Why You Need a Lawyer When Buying a New Home Build
Posted by on Nov 1, 2017 in Blog, Real Estate Law
Purchasing a new home build is much different than purchasing a previously owned home. There are a number of added steps to a new home build that can make the process extra confusing for someone who doesn’t deal with this stuff regularly. It’s these added steps and confusion that make it incredibly important to include a lawyer in the purchase and construction of your new home. Having a lawyer to help guide you through the process and read over the contracts will ensure your needs and wants are met and protected, and that there are no surprises along the way. Read on as Heritage Law goes into detail on why you should consult a real estate lawyer before purchasing a new home.
Purchase Agreements
A purchase agreement is a legally binding document that outlines the conditions of the sale. A new home construction contract is usually longer and more complicated than a resale purchase contract, as it includes additional items such as:
- Construction delays
- Extra charges
- Possession dates
- Etc.
Without seeking legal advice first, you may be signing a contract that holds you to terms you don’t want. If you need to sign a contract to reserve your spot, at least ask the builder to insert a clause stating that your offer is conditional upon review and approval by your legal team.
Closing Dates
A closing date is the day that ownership of the property is transferred to the buyer. When purchasing a new home build, your contract may be written in a way that allows the builder to move the closing date around due to a host of different reasons. Having a lawyer review your contract before signing will ensure you know what delays you can expect so you can be better prepared.
Warranty
In Alberta, all new construction homes must be enrolled in the New Home Warranty Program. This mandatory warranty is meant to ensure all new homebuyers have clear expectations and don’t receive any unpleasant surprises from their builder. It protects you from incomplete or defective work, unauthorized substitution of materials, and much more. A real estate lawyer can help verify that your homebuilder has the correct coverage in place before you move forward with the deal.
Buying A New Home?
Don’t get stuck in a contract that favors the homebuilder more than you. Heritage Law has a team of real estate lawyers that will help make sure your interests are met and protected. Call today to schedule an appointment.
