If you are looking into making a major property purchase or sale in New Jersey, there are several considerations that you will need to take into account before entering into this financial contract. It can be an overwhelming process at the best of times, and made worse when you don’t have all the information that you need going in. To make the process easier, think about the following before you sell a home or piece of residential real estate.
- Do your homework. Come armed always with as much information as possible. Know how much properties in your area are selling for, when comparable, and know the worth of your home separately. Go into your meeting with the real estate agent with a good idea of how much you want to ask for your house.
- Find your listing agent. Choose an agent who you get along with, and who you would feel comfortable allowing in your home to show it off when you are not present. Make sure that they have your best interests in mind, and that you both agree on sales strategy. Finding someone already known to your family or friends is a good way to find a successful match.
- Find your lawyer. You will want to work with an attorney to sell your home, to help review the contract and make revisions that will protect your interests. They will also make sure you have the necessary documents prepared and that you have fully complied with all the necessary inspections.
- Evaluate the offer. Just because a buyer has made an offer doesn’t mean you have to accept it! It is not binding until you do formally agree by signing the contract. Until then, you will be able to negotiate with them for a final price of sale.
- Attorney review period. This is a three day period during which either party is able to withdraw from the contract. If no action is taken, the contract will become automatically binding after that three day period.
- Once the closing is finalized, the attorney will pay the seller the down payment for the sale, and functions as the escrow agent until that point.
- Consider the contract. Be aware of any contingencies included in your contract that may affect your payment or the contract itself later down the road. These could later invalidate the contract, if a certain circumstance does not come to pass, and while they may not be enough to not sign the contract, should be at least noted.
- Disclosure Statement. As a seller, you will be obligated to notify the buyer of any issues with the home, and if you don’t, can be held liable to damages that the buyer sustains because of those known defects that were not communicated.
- Get Inspected. The buyer will have a chance to independently evaluate the home, and if they find other major defects not noted, the seller will need to address or rectify the defect. If you refuse to do so, the buyer can pull out of the contract.
- Closing processes. You will likely not be present for the final closing sale, but your attorney will finalize the closing disclosure on your behalf. This will also finalize paying off any outstanding mortgage on the property.
For more information into the process of selling a home, and the areas of real estate expertise that we have here at the Law Office of John L. Schettino, give us a call today. I can be reached at 201-498-9768 and look forward to speaking with you at your earliest convenience.