Jan 15, 2025 | Buying Real Estate, Consumer Tips, Home Buyer Tips, Home Buying Tips, Home Closings, Home Mortgage, Home Mortgage Tips, Home Seller Tips, Home Selling Tips, Homebuyer Tips, Homeowner Tips, Real Estate Tips, Selling Real Estate, Selling Your Home
A lot of confusion arises from myths and misconceptions about what happens during closing. Don’t worry—today, we’re clearing up five of the most common myths surrounding home closings to ensure you have a smooth and stress-free experience.
The Closing Process is Fast and Simple
While some may think closing is a quick, simple formality, it’s actually an involved process. There are plenty of legal documents, paperwork, and financial steps that need to be finalized before everything is official. Expect the closing process to take some time—more than just a few minutes—and be sure to review all documents thoroughly.
You Have to Pay All Closing Costs Upfront
Many first-time buyers worry about paying hefty fees upfront. While there are indeed closing costs, such as title insurance and appraisal fees, you don’t always have to pay everything out of pocket at once. In some cases, closing costs can be rolled into your mortgage, or you may negotiate with the seller to cover part of these expenses.
You Can’t Back Out of the Deal After Signing the Contract
It’s a big commitment, but the truth is, you *can* back out of the deal under certain circumstances—like if you find issues during the home inspection or if the appraisal doesn’t come in as expected. There are contingencies in place to protect buyers, so be sure to understand your rights before moving forward.
You Must Attend Closing in Person
The idea of spending hours in an office, signing stacks of papers in person, is intimidating to many. However, in today’s digital age, remote closings are becoming more common. Depending on the lender and state regulations, you might be able to complete the process online or at a remote location, making it much more convenient.
The Closing Date is Set in Stone
Although the closing date is agreed upon early in the process, life happens, and delays can occur. From paperwork snafus to last-minute negotiations, don’t be alarmed if the date shifts a little. Your closing agent will keep you updated on any changes and help you navigate the process smoothly.
The home closing process doesn’t have to be stressful. By debunking these myths, you can walk into your closing day with confidence and the right knowledge. With the right team by your side, like The Law Office of David R. Rocheford, JR., P.C., you can enjoy this exciting time in your home-buying journey without any unnecessary worries.
Did you know that as a homebuyer, you have the legal right to choose your own closing attorney? Many buyers aren’t aware of this right, assuming the lender or realtor has control over who represents them during the closing process. However, selecting a trusted closing attorney is crucial for ensuring that your legal rights are protected, and that the transaction proceeds smoothly. A knowledgeable attorney helps manage critical tasks like reviewing closing documents, coordinating title insurance, and addressing any legal issues that may arise. By choosing the right attorney, you’re taking an active role in safeguarding your interests and ensuring a seamless home purchase experience. For more information on the closing attorney’s role and how it can impact your transaction, read our full article!
Providing title, escrow, closing and settlement services to clients throughout Massachusetts and New Hampshire
“I would highly recommend David as a closing attorney. I have known David and have been using his office for many years. David’s professionalism when dealing with me, my closing department and most especially my clients has been always exemplary.”
SENIOR LOAN OFFICER, SHAMROCK FINANCIAL SERVICES
“The Law Office of Attorney David R. Rocheford, Jr. is by far the most exceptional real estate law office that I have had the pleasure of working with. The professionalism is by far second to none.”
SENIOR LOAN OFFICER, SALEM FIVE MORTGAGE SERVICES
“Attorney David Rocheford has provided settlement and title services for me and Greenpark Mortgage several years. He has assisted all of my clients, including my family and friends with mortgage closings. Always providing excellent service. Reliable and trustworthy!”
Nov 15, 2024 | Buying Real Estate, Home Buyer Tips, Homebuyer Tips, Real Estate, Real Estate Agent Information, Real Estate Tips
Buying a home is one of the most exciting and important decisions you’ll ever make. It’s a significant milestone, but also a complex process with a lot of moving parts. Whether you’re a first-time homebuyer or a seasoned homeowner, it’s crucial that you feel confident every step of the way—and that includes your closing.
When you’re nearing the end of the home-buying process, one aspect that’s often overlooked is the role of your closing attorney. Here’s the good news: In Massachusetts and New Hampshire, you have the right to choose your own closing attorney. Yes, you have the power to select someone who will be there to guide you, protect your interests, and ensure a smooth closing.
What Exactly Does a Closing Attorney Do?
A closing attorney plays a key role in making sure everything goes smoothly at the finish line. They handle a lot of important details to make sure your home purchase is legitimate, legally sound, and properly executed. Here’s a quick overview of their role:
- Reviewing and explaining documents: They’ll go through the purchase agreement, mortgage documents, and other legal paperwork to make sure everything is in order.
- Title review: They’ll ensure that the home you’re buying has a clear title, meaning there are no legal claims against the property.
- Disbursement of funds: The attorney ensures that all the funds are distributed correctly at closing, including payments to the seller, real estate agents, and any other parties involved.
- Notarizing documents: They will handle any necessary notarization of documents to make the closing official and legal.
- Guiding you through the closing: They’ll be there to explain the process, answer your questions, and help you understand the terms of your agreement.
Why Should You Choose Your Own Attorney?
In many cases, lenders or real estate agents may suggest a particular attorney or title company to handle the closing. While it’s not uncommon for this to happen, it’s important to understand that you are not required to use their choice of attorney.
Why is this so important? Because when it comes to the closing of your home purchase, you want someone who has your best interests in mind—not the interests of a lender or seller. Your closing attorney’s role is to protect you throughout the entire process, and that includes making sure the paperwork is accurate, the title is clear, and that no last-minute issues arise.
If you feel more comfortable with someone else, or if you have a trusted attorney you’ve worked with before, it’s your right to bring them into the process.
How to Find a Closing Attorney
If you’re wondering how to find a qualified closing attorney, don’t worry—you’ve got options. Start by asking your real estate agent for recommendations. Many agents work closely with experienced attorneys and can point you in the right direction. Alternatively, your local bar association often offers a lawyer referral service, which can help you find a reputable attorney in your area who specializes in real estate law.
It’s also a good idea to interview a few attorneys before making your decision. You’ll want to ask about their experience with real estate transactions, their approach to the closing process, and what their fees are. It’s important that you feel comfortable and confident in your choice.
Why You Should Care About Your Closing Attorney
Ultimately, the closing attorney is there to safeguard your interests. You’ve likely spent months—or even longer—searching for the perfect home, securing financing, and navigating the complexities of the real estate market. The last thing you want is to rush through the closing process without fully understanding the terms of your deal.
By selecting your own attorney, you can rest easy knowing that you’ve got someone on your side, advocating for your best interests, and ensuring everything is done right.
Don’t Let Anyone Rush You
It’s easy to get caught up in the excitement and feel pressure from various parties involved in the transaction. But remember: the closing is your moment, and you deserve to feel confident about every decision, including who represents you.
Take a moment to select an attorney who will guide you through the process with transparency, integrity, and expertise. After all, buying a home is a big investment—and you deserve to have peace of mind that everything is being handled professionally.
Take Control of Your Home Purchase!
As you move toward closing on your new home, remember that you have the right to choose your own closing attorney in Massachusetts and New Hampshire. This is an important part of the process, and it’s essential that you feel fully supported and protected. If you’re unsure where to start, reach out to your real estate agent or local bar association for recommendations. The right closing attorney can make all the difference in ensuring your home-buying experience is a smooth and successful one.
Want to learn more about the home-buying process or need recommendations for trusted closing attorneys? Reach out today—we’re here to help you every step of the way!
Providing title, escrow, closing and settlement services to clients throughout Massachusetts and New Hampshire
“I would highly recommend David as a closing attorney. I have known David and have been using his office for many years. David’s professionalism when dealing with me, my closing department and most especially my clients has been always exemplary.”
SENIOR LOAN OFFICER, SHAMROCK FINANCIAL SERVICES
“The Law Office of Attorney David R. Rocheford, Jr. is by far the most exceptional real estate law office that I have had the pleasure of working with. The professionalism is by far second to none.”
SENIOR LOAN OFFICER, SALEM FIVE MORTGAGE SERVICES
“Attorney David Rocheford has provided settlement and title services for me and Greenpark Mortgage several years. He has assisted all of my clients, including my family and friends with mortgage closings. Always providing excellent service. Reliable and trustworthy!”
Oct 23, 2024 | Home Buyer Tips, Home Seller Tips, Homebuyer Tips, Homeowner Tips, Mortgage Tips, Real Estate, Real Estate Tips
What is the Homestead Act and How Does It Protect You from Creditors in Massachusetts?
The Massachusetts Homestead Act (MGL c. 188) is designed to protect the equity in your primary residence from being claimed by unsecured creditors. With the recent changes under the “Affordable Homes Act,” homeowners who have filed a *declared homestead* can now shield up to $1,000,000 of home equity from creditors. For elderly (age 62 or older) and disabled homeowners, the protection is even greater: eligible homeowners can “stack” their exemptions, safeguarding up to $2,000,000 in equity.
This protection applies to unsecured debts, meaning that creditors cannot force the sale of your home to recover these types of debts if you have filed a homestead declaration. However, it is essential to understand what this act does not cover.
What is the Elderly Homestead Exemption in Massachusetts?
The *elderly homestead exemption* allows homeowners who are age 62 or older to further protect the equity in their principal residence. By filing a homestead declaration and meeting the age requirement, elderly homeowners can “stack” their exemptions with other qualifying residents, effectively doubling the equity protection to $2,000,000. This provision also applies to disabled homeowners who meet specific disability criteria.
This expanded exemption offers significant peace of mind, ensuring that a substantial amount of home equity remains secure in the event of financial difficulties.
What is Not Protected by a Declared Homestead?
While the Massachusetts Homestead Act provides robust protections, it does not shield against all claims. The following types of debts and obligations are *not* covered by a declared homestead:
- Secured Debts: Mortgages, home equity loans, and property tax liens. If you default on your mortgage or property taxes, the lender or the government can still foreclose on your property.
- Spousal or Child Support Obligations: Court-ordered payments related to divorce or family support are not protected under the homestead declaration.
- Liens for Work Done on the Property: Mechanic’s or contractor’s liens resulting from work or improvements on the home are not exempt.
- Certain State or Federal Liens: Examples include IRS tax liens or state tax obligations that override the homestead protection.
Can a Lien Be Placed on a Homestead Property in Massachusetts?
Yes, a lien can be placed on a homestead property in certain situations. For instance, if you owe money for unpaid taxes, a creditor like the IRS or the Massachusetts Department of Revenue can place a lien on your home, even if you have filed a homestead declaration. Similarly, if a creditor wins a lawsuit against you and secures a judgment lien, they can place it on your property. However, the Homestead Act ensures that your home cannot be forcibly sold to satisfy *unsecured* judgment debts up to the protected amount.
It is important to seek legal guidance if you are concerned about potential liens or creditor claims affecting your homestead protection.
Providing title, escrow, closing and settlement services to clients throughout Massachusetts and New Hampshire
“I would highly recommend David as a closing attorney. I have known David and have been using his office for many years. David’s professionalism when dealing with me, my closing department and most especially my clients has been always exemplary.”
SENIOR LOAN OFFICER, SHAMROCK FINANCIAL SERVICES
“The Law Office of Attorney David R. Rocheford, Jr. is by far the most exceptional real estate law office that I have had the pleasure of working with. The professionalism is by far second to none.”
SENIOR LOAN OFFICER, SALEM FIVE MORTGAGE SERVICES
“Attorney David Rocheford has provided settlement and title services for me and Greenpark Mortgage several years. He has assisted all of my clients, including my family and friends with mortgage closings. Always providing excellent service. Reliable and trustworthy!”
Aug 23, 2023 | Real Estate Tips
The purchase and refinance mortgage processes are similar in many ways, but there are also some important differences. Here is a general overview of how each process typically works:
Purchase Mortgage Process
Determine your budget: Before you start shopping for a home, you need to figure out how much you can afford to spend. You can do this by calculating your monthly income, expenses, and debt, and getting pre-approved for a mortgage.
Find a property: Once you know your budget, you can start looking for homes that fit your criteria, whether that’s size, location, or other factors.
Make an offer: When you find a property you like, you can make an offer to buy it. This offer will include the price you’re willing to pay and any contingencies, such as inspections or financing.
Get a mortgage: If your offer is accepted, you’ll need to apply for a mortgage loan to pay for the property. You’ll need to provide documentation about your income, assets, and credit history.
Close the loan: Once your mortgage is approved, you’ll need to attend a closing to finalize the sale. This involves signing a lot of paperwork and paying closing costs, such as appraisal fees and title insurance.
Refinance Mortgage Process
Determine your goals: Before you start the refinance process, you need to determine why you want to refinance. Some common reasons include lowering your monthly payments, shortening your loan term, or cashing out equity.
Gather documentation: To refinance, you’ll need to provide documentation about your income, assets, and credit history, just like you did when you applied for your original mortgage.
Choose a lender: Once you have your documentation in order, you can start shopping around for a lender who offers the type of refinance you want, such as a rate-and-term refinance or a cash-out refinance.
Apply for the loan: After you choose a lender, you’ll need to submit a loan application and provide documentation to support your refinance goals.
Close the loan: Once your refinance is approved, you’ll need to attend a closing to finalize the loan. This involves signing paperwork and paying closing costs, such as appraisal fees and title insurance.
The purchase and refinance mortgage processes involve similar steps, but the specifics can vary depending on your situation and the type of loan you’re applying for. It’s important to work with a trusted lender who can guide you through the process and help you make informed decisions about your mortgage.
What are the Differences Between Purchasing and Refinancing a Home
While purchasing a home and refinancing a home both involve obtaining a mortgage, there are several key differences between the two processes. The primary goal of purchasing a home is to buy a property to live in or as an investment. The primary goal of refinancing a home is to replace an existing mortgage with a new one that offers more favorable terms.
The purchase process involves finding a property, making an offer, and going through the home buying process. Refinancing involves working with an existing mortgage lender or a new lender to replace an existing mortgage with a new one.
The timing of a home purchase is largely determined by the real estate market and the availability of properties that meet the buyer’s criteria. The timing of a refinance is largely determined by the borrower’s financial goals and the current interest rate environment.
Ultimately, the best decision for you will depend on your individual financial situation and goals. It is recommended to reach out to a real estate agent or mortgage originator who can provide personalized advice and guidance based on your specific needs and circumstances.
Aug 4, 2023 | Real Estate Tips
Purchasing a home is one of the most significant financial decisions many individuals make in their lifetime. It involves a substantial investment of money and requires careful consideration to ensure long-term financial stability. To navigate the complexities of the home-buying process, it’s essential to be well-informed about the various financial considerations involved. In this blog post, we will explore key factors to consider when buying a home to help you make informed decisions and achieve financial success.
Establishing a Realistic Budget:
Before diving into the home-buying process, it’s crucial to establish a realistic budget based on your financial situation. Consider factors such as your income, existing debts, credit score, and other financial obligations.
Saving for a Down Payment:
Saving for a down payment is a significant aspect of buying a home. Lenders typically require a down payment, which is a percentage of the home’s purchase price. Saving for a substantial down payment not only reduces the overall loan amount but also helps secure better mortgage terms, such as lower interest rates. Aim for a down payment of at least 20% to avoid private mortgage insurance (PMI) and decrease your monthly payments.
Understanding Mortgage Options:
Explore different mortgage options to find the one that suits your financial goals and circumstances. Common types of mortgages include fixed-rate mortgages, adjustable-rate mortgages (ARMs), and government-insured loans. It’s essential to carefully evaluate interest rates, terms, and potential risks associated with each type before deciding.
Considering Closing Costs and Additional Fees:
In addition to the down payment, be prepared for closing costs and other fees associated with purchasing a home. Closing costs typically include expenses like appraisal fees, loan origination fees, title insurance, and attorney fees.
Evaluating Long-Term Affordability:
While you may be able to afford the monthly mortgage payment currently, it’s essential to consider long-term affordability. Consider potential changes in your income, lifestyle, and expenses. Ensure that you have a realistic understanding of how your finances may evolve over time, accounting for future goals like starting a family, education expenses, and retirement planning.
Assessing Property Taxes and Insurance:
Property taxes and homeowners’ insurance are ongoing expenses that come with homeownership. Research the property tax rates in the area where you plan to buy a home and include them in your budget.
Maintaining an Emergency Fund:
Owning a home comes with unforeseen expenses, such as repairs, maintenance, and unexpected emergencies. Aim to have three to six months’ worth of living expenses set aside in an easily accessible savings account.
Getting Pre-Approved for a Mortgage:
Before house hunting, consider getting pre-approved for a mortgage. This process involves a lender reviewing your financial situation and creditworthiness to determine the amount they are willing to lend you. Pre-approval provides a clear understanding of your budget, strengthens your bargaining position with sellers, and speeds up the closing process once you find your dream home.
When buying a home, making well-informed financial decisions is crucial for your long-term financial well-being. Remember to evaluate long-term affordability and maintain a financial cushion to handle unexpected costs. By following these financial considerations, you’ll be better prepared to embark on your homeownership journey and achieve financial success in the long run.
Feb 1, 2023 | Real Estate Tips
Are you planning on using a mortgage to help cover the cost of a new home? If so, you will want to prepare your finances and figure out how you will manage all those wallet-draining monthly expenses. Let’s take a look at how to run a quick financial health check to ensure you are ready to apply for a mortgage.
Update (Or Start) Your Monthly Budget
First, it is essential to get the basics out of the way. If you haven’t already, it’s time to start a monthly budget to keep track of your income and expenses. Once you have a mortgage, it will be important to prioritize your monthly payments so that you don’t end up falling behind.
Starting a budget is easy and can be done with mobile apps, software, a spreadsheet or a pen and paper. List all sources of income so that you know exactly how much cash you are working with. Then, list out every one of your expenses. It can be tough to remember them all, so consider using debit and credit card statements from the past few months as a reminder.
Get A Copy Of Your Credit Report
Next, you will want to get a copy of your credit report so you can see what potential mortgage lenders will see when assessing your financial history. This is a free service that you can request once per year, so be sure to take advantage. Note that you will want to use government-approved websites for requesting your credit report. Be wary of scams.
Do You Have A Down Payment?
A down payment is not required for every home purchase, but having one saved up can make the buying process easier. The amount you will want to have saved up will depend on the cost of your home, whether you plan on carrying private mortgage insurance and a variety of other factors. If possible, try to save up an amount close to (or more than) twenty percent of the home’s purchase price.
Ready? Chat With A Professional
Now that you have run a quick financial health check, it is time to meet with a mortgage professional to discuss your options.
