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LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

When Should You Hire a Real Estate Lawyer?

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Content was accurate at the time of publication.

Whether you’re buying or selling a home, a real estate lawyer can help you protect your interests, ensure a smooth transfer of property and navigate the process with confidence. Hiring a real estate attorney is mandatory in some states, but that’s not the only reason to consider working with one.

It’s a good idea to hire a real estate lawyer once you decide to buy or sell a home — ideally before signing the purchase contract — to allow the lawyer time to review the document. Hiring a real estate lawyer early on in the process can help ensure that everything runs smoothly and minimize potential conflicts and disputes down the road.

Working with a real estate lawyer may also be particularly helpful for complex real estate transactions, like rent-to-own agreements, foreclosures and short sales. Hiring your own lawyer (versus using the same attorney as the other parties in the transaction) can help avoid conflicts of interest.

States where an attorney is required to close on a home

Some states require you to hire an attorney to assist with the home closing process, including:

  • Connecticut
  • Delaware
  • Georgia
  • Massachusetts
  • New York
  • North Carolina
  • South Carolina

Regardless of where you live, having a real estate lawyer on your side helps manage legal issues proactively, reducing the risk of complications that may jeopardize the transaction.

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Real estate lawyers specialize in matters involving real estate transactions, including residential and commercial property sales, land use and zoning or environmental regulations. Real estate lawyers help buyers, sellers and mortgage lenders navigate real estate deals and address any legal issues that come up during a transaction.

A real estate lawyer’s responsibilities will depend on your state’s requirements and what’s necessary for your specific transaction, but may include:

 Ensuring your transaction complies with state and federal laws
 Creating or reviewing the purchase agreement
 Running a title search
 Arranging title insurance
 Preparing the deed
 Resolving disputes
 Answering any questions you may have about your closing documents
 Overseeing the closing process

What does a real estate lawyer do for the buyer?

A real estate lawyer helps protect the buyer’s interests during the homebuying process. Their tasks may include reviewing and answering questions about the closing documents, as well as conducting a title search to ensure no liens or judgments are attached to the home.

What does a real estate lawyer do for the seller?

As a home seller, a real estate lawyer can help you negotiate the terms of your real estate contracts, obtain the documents necessary to fulfill your obligations under the contract and ensure that you make the proper disclosures to protect yourself from a legal standpoint.

Real estate lawyer fees are usually charged at an hourly rate, starting at $150 to $500 or more per hour. For example, if creating and reviewing the closing documents takes them six hours, it might cost between $900 ($150 x 6 hours) and $3,000 ($500 x 6 hours). Some lawyers may charge a flat fee instead of an hourly rate.

Many factors can impact legal fees, including location, firm size and the services you need. Keep in mind that complex transactions, such as those involving inherited property or international buyers, may drive up legal costs.

Related article Learn more about how to save to buy a house.

Start with recommendations from people you trust, like family, friends and your real estate agent. It’s good practice to compare a few different real estate lawyers to find the best fit for your needs. Think about each lawyer’s cost, availability and fee structure (hourly or flat fee).

In addition, consider whether their expertise aligns with your needs. For example, if you’re looking to buy or sell business property, hiring a commercial real estate lawyer would be beneficial. Once you choose a lawyer, it’s important to verify that they’re in good standing with your state’s bar association.

Since buying a house will likely be one of the biggest purchases you’ll make in your lifetime, you’ll want to choose a real estate lawyer with relevant experience to have your back throughout the process. Here are some questions to ask a real estate lawyer to determine if they’re the right fit for your needs.

  • Do you have experience with real estate transactions like mine? Due to the complexity of real estate law, you’ll want to find out if the lawyer has successfully managed transactions similar to yours.
  • What are your rates and billing structure? Find out how much it costs to utilize their services as well as how they’ll charge you (hourly, flat fee, etc.).
  • What is your availability? Real estate transactions can be fast-paced, so you’ll want to determine whether they’ll be available for questions that arise during the process and how long it would take them to get back to you with answers.
  • What is the best way to contact you? Ask your real estate lawyer if they have a preferred method of contact, such as email, phone or fax.

Hiring a real estate lawyer is generally a good idea to protect your interests in a real estate transaction, and to be proactive about any potential legal issues that could cause the deal to fall through. Though it comes at an extra cost, the peace of mind it brings could be priceless. Remember that in some states, though, working with a real estate lawyer is more than a good idea — it’s a legal requirement.

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The main difference is that lawyers manage the legal aspects of a real estate transaction, including preparing or reviewing contracts and mediating disputes. Real estate agents, on the other hand, focus on the practical parts of buying or selling a home, like marketing the property and negotiating the purchase price.

You need a real estate lawyer to buy a house in some states, including Massachusetts, New York and South Carolina. But while it’s optional in other states, it is generally recommended to hire a lawyer to protect your interests in a real estate deal.

Attorney fees are typically part of the closing costs paid by the buyer, though this can sometimes be negotiated. If you’re unsure who’s responsible for paying the attorney fees, check your purchase agreement or ask your real estate agent.

Real estate lawyers typically don’t go to court as part of the standard home purchase or sale process. However, they may end up representing the buyer or seller in court if disputes arise during the transaction.

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