Roles of Lawyer and Notary in Real Estate Transactions
Lawyer:
Higher Level of Education: Lawyers undergo extensive education and training, including obtaining a law degree and passing a bar exam, which equips them with in-depth legal knowledge.
Handling Unusual Issues: Lawyers are essential when unexpected issues, problems, or disputes arise during a real estate transaction. They provide expert legal advice and representation to resolve complex situations.
Legal Advice Post-Acceptance: Should any legal issues or unexpected events occur after the offer has been accepted, a lawyer can provide legal advice and assist in addressing these issues.
Notary:
- No Legal Advice or Litigation: Notaries do not provide legal advice or engage in court litigation. Their role is primarily focused on verifying documents and witnessing signatures to ensure authenticity and legality.
Key Closing Tasks
1. Review Contract and Prepare Closing Documents:
- Review Contract: Ensure all terms of the purchase agreement are met and accurate.
- Prepare Closing Documents: Draft and organize necessary legal documents required for the transaction, including the deed and any other relevant paperwork.
2. Title Search and Verification:
- Title Search: Conduct a thorough search to confirm that the property’s title is clear of any charges, liens, or encumbrances.
- Verify Title: Ensure that the property can be legally transferred without any issues affecting ownership.
3. Adjust Financial Transfers:
- Adjustments: Calculate and manage financial adjustments between the buyer and seller. This includes handling reimbursements, prorated expenses, and any future bills that need to be settled at closing.
4. Prepare and Review Closing Documents:
- Mortgage Documents: Review and prepare documents related to the mortgage, including loan agreements and terms.
- Property Transfer Forms: Ensure all forms required for transferring property ownership are accurately completed and signed.
Conclusion: Both lawyers and notaries play crucial roles in the real estate closing process, with lawyers offering legal expertise and handling disputes, while notaries focus on document verification. The closing process involves careful review and preparation of contracts, title verification, financial adjustments, and the preparation of necessary documents to ensure a smooth transfer of property ownership.
