Buying a home is a big decision. Whether it be a modest first-time home or a multi-unit investment property, home buyers should take every precaution before the purchase of any Rhode Island real estate. One of the most important things that prospective home buyers can do before beginning their search is to understand the roles of all the parties involved in the Rhode Island home-buying process.
Most Rhode Island real estate transactions involve at least one real estate agent, but most involve both a listing agent and a buyer’s agent. When someone plans to put their home up for sale, they may contact a listing agent. The listing agent handles the marketing of the home and will negotiate with prospective buyers. Those who are looking to buy a home may contact a buyer’s agent. A buyer’s agent finds properties for sale that match the buyer’s specifications. A buyer’s agent will also negotiate on behalf of their client and, importantly, will often draft legal documents such as an Offer to Purchase or a Purchase and Sale Agreement.
Home buyers should contact a Rhode Island real estate attorney to review all legal documents that are drafted by real estate agents. While real estate agents may seem to know what they are doing when it comes to a real estate transaction, real estate agents are not attorneys and do not have any formal legal training.
Real estate attorneys can also provide legal advice related to zoning and title concerns. Under Rhode Island law, home buyers have the right to select their own attorney to perform the title search. A title search is essential because this is the process by which a prospective home buyer learns if there are any unknown liens or encumbrances on the property, for example, if a neighbor has an easement to use a portion of the property. Easements are especially common in waterfront property or property that is located near the waterfront.
When a prospective home buyer finds a property that they want to purchase, they will make an offer. Most likely, the prospective buyer will include several contingencies into that offer. For example, an offer may be contingent upon a buyer’s ability to obtain financing. Another common contingency is that the home receives a satisfactory Rhode Island home inspection report. Most buyers choose to hire a home inspector to check the property for any issues that can be difficult to detect. If issues are discovered, the prospective buyer than has the option to re-negotiate with the seller or ask them to fix the issues.
Bankers are also important to the home buying process. Bankers are involved in most Rhode Island real estate transactions because few buyers have sufficient cash to purchase a property outright. Bankers loan money to home buyers through a loan called a mortgage that is secured by the newly acquired home.
Are You Considering Purchasing a Rhode Island Property?
If you are currently looking to buy a Rhode Island property, contact the dedicated Rhode Island real estate lawyers at the law firm of Bilodeau Capalbo, LLC. There are many nuances to purchasing Rhode Island property, and at Bilodeau Capalbo, we are experienced in representing buyers in all types of Rhode Island real estate transactions, including both residential and commercial purchase. To learn more, call 401-300-4055 to schedule a free consultation with an attorney today.