Rental Property Investor · Boulder, CO · Member since 2019 · 144 posts · 72 votes
Hi, Let's say you're selling and you have a buyer in hand already, you agree on a price. So basically you want to sell one party to another and no realtors are involved. Doesn't someone still need to administer the process and make sure all documents are in place, disclosures, any other component, work with the title company, etc. I understand the process in general but I really wouldn't have any idea how to manage it in practice. How does that work selling one party to another directly? Thanks for any input.
@Christopher Davis Depending on the practices in your state, you should work with either a real estate attorney or title company. I was licensed in Mass, where we used attorneys exclusively and in Maine where we used title companies almost exclusively.
No matter what, make sure that whomever you use runs title and checks for liens. And don't forget to buy the kind of title insurance that covers you, not just the lender.
They should also guide you in completing all of the required disclosures, like lead paint, property disclosures if required, etc.
@Christopher Davis Depending on the practices in your state, you should work with either a real estate attorney or title company. I was licensed in Mass, where we used attorneys exclusively and in Maine where we used title companies almost exclusively.
No matter what, make sure that whomever you use runs title and checks for liens. And don't forget to buy the kind of title insurance that covers you, not just the lender.
They should also guide you in completing all of the required disclosures, like lead paint, property disclosures if required, etc.
Last year in Vegas and this year in MN I sold direct to buyers. It didn’t take an hour. Fill out a contract, give it to title company, sign forms and cash check. Don’t forget any/all disclosures (title company SHOULD know this.).
I'm not aware of any state that requires a third party to close a cash sale between principles. I think there may be some confusion here as to whether a state allows a non attorney title company to prepare documents and close a transaction or whether that is considered the unauthorized practice of law and therefore an attorney is required to be involved. If someone is aware of a statute, state or federal, that prohibits a party to the sale of real property from preparing and recording the documents of conveyance I'd really like to take a look at it.