention to the preliminary title report and check if there are liens, restrictions, encumbrances and anything else that could restrict how you can use the property. When doing due diligence during the escrow period, make sure you understand your rights as a buyer on the property and any third parties included in the title. As a rule of thumb, the longer a title report is, the more likely there's something there that you should know. A preliminary title report is an important document that you should go through. If you do not understand the terms on the title document, ask for help from your real estate agent or a lawyer.
3. Cheap flips
Today's real estate market is filled with people who are looking to make money from flipping homes cheaply. Be wary to avoid becoming a victim of a quick flip. Many houses are products of extensive renovations. Sometimes the contractors use substandard building materials that may have problems despite their shiny looks. As a buyer, you should check the kind of materials used in the home you want to buy. If you don’t know much about construction, hire a general contractor to help you inspect the home extensively.
Pay attention to the seller’s disclosures to identify any red flags that may be there and if they will cause you problems in the future. Consult with a real estate agent or lawyer to help you avoid issues with your home purchase.
41 Mount Vernon Street, Gloucester, MA 01930
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