If you're new to investing, you may want to purchase as many lucrative properties as you can to increase your revenue. But if some of the properties you buy come with liens and other legal problems, your revenue may quickly take a hit rather than increase. You want to protect your business and financial standing with a real estate transaction attorney's help. Learn why you need a real estate transaction attorney's assistance below.
Can Liens Affect You and Your Properties?
When some homeowners need to make expensive repairs on their homes and properties, they may take out loans to do so. Although loans can make it easier for homeowners to repair and maintain their homes, they may not be the best option for them in the long run. Banks and other financial institutions can place liens on the homes and properties of delinquent homeowners. Homeowners can pass on the liens to other people once they sell their homes and properties to them.
Liens, such as property tax liens, allow banks and other financial institutions the legal right or claim to any properties you purchase from delinquent homeowners. You may need to settle the liens before you can fully take over, use, or sell the property for profit. If you don't pay the liens or make efforts to do so, lienholders can obtain court orders for them. You may need to relinquish the properties immediately after you receive court orders to do so.
The best way to protect your business and finances from liens is to contact a real estate transaction attorney soon.
Can a Real Estate Transaction Attorney Protect You?
A real estate transaction attorney will run title searches on every home and property you wish to purchase. Title searches allow an attorney to find all types of property liens, including property tax liens and roof repair liens. The searches can also uncover liens that may or may not be completely paid off, including liens from closed banking institutions and repair companies. Even if some companies go out of business, they may still be able to pursue you for an unpaid lien or loan.
After an attorney completes the title searches for you, you can decide whether or not you want to invest in the homes and properties. If you choose to invest in the properties, a lawyer will help you settle the liens on them.
Learn more about property liens by contacting a real estate transaction law firm such as Mack Rice Law today.
