Vintage American Realty
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Lesson 10 Lawyer Up: Protecting Your Interests When Buying a Home in New York
Welcome to the contract phase of your home buying journey! In New York, attorney representation is virtually mandatory for real estate transactions—and that's one of the best protections you have as a buyer. Let's explore how to choose the right attorney and navigate this legally complex phase successfully.
Why New York Real Estate Requires Legal Expertise
Unlike some states where agents handle contracts, New York recognizes that real estate transactions are complex legal matters requiring specialized expertise.
Contract Drafting & Negotiation
Your attorney will draft and negotiate the contract of sale to protect your specific interests as a buyer.
Document Review
They'll review all documents for legal implications and potential issues that could affect your purchase.
Title & Ownership Verification
Your attorney handles title searches to ensure clear ownership and identifies any potential problems.
Lender Coordination
They'll work directly with your lender on financing requirements and documentation.
This legal oversight helps protect you from costly mistakes and ensures your contracts are legally sound and enforceable throughout the transaction.
Choosing the Right Attorney: Local Expertise Matters
You need an attorney who specializes in Long Island real estate. Local expertise is crucial because they'll understand:
  • Local town codes and permit requirements
  • Certificate of Occupancy issues and procedures
  • Flood zone regulations and compliance
  • Village vs. town jurisdictional differences
  • Local title issues and common problems
What to Look For:
Seek attorneys with specialization in residential real estate (not general practice), extensive Long Island experience (preferably in your specific town), clear communication skills, reasonable fees ($1,000-$2,000 for standard transactions), availability that matches your timeline, and solid references.
The Contract Timeline: Critical Dates and Deadlines
1
Contract Signing
Your attorney will review the entire contract for legal issues and unfavorable terms, propose modifications, negotiate changes with the seller's attorney, and advise you on legal implications.
2
Mortgage Commitment
Typically 30-45 days from contract signing. Missing this deadline could result in losing your deposit.
3
Title Search
Your attorney orders this immediately after contract signing. The process typically takes 2-3 weeks and can reveal issues that need resolution.
4
Closing Date
Usually 45-60 days from contract signing, though this can be adjusted based on financing and other factors.
Your attorney will also investigate whether all structures have proper permits and Certificates of Occupancy—a very common issue on Long Island where unpermitted additions frequently occur.
The Down Payment Deposit Process
Your down payment deposit (typically 5-10% of the purchase price) is held in the seller's attorney's escrow account—not given directly to the seller. This provides important protections for your money.
Protection of Your Deposit:
  • Escrow account protects your money
  • Contract contingencies allow recovery if deal falls through legitimately
  • Attorney oversight ensures proper handling of funds
  • Clear procedures for deposit release or return

When You Can Lose Your Deposit:
  • Backing out without valid contingency reasons
  • Missing critical deadlines like mortgage commitment dates
  • Failing to perform contract obligations
  • Default on contract terms
Higher deposits can make offers more attractive to sellers, but always ensure you understand the conditions under which your deposit might be at risk.
Title Search and Certificate of Occupancy Issues
What the Title Search Uncovers:
  • Current ownership and legal description
  • Outstanding mortgages or liens
  • Tax arrears or municipal violations
  • Easements or right-of-way issues
  • Judgments against current owners
  • Survey discrepancies or boundary issues
Common Certificate of Occupancy Problems:
  • Finished basements without proper permits
  • Deck additions built without permits
  • Converted garages or other spaces
  • Pool installations without proper approvals
  • Shed placements violating setback requirements
Most title issues can be resolved before closing, but they require time and sometimes money. Your attorney will work with the seller's attorney to clear any problems that arise during this investigation phase.
Working Effectively With Your Attorney
Respond Promptly
Reply quickly to requests for information or documentation to keep your transaction moving forward.
Ask Questions
Don't hesitate to seek clarification about anything you don't understand in the process.
Keep Them Informed
Notify your attorney of any changes in your situation that might affect the transaction.
Provide Complete Information
Share all details about your financing and timeline to avoid surprises later.
What Your Attorney Needs From You:
Be prepared to provide complete financial information for title insurance, proof of homeowner's insurance before closing, final mortgage commitment from your lender, survey requirements if needed for your loan, and any specific concerns about the property or transaction.
What Happens If Things Go Wrong
Financing Falls Through:
  • Before mortgage commitment deadline: You can cancel and recover your deposit
  • After commitment but before closing: Depends on the reason and contract terms
  • Lender issues: May be able to extend deadlines or find alternative financing
Title Issues Can't Be Resolved:
  • Seller's responsibility to provide clear title
  • Contract allows cancellation if title can't be cleared
  • Deposit returned if seller can't perform

Red Flags During the Contract Phase:
Be concerned if your attorney is unresponsive, the title search reveals multiple complex issues, the seller's attorney is difficult or uncooperative, financing requirements keep changing, or Certificate of Occupancy issues are extensive and expensive to resolve.
Long Island closings are usually plus or minus 30 days from the closing date in the contract. Extension agreements may be possible if the seller can't close on time, but delays could potentially constitute a breach of contract.
Preparing for Closing
Pre-Closing Requirements:
  • Final title search update to ensure no new issues
  • Lender coordination for closing documents
  • Homeowner's insurance proof and coordination
  • Final walkthrough scheduling with your agent
  • Closing cost calculations and fund requirements
Documents Your Attorney Will Prepare:
  • Deed transferring ownership to you
  • Title insurance policy protecting your ownership
  • Mortgage documents if you're financing
  • RESPA settlement statement detailing all costs
  • Various affidavits and certifications required for closing
Your attorney's fee (typically $1,000-$2,000) usually includes contract review and negotiation, title search coordination, lender coordination, closing preparation and attendance, and post-closing deed recording. Additional costs include title insurance, survey costs if required, search fees, recording fees, and miscellaneous charges.
The Importance of Local Expertise
Having experienced legal representation isn't just a New York requirement—it's your best protection in what's likely the largest financial transaction of your life.
Municipal Knowledge
Each town has different requirements and procedures. Permit processes vary significantly between municipalities, and CO requirements differ for similar structures.
Market Expertise
Local attorneys understand common issues in different neighborhoods, typical closing costs and procedures, local lender requirements, and have established relationships with title companies.
Problem Resolution
Experienced Long Island attorneys can navigate common local challenges like estate issues from inherited properties, divorce complications affecting ownership, lien problems, and previous sale issues.
Choose someone experienced with Long Island real estate who understands our market's unique challenges. Your attorney is your advocate throughout this process—there to protect your interests, explain complex legal issues, and ensure your transaction closes smoothly and safely.

In our next lesson, we'll dive into the final walkthrough and closing process—the last steps before you get your keys and become a Long Island homeowner!
Thomas Brady SFR, e-PRO, SRES, BPOR,C_REPS
Licensed Associate Real Estate Broker/ Director of Operations
Notary Public, Retired N.Y.P.D. Lt., U.S. Air Force Veteran
Vintage American Realty LLC.
1551 Montauk Hwy. Suite E
Oakdale, NY 11769
631-682-8660