WHAT IS ATTORNEY REVIEW AND WHY IS IT IMPORTANT?
Once an offer is accepted on a home for sale, the first stage of the process is called "attorney review".
What is attorney review?
Attorney review is a period of time that both buyer and seller can have the contract reviewed and disapproved by an attorney.
Here are 5 key things to know about attorney review:
1. It Can be Mandatory: In New Jersey and many other states, attorney review is only mandatory in a brokered real estate transaction. So, no realtor, no attorney review required.
2. It Starts Immediately: Once signed by both parties the contract is now in the “attorney review period”. It starts from the date of the last signature (usually the seller’s).
3. It Can Last longer than 3 days: Attorneys must both agree on all conditions of the contract. Until they do, attorney review cannot be concluded.
4. Choose Any Attorney: Buyer and seller have the right to choose any attorney they wish to represent them. Most lawyers in northern New Jersey will charge between $800-$1,200.
5. Contract Can Be Cancelled: During attorney review either party can cancel the contract for any reason whatsoever. No valid reason is required and the other party likely can’t seek damages or pursue legal action.
Once attorney review is over the contract become binding on both parties.
The information written here is intended for educational purposes and should not be construed as legal advise. Please consult directly with an attorney for legal questions!
At Realty 33, We tap into 25+ years of experience and market know-how to help our clients make streetwise real estate decisions.