In NJ, there are several stages of a real estate transaction between making an offer and closing on the home. One such stage early in the buying process is Attorney Review.
How Long is the Attorney Review Period?
The attorney review period begins after the buyer and seller sign a Real Estate contract completed by a Realtor or a Real Estate agent. In NJ, the typical attorney review period is three business days starting after the seller signs the contract with a buyer.
During this review period, the buyer and seller can ask through their New Jersey Real Estate attorneys to make changes to the contract. This is the period in which a buyer or seller may cancel the contract for any reason.
What Can Occur During the Attorney Review Process?
The attorney review process can be a stressful period. For example, those who are selling their property may want to keep it on the market until the review period has concluded out of concern that the buyers will back out. On the contrary, buyers who are serious about buying may get concerned during this period that sellers may get a better offer and back out of the deal. These are only two scenarios that can occur during an attorney review.
If any part of the contract is changed during the attorney review process, then the attorney review period is extended until all parties agree on the requested changes.
If there are no changes during the attorney review period, then the review period is automatically concluded, and the signed contract is binding.
A bound contract requires the seller to remove the property from the market, and the buyer is required to schedule inspections and apply for a mortgage.
Do You Need a Real Estate Attorney to Buy a Home in NJ?
It is always a good idea to work with an attorney who understands real estate law in the state in which you are buying or selling. If a real estate attorney is involved early in the buying or selling process, the attorney can review the contract and may be able to prevent some unexpected or negative developments from arising. Given the various laws, a form contract can rarely address all potential issues during a real estate transaction that will end up costing time, money, and stress.
Terms of the contract vary, and an experienced real estate lawyer can make sure your best interest is upheld during the complicated buying or selling experience.
Purchasing a new home is both exciting and stressful for any first-time homebuyer. Check out this checklist to help you through the home buying process.