If you are buying or selling a home, these are some important legal objectives to know:

Most real estate contracts in New Jersey are subject to an Attorney Review provision:

• Extends over three (3) business days from Seller’s acceptance of Buyer's offer;
• Provides the attorney and client an opportunity to examine the contract with legal counsel to ensure your understanding and comfort;
• Either party may terminate the contract, or make revisions thereto, during attorney review, without penalty

Most real estate contracts in New Jersey contain a home inspection contingency:

• House to be inspected by a licensed home inspector, inspections should include an ol tank sweep, radon, and WDI

• We examine the report with you and negotiate the resolution of issues raised during the inspection and addressed in the report

• The Seller is not legally obligated to remedy the requested issues 

• If the parties can not come to an agreement on the appropriate resolution of significant home inspection issues, the parties may terminate the contract, and the buyer may receive a refund of his/her deposit

Most buyers require financing in order to complete their transaction.  As a result, most deals often contain a mortgage contingency, as follows:

• Normally satisfied within 21 - 30 days from the conclusion of attorney review
• Buyer will not be obligated to purchase the property unless approved for the financing disclosed in the contract
• The mortgage contingency is satisfied upon issuance and acceptance of a mortgage commitment from buyer's lender
• Buyer’s lender orders an appraisal of the property, at Buyer's expense, to ensure the house is worth the purchase price and loan amount
• Caution: a pre-qualification or pre-approval letter is not a mortgage commitment

Inherent in every real estate transaction is a title contingency, which means: 

• Buyer will not need to purchase the property unless the Seller can deliver insurable title at closing
• Buyer's counsel orders the title commitment and circulates to all parties
• Ensure all judgments and/or liens are satisfied at closing
• Obtain title insurance that will insure against any encroachments, judgments or liens
• Order and review survey

Once the foregoing applicable conditions are satisfied, a closing will be scheduled.  Customarily: 

• Closing occurs at the office of Buyer’s attorney; Sellers often sign their closing documents in advance of closing
• Buyer will execute loan documents
• Title company representative will examine and record title documents
• Counsel will examine municipal approvals:  Seller must provide certificate of continued occupancy (when applicable), smoke detector certificate
• The buyer will bring a cashier’s check to closing to cover the closing costs and balance of purchase price; settlement agent will disburse all funds
• The Seller will produce the property vacant in broom-swept condition, and will deliver the keys at closing