Q. Once I have an offer on my house, what happens?
A. Once an offer has been presented by a buyer and accepted by the seller(s), usually in the form of a written binder prepared by a real estate broker, I, as your attorney, would prepare the contracts for the transaction. The contracts are then sent to the buyer’s attorney who reviews them with his client, who then signs and returns the contracts to the seller’s attorney along with the required deposit, as per the contract. Then the seller(s) would come to my office to review the contracts, and if acceptable, would then sign and be deemed “under contract”
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Q. Is there any information that the seller could supply the law offices of Michael J, Croston before the contract is drawn?
A. Yes. As your attorney, it helps me to prepare your contract if I have the following items: survey, copies of all Certificates of Occupancy’s, copy of deed and tax bill, list of personal items (i.e. appliances, window treatments, chandeliers) that you are excluding.
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Q. What if I do not have the above items?
A. If you do not have some or all of the items, a contract can still be prepared.
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Q. How much should a buyer put down at contract?
A. It is customary that 10% is put down, but depending on the price and the circumstances, less can be acceptable.
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Q. When is the closing?
A. The contract will have an “on or about date”, usually about 60 days from contract, though this can be negotiated longer or shorter. This will allow the buyer to attain their mortgage and run a title search against your property. Once the buyer has their mortgage and a title search, a closing is coordinated on a day that is good for all parties. An “on or about” date gives either party the flexibility of closing within about 30 days of the “on or about” date.
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Q. Where is the closing?
A. Usually at the buyers lending institution, unless it is all cash, then it would be at my office.
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Q. What are my anticipated expenses?
A. At the closing, you will pay the following:
- Payoff all mortgages/home equity lines/lien and/or judgments against the house
- Real estate brokers fees
- New York State Transfer Tax-which is $4.00/$1,000.00 (i.e. on a $300,000.00 sale the seller would pay $1,200.00) to NYS.
- If there is a mortgage or home equity loan being paid off- a satisfaction of mortgage must be recorded with the County Clerk’s Office and the fee is $85.00 per mortgage satisfaction.
- title closer fee of $200.00 per mortgage/home equity line being paid off, if applicable.
- Legal fee
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Q. What about taxes I have paid for in advance?
A. The usual tax adjustment to the benefit of a seller is for any taxes that they have paid for in advance from the date of the closing until the end of the tax period. There also can be an adjustment for any oil that is in the tank, if proof is provided at closing from the oil company.
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Q. What is the legal fee?
A. The legal fee that is charged by my office for the closing, which includes preparation of the contract, review of the title, coordinating and appearance at the closing is $850.00 and it is payable at the closing.
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Q. Can I contact the law office of Michael Croston regarding any questions I have?
A. At the law offices of Michael J. Croston, anyone can have a free consultation, either in person or on the phone, regarding any of the above issues. In fact, I would recommend that once you decide to sell, to please give me a call at 631-474-0900 so that we could further discuss the above and have all matters in order so that once a buyer makes an offer contracts can go out quickly.
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