I am frequently asked by out of state realtors and mortgage professionals about deals “going into escrow” or the work of the “title company.” Very few out of Massachusetts people are aware of the idiosyncrasies of Massachusetts real estate practice, which include the following:<\/p>\n
\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 1. An Offer and then a Purchase and Sale Agreement. The standard approach for a residential real estate transaction in Massachusetts involves signing a Offer, with respect to which a small deposit ($500 to $1,000) is delivered to the listing broker, a subsequent home inspection in or within seven (7) days of the Offer, a period of time after the Offer to review the Condominium Documents and financial materials, and then the execution of a Purchase and Sale Agreement, with substantially greater detail than the Offer, shortly after the home inspection is completed. Generally, there is a 5 to 10% total deposit associated with the signing of the Purchase and Sale Agreement, held, in escrow, by the listing broker or the Seller’s attorney. There is an important case which held that the Offer is an enforceable contract, but in almost all instances, the parties utilize the two-step Offer and subsequent Purchase and Sale Agreement for their deals.<\/p>\n
\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a02. Massachusetts Real Estate Attorneys Stay Much More involved in the Total Transaction than in Other States. As a result of some statutory provisions, Massachusetts attorneys almost always serve a closing agents for purchases in Massachusetts. There is a Supreme Judicial Court (highest court in the Commonwealth) ruling which permits an attorney to represent both the Buyer and the Lender, as long as there is disclosure of same to the Buyer, and as long as the Buyer is apprised of the fact that if there is a conflict of interest between the Buyer and the Lender, the attorney will withdraw representation of the Buyer and represent the Lender, only. In my more than 40 years of practicing in Massachusetts, this has happened on two occasions, so there is really not much risk.<\/p>\n
\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 3. Massachusetts Attorneys serving as Closing Agents do the Closing Scheduling and Write the Title Insurance for the Transaction. In most other states, there are “title agencies” which write the title insurance and prepare the title abstracts. That is not the case in Massachusetts. The experienced real estate attorney has the wherewithal to take care of the entire transaction, including title insurance. This permits closing in Massachusetts to be conducted speedily and without delay, because there is one central focus for the closing, rather than disparate elements which need to be tied together.<\/p>\n
My firm is equipped to represent Lenders and out of state Buyers and Sellers for real estate purchases and refinancings. We welocme the opportunity to work with you on your Massachusetts transactions. With offices in Boston, Braintree and Waltham, we are equipped to handle the entire Commonwealth of Massachusetts, including Martha’s Vineyard and Nantucket for you and your customers.<\/p>\n","protected":false},"excerpt":{"rendered":"
I am frequently asked by out of state realtors and mortgage professionals about deals “going into escrow” or the work of the “title company.” Very few out of Massachusetts people are aware of the idiosyncrasies of Massachusetts real estate practice, which include the following: \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 1. An Offer and then a Purchase and Sale Agreement. … Continue reading Massachusetts Real Estate Transactions-A world of their own<\/span>