Who Are Real Estate Lawyers?
In recent times, owning a real estate forms a vital part of an individual’s as well as corporate wealth. A talk of real estate usually rings one bell in our ears; absolute ownership. But it is not so in the real estate law. Real estate in real estate law is an interest in a real property. The interesting thing is real property may be owned by someone but used by another through lease or rental agreements. Buying a real estate is one of the major expenditures a person is likely to make in his lifetime. Which is the reason why a real property investor should get it right while investing in real property. Before we go ahead to learn about who real estate lawyers are, let’s find out what real estates are all about.
What is a real estate?
In simple terms, real estate can be referred to as land and whatever structure is on it including fixtures and plants. But the real estate law defines real estate as an interest in a real property. Which means real estate maybe absolutely owned and used by the owner but can also be owned by someone but yet used by another person through lease agreements. Real estate can be legally passed from relatives to other relatives through a process known as estate planning. It can be owned by two or more persons through limited partnerships, condominiums, corporations and so on. People buy real property for various reasons. Basically, real property can either be owned for residential purposes or for commercial purposes. Let’s have a detailed look at various reasons why people invest in real properties.
Forms of real property ownership
To be frank, real estate comprises of all that is on the surface of the earth and what is attached to it. Which means what is above the land, beneath it and what is on it plus the exclusive right to own, lease or rent, sell and acquire benefits from the land. There are five major forms of real estate ownership including:
- Residential real estate ownership
This type of real estate ownership consists of any type of property for residential purposes. Examples of residential real estate include; condos, single family houses, cooperatives, townhouses, multifamily houses, duplexes and many others. One characteristic of residential real estate is that the number of individual units must be five or fewer.
- Commercial real estate ownership
This type of real property ownership consists of properties that are used purposely for business. They can be in the form of land that will be used for the purpose of generating cash. They include gas stations, shopping centers, theaters, stores, restaurants, hospitals, medical or educational offices, hotels and so on.
- Industrial real estate
This basically constitutes properties that are used for product production, manufacturing, storage, distribution, and other research and development properties. Examples are power plants, factories, warehouses and so on.
- Land
This consist of underdeveloped properties including agricultural lands like ranches, orchards, timber lands, farms and bare lands.
- Special purpose properties
Special purpose properties comprise greatly of properties that are used by the general public including government buildings, cemeteries, parks, libraries, schools and places of worship.
Interestingly real estate can be sold or bought and due to the high value placed on it there are laws that govern transactions involving real property. These laws are known as real estate law.
What is real estate law?
Real estate laws are laws that govern the sale and acquisition of real properties. These laws are put in place to ensure that various transactions related to real estate are properly and legally documented. Interestingly, we have people who are specially trained in the field of real estate law known as real estate lawyers. These people have adequate knowledge and skills in real estate law and all it is about. These lawyers ensure that every procedure related to the real estate transaction is duly followed. In certain countries like Massachusetts, Mississippi, Delaware and so many others the presence of a real estate lawyer is required at the closing of real estate transactions.
Well considering the many expenses a real property investor may make when buying or selling a house, it is not surprising a lot would like to cut off hiring the services of a real estate lawyer. Well let’s look at it this way. Real property investment is one of the biggest investments you would ever make in your life. The question is why not get it right? It takes just a small mistake with your real estate deal to cost you millions of dollars.
The fact is hiring a real estate lawyer may seem like an added expense upfront. However, in the long run you may be preventing future legal problems. Real estate legal issues are not an easy thing to get yourself into. When your real estate lawyer advises you on various topics in real estate like zoning or property management you are able to make an informed decision which will prevent future legal problems.
Can A Real Estate Lawyer Help Me with My Estate Planning?
Oh yes!!! It is amazing how a lot of people forget to plan for the unpredictable till it happens. Estate planning in simple terms is the process of deciding on how your real estate should be administered when you pass away or becomes incapacitated. Estate planning has basically two general rules
- To ensure that the estate is transferred according to the owners’ wishes
- To minimize local government property taxes.
Basically, there are four estate planning tools namely
- Wills
- Trusts
- Joint Property
- Gifts
A thorough discussion with your real estate lawyer would help you know which estate planning tool will be best for you. When I purchased my acres of land at Richmond Hill, I contacted a real estate lawyer in Richmond hill and she helped me a lot in my estate planning.
In conclusion it is of no doubt that buying or selling a real estate constitutes one of the major expenditures you will ever make in your lifetime. Buying a real estate involves a really complex and complicated process. That is why it is important that as you consider buying a real property you consider hiring a realtor and real estate lawyer to guide you through every step of the way as well. This way your investment is protected and you are 100% sure of any deals you might be signing.
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