When doing out-of-state sale, use attorney from that area
Q: My father has a home in New York. He has Alzheimer’s and is now living close to me in Texas. I have put his house on the market in New York, and have discovered that we have boundary line issues, and the potential buyer is living in the house and can’t get financing. My father’s old buddies are a Realtor and a lawyer. The house was supposed to close in February, but still hasn’t closed. I don’t trust anybody. I think I’m getting very bad advice.
A: In our opinion, you probably are. This is a New York law problem, however. Find a new lawyer in the area that is experienced in residential real estate transactions. Explain the situation to him or her, talk bluntly about legal costs, and get moving. If you don’t, our hunch is that things will not get better.
Q:
I recently sold my home in April 2015. Prior to the closing the new owners had an inspection made of the property and there were no issues. After the inspection and prior to closing, the home was struck by a hailstorm and the new owners have requested I file a claim with my homeowner’s insurance company to replace the roof. I am concerned with future liability regarding this issue. Normally the insurance company would pay for the repair less the policy deductible. The roofing company normally would warranty the roof if there were any issues in the future with the new roof (I assume this is correct). My concern is future liability either due to shoddy work performed by the contractor or if the new owners ever do replace the roof. Is there any legal document which I could use to get them to release me from any future liability related to the replacement of the roof?
A: You can put an “as is” provision in the deed, assign the warranty from the roofer to the new owner, and pick a high quality, well-established roofing company to do the work. You may want to let the new buyer pick the roofer, and you can give a credit at closing. In any event, we think that involving the new buyer at this point is a good idea.
Q:
I was hiring a broker to be a buyer’s representative. I noticed that I had to pay the commission if the seller did not. I objected to this and the broker said it never happens and he wouldn’t do that. I asked him to change the form to reflect this and he refused to do so. He said it is a TAR form and he is not allowed to change it “by law.” Is this correct?
A:
No. It is the broker’s contract and he or she can change it any way he or she wants. The broker is a party to the contract. He or she is not drafting it for another as a brokerage function. If the real estate broker won’t agree to what concerns you, you need to look for another broker who will.
Q:
I just sold my house. The buyer had multiple inspections, and I credited them a lot of money at the closing to get them done. They now say that there is mold in all the windows and it will cost thousands to get them fixed. They have a lot of money and are threatening to sue, claiming I lied on my seller disclosure form. What’s going to happen?
A:
You’ll have to talk to your insurance company and probably hire a lawyer. If they had an inspection that showed no such defects, they should pursue their inspector. Assuming you didn’t lie on the disclosure form, your lawyer can provide you with a number of defenses (for example, they may have brought the mold with them, they have overestimated the real cost of repair, they relied on their inspector, not you, etc.) but it depends entirely on how they plead their case. Unfortunately, you may be in for the ride. There are a lot of very good defense lawyers out there, and your insurance company can help you choose one.
To send us a question visit www.AskGeorge.net and select the “Ask A Question” button. Our answers to questions do not contain legal advice. If you wish to obtain legal advice, you should consult your own attorney. George Stephens is the broker of Stephens Properties. Charles J. Jacobus, J.D. is Board Certified by the Texas Board of Legal Specialization in Residential and Commercial Real Estate Law.