I read once that if you were to take all real estate attorneys located in Illinois and laid them down end to end along the Equator, it’s a good idea to let them stay there. This is what I learned. What do you suppose that means?
I have previously written about the importance of using due diligence when buying commercial real estate. It is essential to research, before Closing all important aspects of the property you’re purchasing. The importance of evaluating every commercial real estate deal with the mindset that after Closing occurs, there is no way back. The seller has your money and is gone. If post-closing disputes occur, Seller’s representations in the contract and warranties could be, at the very least, a source of expensive litigation. CAVEAT EMPTOR! “Let purchasers know!”
A little extra care when beginning an commercial real estate deal in order to “get it right” can save tens of thousands of dollars in the event that the deal goes bad. It’s like the old Fram(r) oil filter slogan of the 1970’s “You are able to pay me today or later”. In commercial real estate, however, “later” may be too late. Visit:- https://bantinbatdongsan247.com/
Commercial real estate for purchase is NOT like buying a home. It is not. It is not. It’s not.
In Illinois, and many other states, practically every closing of a residential property requires an attorney for the buyer and a lawyer representing the seller. This is likely smart. It’s good for consumer protection.
The “problem” this causes, however, is that each lawyer who handles residential real estate transactions thinks of himself or herself to be a “real estate lawyer”, capable of handling every real estate transaction that might arise.
We learned in law school that there are two types of property that are considered to be personal and real estate property. Therefore – we intuit – when we’re competent enough to manage an residential real estate closing, we must be competent to handle the commercial real estate closing. Each one is “real estate” so what’s the difference?
Answer Yes, they’re both real estate. They aren’t identical.
The legal and risk factors that arise in a commercial real estate transaction are remarkably different from the legal aspects and risks involved in a residential real estate transaction. Many are not even alike. Attorneys who concentrate their practice on residential real estate closings don’t have the same problems as attorneys concentrating their practice in commercial real estate.
It’s a matter the amount of experience. You either know the issues and risk inherent in Commercial real estate transaction and how to manage them – or you don’t.
The most important thing to remember is that the myriad of consumer protection laws protecting homeowners from foreclosure have no applicability to – or no protection to purchasers of commercial real estate.
Effective commercial real estate practices require focussed and intensive investigation of all matters relevant to the deal by someone who knows what they are seeking. In simple terms, it involves the practice diligence “due diligence”.
The practice of due diligence is not cheap, but the failure to do so could cause financial ruin to the real estate investor. Don’t be “penny smart and foolish for a pound”.
If you’re purchasing a home, get an attorney who is regularly representing the buyers of homes. If you’re looking to purchase commercial real estate, employ an attorney who regularly represents the commercial buyers of real estate.
Since the end of my career, I have not handled property transactions for homeowners. As a professional commercial real estate lawyer, I even employ residential real estate counsel for my own purchases of houses. I do this because residential real estate practice is fundamentally different in comparison to commercial real estate.
Maybe I do “harp” on the importance of having a competent lawyer who is knowledgeable about commercial real estate transactions. I am convinced. I think it’s essential. I am of the opinion that if you’re going to invest in commercial real estate, you should utilize your critical thinking abilities and be savvy.
A POP-QUIZ an easy test of your ability to think critically:
Please read the following Scenarios and then answer the following questions: either TRUE or FALSE
Scenario No. 1: It’s Valentine’s Day. You’re on the lookout of the one you love dearly. In the past few weeks she told you that all she ever dreamed of in the run-up to Valentine’s Day was that her love would turn up at her front door, dressed in a white tuxedo adorned with the tails and a top hat, and present her with stunning bouquets of flowers. You’ve booked the tuxedo but you’re worried about the amount of money you’re spending.