Predatory lending laws protect consumers from falling victim to these unethical practices. These practices were once used to provide a mortgage loan to consumers who couldn’t afford them. The tactics were used to ensure that the consumer would default on their loan and the lender could foreclose on the property. Ultimately, the tactics allowed lenders to capitalize on the misfortune of consumers who shouldn’t have received the mortgage in the first place.
How Real Estate Laws Help You
A Real Estate Lawyer in Mahopac NY reviews the mortgage documentation at all property closings. This evaluation allows them to calculate the consumer’s income-to-debt ratio to ensure that the lender has provided an affordable loan. They also review all possible interest rates based on the consumer’s credit rating. If any terms are deemed unfair to the consumer, a loan modification is required.
Evaluating the Title
Before a property closing, an attorney must perform a title search. This search determines if the seller has the legal right to offer the property to the buyer. The search goes back at least twenty years to determine if all transfers of ownership were conducted properly. They also determine if there are any further liens against the property that could affect the sale. The discovery of any discrepancies could prevent the property from closing and will require action on the seller’s behalf.
Reviewing Closing Requirements
The attorney evaluates the documents for the closing to ensure that all prerequisites are met. This includes a report submission to the buyer if the property is situated in a flood zone. When this is the case, the buyer must purchase flood insurance in addition to homeowner’s insurance.
The attorney reviews down payment information and evaluates the commission earned by the real estate agent. They must make sure that real estate agent conducts themselves in an ethical manner. The law prevents real estate agents from increasing their commissions after the sales contract is signed by the buyer.
A Real Estate Lawyer in Mahopac NY evaluates mortgages, titles, and monetary transfers related to the purchase of a property. They protect the interests of the buyer and seller. To review the services provided by real estate attorneys, contact Spain and Spain PC now.