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PURCHASES
AND SALES OF REAL PROPERTY
Mr.
Hartman represents either the seller or the buyer in real property
transactions. Where the seller is selling directly, without the
involvement of a real estate agent, we can prepare the proposed purchase
and sale agreement for review by the purchaser. We can also assist in
the selection of an escrow company for the transaction, and can work
with the escrow company through the many steps in the transaction, on an
on-going basis, until the transaction has been completed.
Where
there is involvement by one or more real estate agents, it is common for
the seller or buyer, or both, to be placed under extreme time pressure,
often being given as little as 24 hours to respond to an offer or
counter-offer. Intentionally or unintentionally, this makes it difficult
for the seller or buyer to consult with legal counsel before expiration
of such an artificial deadline, and to have any proposed agreement,
often hastily put together on a preprinted form, reviewed. After an
agreement has been signed, an attorney can explain to the seller or
buyer what they have gotten into, as they often don’t understand all
of the provisions of the form agreement, particularly those that are
self-executing and that have built-in time limits for various actions,
including approvals, disapprovals, or inspections, but the opportunities
to clarify, clean up or otherwise modify the agreement are often lost at
that point. Remember, you hire a real estate agent for the purpose of
marketing your property (if you are the seller) or helping you find the
right property (if you are the buyer), not for his or her legal
expertise in crafting contracts, dealing with title issues,
environmental issues, etc.
An
attorney can also educate the client on the different ways of taking
title to real property, and the advantages and disadvantages of each.
If
an agreement has already been entered into, the seller and purchaser
will, usually in a matter of days, be presented with a second agreement
in the form of escrow instructions, that may contain additional or
different provisions from those in the purchase agreement. It is a good
idea to have these reviewed by an attorney before they are signed.
FORMATION
OF ENTITIES TO OWN AND MANAGE REAL PROPERTY
If
you are acquiring a residential or income property, you may wish to
consult with an attorney about the appropriate entity to own the
property. If you have a trust, or are considering having a trust
prepared, your residential property should probably be deeded to your
trust, as this property usually constitutes one of your largest assets.
Occasionally, a partnership or some other entity should be the owner.
The same reasons to have any purchase agreement either drafted by an
attorney, or at the least reviewed and explained before you sign it,
apply here as well as in the acquisition of residential real property
(See Purchases and Sales of Real Property above).
If
you are acquiring, or are already the owner of, income property, such as
apartments, a duplex, or other property you rent out, it may make sense
for you to limit the exposure of all of your assets to the risks and
liabilities associated with that property ownership, by taking title in
the name of a limited liability company or corporation. Our society has
become extremely litigious, and while owners attempt to insure against
most risks, some risks cannot be insured against and some claims may
exceed the limits of your coverage.
FINANCING
ISSUES
Whether
you are a seller "carrying back" a note from a buyer,
considering re-financing your property, modifying an existing note
secured by real property or considering making a loan to someone to be
secured by their real property, we can assist. We can draft the note and
trust deed that secures the note, as well as modification agreements,
reconveyances of trust deeds, etc. We can also explain some of the
considerations involved in any proposed refinancing of a property.
LEASES
AND LANDLORD-TENANT MATTERS
Mr.
Hartman has drafted many commercial and residential lease agreements,
and has reviewed and explained such agreements to clients who are
prospective commercial or residential tenants. It is virtually
impossible for a person who is not knowledgeable in this area to think
of all of the provisions that should be included in such an agreement
for their protection and to address a variety of situations that might
arise. Even if you are presented with a lease that has already been
drafted by somebody else, or that appears to be a "standard"
form, you should have it reviewed before you sign it. Often you may want
such provisions as options to extend the term, an option to purchase the
property if it is offered for sale during the term of the lease, etc.
Occasionally,
unfortunate problems arise between a landlord and tenant that result in
a default under the terms of the lease, and a need for an unlawful
detainer proceeding. Mr. Hartman represents landlords on a selective
basis in filing and prosecuting such actions for the recovery of the
property and any sums due. Some routing unlawful detainer matters,
particularly for parties that have not been clients of ours and where
residential property is involved, may be referred out to other counsel
that handle such matters on a volume basis.
MISCELLANEOUS
MATTERS
Many
unique situations and problems can arise in the real property field in
which you would benefit from attorney involvement, whether it be to
explain or help interpret the CC&R’s (covenants, conditions and
restrictions) applicable to the complex in which you reside, to grant an
easement to an adjacent property owner, or to provide someone with a
life estate in a residential property, as examples. Feel free to call,
explain the general nature of your matter to my secretary, and if it
appears that we can help, we will be glad to schedule an appointment for
you. |
