Should I work with a real estate agent? A real estate lawyer? Others?
A home purchase is one of the single largest financial transactions most consumers make in a lifetime. You should approach the temptation to “do it yourself” with the same caution as if you were considering repairing your own transmission or removing your own appendix. The right professionals will not only help you with the purchase of a home and offer direction on what you should consider, but can potentially save you many times their fees by avoiding costly mistakes and providing the information you need to make an informed decision.
- A real estate agent can advise you on the marketplace and what is available in your price range, as well as help you to consider aspects of a home which may be important to you (such as nearby schools, shopping, and commuting options). However, under Illinois law, a real estate agent cannot render legal advice on your purchase. For that you will nee a real estate attorney.
- A real estate attorney owes an undivided duty of loyalty to you, and provides objective advice. Buying a house involves significant legal rights and obligations, and your attorney can explain the terms and help you understand what you are signing. An attorney will also make sure you get what you believe you are getting, be it the terms of your loan, what’s included with the sale price, or the seller’s representations on the condition of the house. The attorney will help guide you at closing through the stack of documents that you will be asked to sign, and check to be sure that the conveyance documents have been properly prepared and actually convey good title to the property to you.
- A professional home inspector is engaged during the “home inspection contingency” period of the contract. The inspector will go through the home inside and out, and provide a written report on the condition of the home’s structural components, its mechanical systems and appliances. Knowledge of potential maintenance issues, defective conditions and life expectancies of major components will enable you to evaluate the home’s true worth and can provide a basis of further negotiation with the seller.
- A mortgage loan officer can help you determine what kind and amount of mortgage payment you can afford and alert you to financing options that can make a home more affordable. A loan officer can also help you pre-qualify for a real estate loan which may enhance your bargaining position with the seller.
- A homeowner’s insurance agent can provide information on the amount, type and cost of coverage you'll likely need. You will be required to provide proof of insurance before your lender will allow you to close on the property.
