| INTRODUCTION
A HOME IS THE LARGEST PURCHASE most Americans will ever
make. If you are one of the millions of Americans about to buy or sell
a home, it's important to understand the ramifications of the decisions
you will make. For example, state and federal law, the economy, your personal
preferences, your financial situation, the prevailing real estate market,
current mortgage rates, and tax considerations, are among the many factors
that affect you as either a buyer or seller. You will also need to work
with a variety of people--attorneys, lenders, home inspectors, appraisers,
and insurance agents, to name a few. In short, buying and selling a home
is not the simple matter it might appear.
Whether you are buying your first home or selling your tenth, you will
want to make sure
that you understand how the law affects your decisions. This chapter begins
with questions related to buying and selling a home. It's a good idea
to become familiar with the legal aspects of both the buying and selling
side of the process. This is particularly true if it has been a while
since you bought or sold a home.
Practices and laws change. You will want to be aware of how these changes
affect your
responsibilities as buyer or seller, as the case may be.
Remember, someone must be willing to buy a home before you can sell it,
and vice versa.
The sale will involve negotiation and will have legal consequences. Like
any other contract
negotiation, it's a good idea to understand the goals of both parties
in the transaction.
Elements of Real Estate
An ownership interest in real estate is illustrated by the following
examples:
• the land and everything under it, including
minerals and water;
• anything of value on the land such as crops or timber;
• the airspace over the land;
•
improvements on the land such as buildings, for example a garage,
barn, or fence.
Ownership of these elements may be separate or shared and may also
be subject to legal claims or liens. (A lien is a claim against property
representing an unpaid debt of the owner or an unpaid judgment entered
against the owner by a court of law.)
Here's an example of how several different persons can have a legally
recognized
interest in the same real estate. A farmer might lease land owned
by a school district. While the district owns the land, the farmer
owns the crops he or she plants on the land. The district also might
have sold mineral rights to the land to yet another person. |
- GETTING STARTED
- BUYING AND SELLING WITHOUT AN AGENT
- APPLYING FOR A HOME LOAN
- HOME INSPECTIONS
- WORKING WITH AN ATTORNEY
- BUYING A HOME FROM A BUILDER
- SELECTING A REAL ESTATE AGENT TO HELP YOU BUY A HOME
- THE BUYER'S VIEW
- BUYING IN A MULTI-UNIT DWELLING
- KEY PROVISIONS OF THE MORTGAGE
- THE CLOSING
- DISCLOSURES
- TAX CONSIDERATIONS
- TAX CONSIDERATIONS WHEN SELLING YOUR HOME
- THE FAIR HOUSING ACT
- FINANCING A HOME PURCHASE
- MAKING AN OFFER: THE PURCHASE CONTRACT
- OWNERSHIP OPTIONS
- MEETING THE PLAYERS
- THE SELLER'S VIEW
- SELECTING A REAL ESTATE AGENT TO SELL YOUR HOME
- THE TITLE
- WHERE TO GET MORE INFORMATION
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